Working with Cheech & Chong has never been smarter.
The companies today announced that legal cannabis retailers carrying the same name of the famous duo can now use data analytics provider headsets and real-time insights for free to better manage inventory, boost profits and stay competitive.
Cy Scott, co-founder and CEO of Seattle-based headphones, said the new collaboration between headphones and Cheech & Chong’s cannabis company reflects a broader trend in the cannabis industry: The reliance on data and technology is increasingly reliant on competitive and diversified markets.
“The data provides the clarity needed to optimize operations — whether it’s to reduce waste, set the right price or make sure promotions actually promote revenue,” Scott said.
“In today’s environment, using data is not just a competitive advantage, but a difference between just survival and truly thriving.”
Cheech & Chong provides avenues to data from the cannabis industry
Headphone users can take advantage of analysis on pricing, product performance, inventory management, customer profile and loyalty.
But most cannabis retailers won’t sneak in data to fine-tune the business of their stores, said Avis Bulbulyan, CEO of California-based cannabis consulting firm Siva.
“Headphones usually only appear when the pharmacy needs that data, whether it’s raising funds or trying to fund something,” he said.
Cheech & Chong’s CEO Jonathan Black said introducing state legislatures through real-time data can help regulate decisions.
“The main component is sitting in front of the legislature and giving them real-time data to see the impact of the cannabis industry and how they can help legislation to benefit the cannabis industry,” Black said.
“Consumers won’t go away, but if the pharmacy struggles and goes away, you’ll have an illegal market. It’s bad for everyone.”
These benefits also extend to brands, allowing them to predict demand more accurately, collaborate more closely with stores, and ensure that the right products are available when customers want them.
Bulbulyan said the partnership could lead to more cannabis retailers carrying the Cheech & Chong brand.
“(Headphones are) a very good selling point to put your product on a pharmacy shelves,” he said.
With free access to the headset platform, Cheech & Chong’s is supporting its retail partners and contributing to the stability and growth of the cannabis market.
Data is crucial to the success of the cannabis industry
Black said as the industry becomes more competitive, retailers need data to ensure they survive.
“How do you help pharmacies when you see them go out of business or struggle?” Black said. “What else can we do so they stabilize consistency and growth? It’s a hedging method as an industry.”
The headphones work with thousands of retailers in partnership with Cheech & Chong, whose products are sold in 1,450 cannabis stores nationwide, will further expand its reach.
“Although we don’t have specific digital goals, our goal is not to reach quotas, but about impact,” Scott said.
“What we want to see is that more operators are making smarter, data-driven decisions to increase efficiency and profitability. If the businesses we work with are thriving, the overall cannabis industry is moving in the right direction.”
Subscribe to MJBIZ FACTBOOK
Exclusive industry data and analytics to help you make informed business decisions and avoid expensive mistakes. All facts are not hype.
What you will get:
- Updated monthly and quarterly with new data and insights
- Financial forecast + capital investment trends
- Guide to national regulations, taxation and market opportunities
- Annual survey of cannabis businesses
- Consumer Insights
- And more!
Cannabis Brand Partnership Follows Mainstream Formula
Partnerships between brands and technology companies can both unwelcome everyone involved, whether it’s a well-known mainstream company or a cannabis business.
Mainstream brands have long leveraged technology partnerships to enhance customer experience, simplify operations and drive innovation.
For example, Apple and Nike’s partnership revolutionized fitness tracking by combining Nike’s sports expertise with Apple’s cutting-edge technology.
In the cannabis space in Santa Barbara, California, the fall brand of a sustainable family-owned farm works with direct-to-consumer marketing platform Lucid Green to deliver education, product insights, and loyalty rewards through QR code scanning.
The partnership between headphones and Cheech & Chong supports retail partners and encourages smarter business practices.
“This investment demonstrates our commitment to the industry,” Black said. “We just want this industry to succeed.”
Margaret Jackson can be reached Margaret.jackson@mjbizdaily.com.
