Flower-Aspect Chats Half 8: A Q&A with Andreas “Dre” Neumann, Chief Artistic Director of Jushi Holdings Inc.

On this “Flower-Side Chats” sequence of articles, Inexperienced interviews built-in hashish corporations and flower manufacturers which might be bringing distinctive enterprise fashions to the business. Explicit consideration is concentrated on how these companies combine modern practices to navigate a quickly altering panorama of rules, provide chain and client demand.

Jushi Holdings Inc. (OTCMKTS: JUSHF | CSE: JUSH) is a multi-state operator with a nationwide footprint and core markets in Illinois, Pennsylvania and Virginia, with growing markets in California, Nevada, Massachusetts and Ohio. As well as, Jushi maintains workplaces in Colorado, New York and Florida. In Q1 2021 they posted $42M in income representing 30% development over This fall 2020 and 77% of their gross sales have been carried out on-line. Jushi manufacturers embrace Past / Hey, The Financial institution, The Lab, Tasteology, Sēchē, Nira CBD and Nira+ Medicinals.

We interviewed Andreas “Dre” Neumann, Chief Artistic Director of Jushi Holdings. Dre joined Jushi in February 2020 after connecting to the founders via a colleague and operating a big person expertise analysis undertaking. Previous to Jushi, Dre reduce his tooth in promoting and branded leisure. He was a startup founder at TalentHouse.com and a Associate at Idean, which he later bought to Capgemini.

Aaron Inexperienced: How did you get entangled within the hashish business?

Andreas Neumann: I’m a man who has been excited about many genres – I’m at all times in search of the subsequent huge factor. I began out in promoting after which I light into branded leisure when the normal promoting wave was form of shaky as a result of digital assault of the web with platforms like Fb and Myspace.

I’ve additionally been fascinated by digital which led me to maneuver into Silicon Valley. I had a startup referred to as TalentHouse.com which was like LinkedIn for artistic individuals. I realized loads there about constructing an organization in Silicon Valley. It was the primary time I used to be confronted with skilled buyer and person expertise individuals. CX and UX was already form of a factor in Silicon Valley on the time. My final firm I used to be a associate in was an organization referred to as Idean, a Silicon Valley-based person expertise firm which we bought to a French firm referred to as Capgemini about 4 years in the past.

I proceed to be concerned within the leisure business as form of a artistic outlet. I’m working with a variety of huge rock bands like The Foo Fighters and Queens of the Stone Age. I simply did the final Foo Fighter album. Images is my final area of complete creativity the place I can do no matter I need particularly within the rock enterprise.

Coming to the hashish level, I used to be actively in search of a associate to do a hashish model with The Queens of the Stone Age. I met Jushi via a really fascinating coincidence. I used to be on the best way to do a shoot in Silicon Valley with a man referred to as Les Claypool, who’s from a well-known band referred to as Primus. I shot Les there and I used to be driving via Silicon Valley and remembered I had a buddy close by I ought to discuss to. So, I referred to as him and he was in Singapore. He referred to as me proper again (he by no means calls again usually) and stated “You’ve got to talk to Jushi! You’ve got to talk to these guys Jim Cacioppo and Erich Mauff (two of the founders). They are starting something very exciting. They could be your partners.”

That is the place the dialog began. It was my first time confronting a hashish MSO and understanding how this works. I had simply exited from my final company and put collectively the perfect individuals from my earlier endeavor to create a brand new kind of “creative collective” of UX and advertising specialists. We did a take a look at undertaking for Jushi, a giant analysis undertaking on hashish for California in retail, which was tremendous fascinating. It was a 200-page doc – the primary part of person expertise of the method earlier than you construct one thing – and thru that I noticed this as a giant alternative. I spoke to the founders once more and got here absolutely onboard in February 2020, simply earlier than the pandemic hit. From then on, it’s been an actual superb journey with me and the workforce. And it was the suitable second to leap on the Jushi practice because it was nearly to go away the station.

Inexperienced: Are you able to speak about a few of the geographies you’re lively in?

Neumann: Jushi is a multi-state operator. Crucial state for Jushi is Pennsylvania. That’s the place we’ve probably the most shops and we’re constructing extra shops there this yr as nicely, very aggressively. We at the moment have 13 Past / Hey medical hashish dispensaries within the state with many extra to come back, bringing an unmatched in-store expertise, coupled with on-line reservations and in-store categorical pick-up.

