The Importance of Cannabis Product Innovation in 2022

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Cannabis product innovation is more important than ever in 2022 as the industry becomes more competitive, new consumers enter the market, consumers become better informed about cannabis products, and consumers evolve both product and brand preferences.

It’s not surprising that cannabis companies are hiring veteran consumer packaged goods (CPG) executives outside of brands like PepsiCo, The Clorox Company, Nestle, and others. With this leadership position, you can bet that innovation in cannabis products will be a top priority for many companies this year. Let’s take a look at how product innovation will impact the industry in the near future.

Innovation offers consumer control

Forward-thinking cannabis manufacturers are already exploring ways to give consumers more control over the effects of cannabis products. One of the biggest ways to improve consumer scrutiny is through low-dose edibles.

Low-dose edibles are becoming increasingly popular among consumers who want to derive medicinal benefits from cannabis without the psychoactive effects. These products also reassure consumers that they are not over-consuming.

Additionally, low-dose edibles are a perfect line of products to bring new consumers into the cannabis market, as microdosing allows them to take control of their personal experiences. In other words, they can try a cannabis product without fear of it becoming inoperable for hours.

Innovation enables customized experiences

Today, the majority of cannabis users and non-cannabis users do not understand that cannabis use need not be a one-size-fits-all experience. Little do they know, cannabis experiences can be heavily customized to suit their individual wants and needs.

To that end, manufacturers are developing products that combine cannabinoids, terpenes, and flavonoids in innovative ways to provide consumers with tailored experiences. You can expect to see these products — along with expanded consumer education about how different combinations affect the experience — in the near future.

Speaking of cannabinoids, let’s not forget the growing interest in psychoactive compounds in cannabis alongside delta-9 THC. The rising popularity of Delta-8 THC has shown that consumers are looking for additional psychoactive experiences. This creates opportunities for the development of new legal products, such as B. Products with reduced psychoactive effects and improved therapeutic benefits.

Another way for manufacturers to enable more customized experiences is with time-release infused products. For example, Wana Brands has expanded its product line to include cannabis-infused, extended-release capsules that offer indica or sativa-specific options, allowing consumers to customize the effects and experience they have.

Innovation offers expanded product shape options

Two of the most popular cannabis-infused product forms have been edibles and beverages, and you can expect more options in both forms to hit the market throughout 2022. Not only are consumers looking for healthier edible options, but they are also looking for more beverage options, such as sports drinks to consume post-workout and social drinks to consume in place of alcohol.

Edibles and beverages have been successful in attracting new consumers to the cannabis market, and we’re still in our infancy when it comes to infused products. The coming year will be an exciting time in this category as more and more companies invest time and money in research and development.

Likewise, we can expect more product shape options to be introduced to meet the needs of older adults. Research shows that adults aged 50 and over use legal cannabis products in greater numbers, and product preferences for this age group differ from those of younger consumers. For example, older adults are more likely to choose to consume cannabis in pill form, so manufacturers should look for ways to keep up with this growing trend.

Innovation brings product consistency

One of the biggest challenges of the fragmented and heavily regulated cannabis industry is ensuring product consistency. While federal legalization and interstate transportation of cannabis materials and products could significantly alleviate the problem and pave the way for national cannabis brands, we’re not there yet. As a result, new technologies and innovations are helping to remove some obstacles.

Consumers are becoming better educated about the safety of cannabis products and they are beginning to understand that not all cannabis products are created equal. Stories of mislabeled products are often in the news, but until a process is in place to fully track ingredients and quality, things won’t be perfect.

In a recent Cannacurio podcast, ePAC Flexible Packaging’s Ryan Kiley shared some of the innovations his company is working on to more effectively track product quality using Certificates of Analysis (COA) and QR codes, and how this technology could evolve in the future Track product consistency from seed to retail to packaging recycling and beyond in a circular economy. This is just one example of how technology will bring product consistency to the cannabis industry. Artificial intelligence is another.

Key insights into cannabis product innovation in 2022

This year should be filled with announcements of cannabis product innovation as companies look for opportunities to gain a foothold in new and existing markets in preparation for future expansion. Additionally, companies looking to position themselves as acquisition targets will invest in research and innovation in 2022 to build their portfolios of valuable tangible and intangible assets.

Did you know you can track new and changing cannabis and hemp license data in the Cannabiz Media License Database and gather information on mergers, acquisitions and more with Cannabiz Intelligence™? Schedule a demo and see how you can achieve your 2022 goals when you have access to timely, reliable data.