Darren Bondar, Inner Spirit Holdings: Retailers Need Value for License Deals

TL;DR

The slow rollout of cannabis retail stores in Canada has been a challenge, but as regulations stabilize and supply increases, the market is experiencing growth. Inner Spirit Holdings, a retail company, discusses their experiences and strategies in this evolving market.

Transcript

with investing news network from the MGBs international show in Toronto I'm Brian McGovern here today with Darren bond are the president and CEO of inner spirit Holdings Darren thank you so much for your time yeah thanks for having me today appreciate it it's been a great conference so far and see where the next couple days take us so Darren obviou... Read More

Key Insights

• 🏪 The slow rollout of cannabis retail stores in Canada has been due to regulatory delays, but as the market stabilizes, more stores are opening.
• 😀 Ontario's decision to switch to a lottery system for cannabis retail licenses has faced criticism, and some established retailers are skeptical of the deals and returns offered by license winners.
• 🚂 Retail fundamentals, well-trained staff, and quality brands are becoming crucial in the competitive cannabis retail market.

Questions & Answers

Q: What has been the biggest challenge to the Canadian cannabis market in 2019?

The slow rollout of stores, especially in provinces like BC, Alberta, and Saskatchewan, due to regulatory delays has been a significant challenge for cannabis retailers.

Q: How has Ontario's decision to switch to a lottery system for cannabis retail licenses impacted the market?

Ontario's decision has caused uncertainty and criticism. Inner Spirit Holdings partnered with a lottery winner in Kingston for the first lottery but is skeptical of the deals and returns offered by license winners from the second lottery.

Q: What are some advantages for cannabis retail stores in a competitive market?

As the market matures, retail fundamentals such as a good customer experience, well-trained staff, and a great selection of products become crucial. Inner Spirit Holdings believes these factors will differentiate successful retailers from others.

Q: How is Inner Spirit Holdings preparing for the introduction of edibles and other cannabis products?

Inner Spirit Holdings has been preparing for Cannabis 2.0 since the beginning. They have designed their stores, educated their staff, and are working on ensuring they have a top selection of edibles, vape pens, and beverages to cater to new customers.

Summary & Key Takeaways

• The slow rollout of stores in provinces like BC, Alberta, and Saskatchewan due to regulatory delays was initially a challenge for cannabis retailers. However, with improved supply stability, the opening of more stores has become easier.

• Ontario's decision to switch from an open market to a lottery system for cannabis retail licenses has faced criticism. Inner Spirit Holdings partnered with a lottery winner in Kingston, Ontario, but is skeptical of the deals and returns offered by license winners from the recent second lottery.

• Inner Spirit Holdings focuses on retail fundamentals, customer experience, well-trained staff, and quality brands to succeed in the competitive cannabis retail market. They believe that these factors will be more important as the market matures and moves beyond the initial hype.