Marijuana Business Magazine November December 2018

Organa Brands HEADQUARTERS Denver YEAR FOUNDED 2010 ABOUT Organa Brands develops and manufactures vape pens, vape oils and vape oil cartridges, extracts and infused products. STATES Arizona, California, Colorado, Connecticut, Maine, Massachusetts, Nevada, New Mexico, Oregon and Vermont. Also in Canada and Jamaica. EMPLOYEES 250 2017 REVENUE Does not disclose BUSINESS STRUCTURE Private company O il: It’s what powers Organa Brands’ national and inter- national expansion strategy. Launched as Organa Labs in 2010, the privately held Denver company started with its simple and easy-to-mass produce OpenVape pen and oils for use with the vaporizers. Since then, Organa Brands has added four more oil-based brands: • Bakked, a line of extracts. • Magic Buzz, an infused beverage. • District Edibles, infused gummies. • Pressies, tablets infused with cannabis oils and nutraceuticals, including gingko and melatonin. Organa Brands plans to roll out five more brands in the near future. “We look to control market share with oil. Oil can be sliced and diced hundreds of different ways,”Organa Brands Presi- dent Chris Driessen said. “That allows our sales and marketing teams to really develop the brand, distribute the brand and package it up differently to appeal to different groups of people.” Pen Paves the Path The company's products are carried in more than 1,500 stores in 10 states where it has what it describes as lab facilities. Depending on the state, the staffs either grow their own cannabis or buy it wholesale, then put it through extraction and manufacture the products they want to make. The business in part attributes its suc- cessful multistate expansion to having a large distribution network that Dries- sen said allows the company to rapidly deploy many different products across multiple markets. “It allows the scope of our offering to be bigger than most, if not all, (competi- tors),” he said. Credit for the distribution network, Driessen said, goes to the company’s vape pen, which led Organa Brands’ charge into many of its present markets. “We had this mass-produced, scaled, well-marketed and well-branded vapor- izing pen that took the market by storm. We knew we had a hit on our hands,” Driessen recalled. But rather than attempt to make another great product, the company focused on distribution. “You can have a great product, but if you don’t have distribution, it won’t go anywhere,” Driessen said. “We built our distribution network at a time when other people were trying to develop products. And the thought was: If you have the distribution network in place, you can plug an infinite number of OILSLICK Organa Brands relies on a large distribution network and diverse product lineup to leapfrog into newmarkets By Omar Sacirbey RECIPE FOR SUCCESS The executives at Organa Brands relied on a few key tactics to take their company into a dozen states and two countries: • Focusing on a single product – in the company's case, oil – that is easily scalable and can be used in multiple ways to break into markets. • Establishing distribution networks to tap into new markets versus trying to replicate their first hit product, a vape pen. • Diversifying products and brands to provide multiple options with which to break into new markets. • Thoroughly researching markets and vetting potential partners. 70 • Marijuana Business Magazine • November/December 2018