The subsequent vital marketplace for us is Virginia. We’ve got a novel place there in Manassas with a cultivation facility and manufacturing and extraction facility, with the license for as much as six shops. We began retailer primary within the facility, and we’re rolling it out in HSA II. We’re the one ones who can open shops in HSA II and that is straight on the border to Washington D.C. We name Virginia the “sleeping giant.” A lot occurred within the final yr in Virginia round regulation and the business, and now flower is lastly authorized.

Then we’ve Illinois – tremendous fascinating shops there. We’ve got two flagship shops positioned straight on the border of Missouri, principally in East St. Louis. They’re our greatest performers in the entire community due to the situation. You’ve got individuals coming over from Missouri, which is de facto within the beginnings of a medical market, and Illinois, which is now grownup use. It was an excellent cool expertise to see a medical market change to adult-use and be a part of that change.

In different states, we just lately introduced the acquisition of Nature’s Treatment in Massachusetts, the place we can have cultivation, processing and shops there. In Nevada, we’ve a grower-processor and we’re alternatives in retail as nicely. In the intervening time, we’ve all our manufacturers launched there. We’re additionally persevering with to construct out our processing and cultivation capabilities in Ohio.

Final however not least is California. I’m primarily based in California and the entire artistic workforce is right here. It’s a conceit market and it’s very aggressive, however you’re within the capital of the world of hashish when it comes to manufacturers and retail. California is sooner or later in comparison with the opposite states. So, we have to be right here. It’s identical to a soccer workforce. It’s essential to compete towards good individuals otherwise you’re not going to develop. So, that’s why competing right here in California is essential.

Inexperienced: How do you concentrate on model improvement, particularly within the hashish CPG area?

Neumann: California is the king of manufacturers. There are extra merchandise than manufacturers within the hashish business for the time being. The merchandise could have good packaging, however manufacturers aren’t actually on the market but. The one states the place you could have “brands” as I’d name them are California, Colorado and Oregon. I believe we’re nearly to get to the place the place the primary rush is over and folks with extra expertise about manufacturers are available and construct on the story of the model. The myths, the cult, the legend of that story is vital, and I believe that is nearly to get began.

Our manufacturers, The Financial institution and The Lab, have good tales. They’ve been round a very long time. We acquired them from an organization in Colorado and we rolled them out in Nevada with a complete revamp of feel and appear in addition to story. The Financial institution is celebrating this type of roaring 20s concept. We’ve got a variety of pictures, from black and white prohibition-style images to this black-gold, very high-end, grownup use tailor-made model.

The Lab is a strong vaping model from Colorado, and one of many eighth best-selling vape manufacturers of all time. We revamped The Lab picture to “take the lab out of the lab.” So principally, take the hairnet and the lab coat out of the vibe and add an entire new vitality, with symmetry and nature in a number one function.

Tasteology, which is one in all our self-made, self-created manufacturers, was all primarily based on buyer analysis. In Pennsylvania, we’ve 1000’s of individuals we will talk with, and we will take a look at our manufacturers. So, we’ve performed focus teams and testing to see what sticks, and the identify Tasteology got here out of an enormous analysis undertaking with tons of of names.

The final model comes again to your query “Where are the brands going?” I believe our model Sēchē is the primary one in all our personal creation and has this complete way of life really feel. It’s fantastic grind flower which usually may make its method to extraction. We deal with it nicely after which we promote the uncooked flower, in addition to a pre-roll line. It’s this type of a younger, value efficient, very inexpensive pre-roll and pre-ground model, which is fabulous. And Sēchē actually will get a variety of traction – flies off the cabinets in Pennsylvania. It’s a nice product.

So, that is now the primary stage the place manufacturers are created, however I believe total, there’s not many manufacturers but. They’ve to search out their tales and their actual function, I believe. However California is forward of it. And there’s a few of them popping out now. So, I believe there’s a brand new wave coming. It at all times goes in phases.

Inexperienced: How do you concentrate on model companions?

