48 North Cannabis Corp (TSXV:NRTH) is pulling out all the stops this week. The company announced its two new supply agreements with Ontario Cannabis Store and Tokyo Smoke on Tuesday, while concurrently launching their brand new cannabis accessories brand F8.
F8 is part of 48 North’s strategy to redefine consumers’ relationship with cannabis. According to the press release, the products mix aesthetic and functionality to “inspire individual exploration and expression” in their customers.
“This is the first generation of consumers for whom cannabis is legal, and it is time for accessories to come out of hiding," said Kirsten Gauthier, CMO of 48 North. “That is why 48 North created...a line of purposeful, versatile and beautiful accessories that bring cannabis accouterments into highly designed spaces."
The new accessories, which includes brass grinders shaped like cupcake paper, will be sold exclusively online through the Ontario Cannabis Store and in Tokyo Smoke retail shops across Canada. The Ontario Cannabis Store is the territory’s sole legal online retailer for medical and recreational cannabis, putting F8’s new line in the hands of thirteen million potential adult-use customers. Tokyo Smoke will be selling the accessories online too, and they will be available in their retail stores as well.
48 North delivers on its deal with Canopy Growth Corporation
48 North’s new supply agreement with Tokyo Smoke is a key part of Canopy Growth’s (TSX.WEED) (NGSE.CGC) strategic partnership with the pot stock. Back in December of last year, Canopy Growth and 48 North entered into an equity investment and supply agreement that would provide 48 North with $3 million in capital and Canopy Growth with 1200kg of cannabis. The agreement also included Canopy Growth’s retail presence, and Canopy agreed to help establish 48 North brands in their Tokyo Smoke and Tweed dispensaries.
“By adding 48North to the broader repertoire, we'll strengthen our ability to bring exciting cannabis products to market. By acquiring a stake in 48 North we recognize the strength of their management team and their ability to successfully launch into the Canadian cannabis market,” Mark Zekulin, President of Canopy Growth, said in December.
48 North predicts the future of cannabis with new report
Successfully launching in the Canadian cannabis market is so no easy feat either, but 48 North seems to like their odds. The pot stock recently released The Next Report, an analysis of the cannabis industry based on reports from WGSN and JTW Intelligence. 48 North predicts that the shift in the industry will “create a new economy based on personal experience.” And this personal experience is right in line with their new products launch.
Included in this personal experience is the prediction that cannabis use will become more mainstream. Consumers are bringing their marijuana use “out of the closet” and are looking for top-of-the-line accessories that are worthy of being shown off. Being more mainstream means that consumers are also looking for more of a personal dose of cannabis. 48 North predicts that companies who are using DNA to create personal doses of marijuana will be at the forefront of the industry.
“Hyper-personalization has become a driving mandate for successful lifestyle brands and products across the globe….” the report states. “With the next phase of legalization expected in October 2019, there will be more ways to make our cannabis experiences our own.”
The report also touches on women’s transformative role in cannabis, speaking to the fact that legalization could inspire more women to be proud of their unique cannabis experiences. This opens up a unique consumer demographic that will be looking for products and accessories that speak to specifically to them. In keeping with this trend, 48 North will be bringing the Mother + Clone brand to market this year, which includes a sublingual cannabis spray.
Investors can find the full report online at Head Well North and decide for themselves if these predictions hold any merit.