Even as demand for cannabis surges, the coronavirus pandemic has proved a reckoning for many companies in the business. But medical cannabis company Trulieve has managed to perform under pressure — something CEO Kim Rivers attributes in part to a dogged focus on its home market of Florida.
"For us, it was about really focusing on building a brand; focusing on winning customers and loyal and repeat business from those customers; and, again, expanding in a thoughtful and intentional way," Rivers told Cheddar. "Folks were kind of enamored with the thought of being in as many locations at one time, but that can lead to very inefficient business practices."
As its contemporaries have shuttered operations, canceled deals, and filed for bankruptcy — or the U.S. equivalent — amid a year full of challenges exacerbated by the coronavirus pandemic, Florida-based Trulieve has continued to grow. The company opened its 55th dispensary in Tarpon Springs, Florida on Thursday — its 53rd location in the Sunshine State — as well as touting a hiring spree when it reported earnings back in May. At the time the company said it had filled 500 positions since mid-March and was looking to onboard some 300 more employees, according to Green Market Report.
Even so, navigating the pandemic has not been easy, Rivers said. Trulieve had to drastically pivot the nature of its business to accommodate pandemic-related restrictions. Pre-pandemic, Rivers said about 80 percent of business came from walk-in customers. After the onset of the pandemic, that fell to about 10 to 15 percent with the remaining business coming from pickup and delivery.
"We saw a dramatic shift in our business pretty early on," she said
"We had to double our fleet of cars. So we went from 100 vehicles to 200 vehicles pretty much overnight. We deliver next-day across the state of Florida. In addition, rolling out technology platforms to make transactions as contactless as possible," she later added.
In spite of the challenges, the pandemic hasn't been all bad for cannabis. Demand has proven remarkably robust — except in markets that rely heavily on tourism — and medical markets like Florida have only gathered steam, Marijuana Business Daily reported.
Promising revenue forecasts placing the global market's potential at $42.7 billion by 2024, according to marketing research firm BDSA, have some revenue-starved state governments, like New York and Pennsylvania, eyeing legalization as a means of injecting some much-needed cash back into the economy.
Rivers likened the trend to the end of Prohibition, which coincided with the Great Depression.
"There are a lot of parallels with the cannabis industry today. Similarly, we have a prohibited substance that we know can not only bring folks and help the economy but also of course bring relief to people in a medical sense. So I think it really is a win-win," Rivers said.
Activists have been pushing to legalize adult-use cannabis in Florida for years, but the two petitions to get it on the 2020 ballot fell short of signatures in late 2019.
Rivers said it "remains to be seen" whether potential tax revenue will be a consideration in legalization talks next year.
A big-screen adaptation of the anime “Chainsaw Man” has topped the North American box office, beating a Springsteen biopic and “Black Phone 2.” The movie earned $17.25 million in the U.S. and Canada this weekend. “Black Phone 2” fell to second place with $13 million. Two new releases, the rom-com “Regretting You” and “Springsteen — Deliver Me From Nowhere,” earned $12.85 million and $9.1 million, respectively. “Chainsaw Man – The Movie: Reze Arc” is based on the manga series about a demon hunter. It's another win for Sony-owned Crunchyroll, which also released a “Demon Slayer” film last month that debuted to a record $70 million.
The Federal Aviation Administration says flights departing for Los Angeles International Airport were halted briefly due to a staffing shortage at a Southern California air traffic facility. The FAA issued a temporary ground stop at one of the world’s busiest airports on Sunday morning soon after U.S. Transportation Secretary Sean Duffy predicted that travelers would see more flights delayed as the nation’s air traffic controllers work without pay during the federal government shutdown. The hold on planes taking off for LAX lasted an hour and 45 minutes and didn't appear to cause continued problems. The FAA said staffing shortages also delayed planes headed to Washington, Chicago and Newark, New Jersey on Sunday.
Boeing workers at three Midwest plants where military aircraft and weapons are developed have voted to reject the company’s latest contract offer and to continue a strike that started almost three months ago. The strike by about 3,200 machinists at the plants in the Missouri cities of St. Louis and St. Charles, and in Mascoutah, Illinois, is smaller in scale than a walkout last year by 33,000 Boeing workers who assemble commercial jetliners. The president of the International Association of Machinists says Sunday's outcome shows Boeing hasn't adequately addressed wages and retirement benefits. Boeing says Sunday's vote was close with 51% of union members opposing the revised offer.
The stunning indictment that led to the arrest of more than 30 people — including Miami Heat guard Terry Rozier and other NBA figures — has drawn new scrutiny of the booming business of sports betting in the U.S. The multibillion-dollar industry has made it easy for sports fans — and even some players — to wager on everything from the outcome of games to that of a single play with just a few taps of a cellphone. But regulating the rapidly-growing industry has proven to be a challenge. Professional sports leagues’ own role in promoting gambling has also raised eyebrows.
Tesla, the car company run by Elon Musk, reported Wednesday that it sold more vehicles in the past three months after boycotts hit hard earlier this year, but profits still fell sharply. Third-quarter earnings fell to $1.4 billion, from $2.2 billion a year earlier. Excluding charges, per share profit of 50 cents came in below analysts' estimate. Tesla shares fell 3.5% in after-hours trading. Musk said the company's robotaxi service, which is available in Austin, Texas, and San Francisco, will roll out to as many as 10 other metro areas by the end of the year.
Starbucks’ AI barista aims to speed service and improve experience. Nick Lichtenberg, Fortune Business Editor, explains its impact on workers and customers.
As Big Tech reports Q3 earnings, investors await proof that massive AI and cloud investments from Meta, Apple, Microsoft, and Alphabet are driving real growth.
