The Importance of Cannabis Product Innovation in 2023

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We all know how unique the cannabis industry is, and that uniqueness applies to product development and innovation as well. Cannabis markets in the United States and around the world are at very different stages of the market lifecycle – from new to mature, but all companies involved in and with this industry can benefit from product innovation.

A year ago I wrote an article on cannabis product innovation in 2022, and now it’s time to take a look at cannabis product innovation in 2023.

Last year I wrote about how cannabis product innovation would offer consumers control, enable personalized experiences, expand product form options, and bring product consistency. A year later, we’ve definitely made progress in all four of these innovation areas, but there’s a lot more innovation to do.

In 2023, all four of these innovation areas are still important, and we can add four more to the list – expanding consumer choice, expanding market reach, improving business processes, and leveraging artificial intelligence. Let’s take a closer look at each one.

Innovation will expand consumer choices

One of the most exciting areas of product innovation in 2023, which will expand consumer choice, is genetic profiling. Thanks to a variety of innovative products—including growing media, lighting, and more—cannabis growers are finding new ways to control harvest and consistently achieve specific results.

For example, breeders can use a variety of innovative products and technological advances to enhance chemotype expression, isolate cannabinoids and terpenes, and create specific genetic profiles that manufacturers can then use to create new cannabis products. The result will be expanded consumer choice at the retail or pharmacy level.

Innovation will expand market reach

With greater product choice in retail or dispensary, the cannabis market will expand to new consumer audiences. For example, microdosing has long been a hot topic, and genetic profiling and crop control will be the catalysts for the development of innovations that appeal to a broader consumer audience than ever before.

In my article on cannabis resolutions for 2023, the first resolution listed is to study Gen Z because they are the future of the cannabis industry. In order to expand market reach to this very large and unique audience, innovation is essential. Developing innovative products that cater to the needs of future consumers should be a top strategy for any cannabis brand in 2023.

Innovation will improve business processes

In 2023, more companies involved in and with the cannabis industry will invest in innovative products to improve business processes. With many cannabis markets in decline, it’s more important than ever to streamline tasks, improve decision-making, and drive business results. Innovative products can help with all three:

1. Optimize tasks

Innovation can improve business processes by removing steps and making it easier to get things done and achieve business goals. For example, Cannabiz Media’s Cannabiz Intelligence™ platform streamlines processes associated with tracking and analyzing cannabis license holder financial data by bringing multiple dashboards together in one place. Custom watchlists, news alerts, and a merger and acquisition simulator make it easy to automate many of the processes involved in company research and valuation.

2. Improving decision-making

Decision-making is improved when companies invest in innovative products that give them the information they need. Across the value chain there are innovative products helping cannabis companies make better decisions – from tensiometers that help growers know when their plants actually need to be watered, to the Cannabiz Media License Database that gives access to all information companies for cannabis license holders offers many sales and marketing decisions to make.

3. Increase results

Innovative products can help cannabis and cannabis-related businesses achieve better results and outcomes. For example, features like send time optimization in the Cannabiz Media License Database improve email marketing’s return on investment (ROI) by letting email marketers know the best day and time to send each campaign to cannabis license holders send for best results. At the retail and pharmacy level, loyalty software can identify the best times to deliver loyalty offers, discounts, and more for the best results.

Innovation will include artificial intelligence

Articles about artificial intelligence innovations appear in the news every day, and we’ll likely see more of them in the future. Artificial intelligence will play a role in so many aspects of business in the future, and that includes business in the cannabis industry. The Cannabiz Media License Database and Cannabiz Intelligence are already using artificial intelligence in a variety of ways, and artificial intelligence is spreading across the entire value chain – from cultivation and manufacturing to distribution, supply and retail/dispensary sales.

Key takeaways for cannabis product innovation in 2023

Cannabis product innovation in 2023 will be about expanding consumer choice, expanding market reach, and improving business processes. At the same time, more and more companies will integrate artificial intelligence into their product innovation roadmaps.

Successful companies will look for ways to introduce innovations that keep their businesses and brands relevant, as well as ways to disrupt the market by bringing something new to market. The result will be a better, stronger, and larger cannabis industry positioned for long-term success despite the micro and macro environmental factors that bring about constant change.

You can keep up to date with all cannabis and hemp license holder data by subscribing to the Cannabiz Media License Database. Schedule a demo to see how it can help you achieve your business goals in 2023 and beyond.