By Michael Sassano, founder and CEO of Solaris Farms, one of the largest and most high tech cannabis growers in Nevada, and Head of the Board at Somai Pharma, a medical cannabis product distributor in the European Union.
Don’t panic, but it’s time to look at a slow down in all businesses, including cannabis sales. Recently, I have been traveling as the Coronavirus started to spread across the globe. Everywhere i travelled I would see empty airports, no lines, plenty of cabs, upgrades at hotels, and empty restaurants. It became readily apparent that people aren’t traveling. A few friends joked that sales will go up as people stay at home and smoke more, but trends show that sales are down across the board.
Since we (Solaris Farms) are located in Vegas, and heavily reliant on tourism, places like ours will be heavily hit until the virus spread is contained; I’m guessing about two months until confidence to come to Vegas is restored. But even if you cater to a larger pool besides local populations, you more than likely will still need to pull the belt in a little.
Here are some tips for production, sales, and dispensary buy sides:
Reduce your costs. This is the hard part.