Neumann: We did step one in direction of exterior partnerships just lately. We simply partnered with Colin Hanks, Tom Hanks’ son, on his handkerchief line referred to as Hanks Kerchiefs and we’re going to promote these in our shops. Hanks Kerchiefs has nothing to do with hashish, nevertheless it takes our shops to a spot the place it’s not solely hashish merchandise, it’s extra the retail scene, the life-style scene. If we go into future partnerships with individuals, we might associate with huge expertise companies to create one thing particular. Possibly it’s restricted editions, perhaps it’s one thing extra story-driven, nevertheless it doesn’t should be there endlessly. I see utilizing exterior partnerships for extra “drops,” as we name it. However we’ll see. You can not drive these collaborations. They’ve to come back on the proper time and have to be actual. That’s what individuals really feel. If it’s actual you may really feel it.

Inexperienced: Do you discover any variations in client preferences between the states you’re in and do it’s a must to tailor your messaging otherwise?

Neumann: It is a tremendous fascinating query. I’ve been working in Europe, and you’ve got all these totally different international locations, so each market is totally different. Each market will get totally different messages. Each market will get totally different commercials. It’s the identical in hashish in america! The one distinction is that it’s so regulated. I may launch a gummy in Virginia and all Virginia would learn about it. It might develop into a family identify, and everyone makes use of that gummy. However in California, nobody will hear about it. Nobody would care about it. And the identical vice versa, proper?

So, totally different states, totally different manufacturers. With our acquisitions, we’re buying new manufacturers, which then reside solely in these states. Then we’ve to help that. If the info would present we should always then we do it. After we purchase one thing we client take a look at in lots of states, and particularly within the states the place the acquisition occurred.

Total, you may say flower is at all times what individuals need. However in markets like Virginia, we can not promote flower for the time being. In Pennsylvania you could have flower, however you may’t have edibles. Do Pennsylvanians need edibles? In fact, they need it nevertheless it’s not allowed but. So, there’s at all times this to contemplate.

Inexperienced: What are a few of the forward-looking alternatives that you simply see to merge product with know-how?

Neumann: It’s fascinating that flower, probably the most old style factor you possibly can have, is the most important factor. For those who get into it, it’s pure, you may odor it, you may belief it. Flower has its personal attraction.

So, asking about merging know-how and product is like asking what know-how comes with ingesting wine. There’s a number of stuff round it. I believe in the long run the know-how can be extra about how one can create a product which delivers excessive THC, quick and managed. The know-how that goes into making stuff like reside resin has a giant future, as a result of not everyone could make it. It has a really sophisticated strategy of freezing the product inside 4 hours after the harvest, after which chilly extraction. So, I believe know-how there has a huge impact and will get the expertise of the consumption proper.

Within the client world, individuals have tried a variety of issues with know-how. For instance, limiting doses and inserting flower into a tool. There are individuals making an attempt every kind of stuff. Widespread sense is at all times the important thing. What do you wish to use most? Do you wish to have a pre-roll and simply take pleasure in it? A protracted one when you could have pals round? A brief one in case you’re alone strolling a canine? I believe it’s a must to maintain it easy. That’s probably the most troublesome factor more often than not.

Inexperienced: Last query right here. What are you most excited about studying about? This may be private life or hashish.

Neumann: Once I entered the hashish business, I hadn’t been a client since I used to be 18. I used to be extra of an alcohol man, however then later I finished ingesting alcohol, so I used to be completely clear the final 15 years till I entered the hashish business.

Once I do one thing like making movies a few jet fighter, I’ve to fly the jet fighter. If I make a movie about leaping out of a aircraft, I’ve to leap out of the aircraft. So, if I work within the hashish firm, I’ve to devour hashish. I can not not devour it. So, I began professionally consuming hashish day-after-day. From day one after we began analysis, day-after-day I attempted different merchandise and I turned an actual person. Not through the day, however within the night when it’s the suitable time.

To begin with, I evaluate it loads with music. It’s like a sense. Everyone feels it otherwise. I believe what it does – and this fascinates me about it and it’s why I like to be on this business – is it appears to be slowing down the world a little bit bit and your desperation. This slowing down of desperation truly opens you as much as obtain and when and also you obtain great things it involves you form of effortlessly. Not solely is it nice for medical use – it has helped me for ache as nicely – but additionally as a receiver of vitality. I believe it clears a variety of the “signal.” I’m at all times excited about studying extra about this unimaginable plant.

Inexperienced: Thanks Dre, that concludes the interview.

Neumann: Thanks Aaron.