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Forecasting Cannabis Demand and Supply with The Calico Group

As marijuana continues to be legalized in more cities and states, cannabis sales are simply exploding. Medical marijuana has now been legalized in 39 states and Washington, D.C. In addition, the approval of adult-use (sometimes called recreational) cannabis by 19 states and Washington, D.C. supports the data that it will continue to be a robust category for the foreseeable future.

This is one product industry where sales are forecasted to increase steadily and rapidly. By 2030, the U.S. cannabis market is projected to reach $72 billion annually, according to the research group New Frontier Data

Unfortunately, things are not always simple or straightforward for companies looking to maintain a constant flow of cannabis product orders.

Obstacles to Selling Cannabis

Pandemic-fueled labor woes, shipping interruptions, product delivery delays, and rising prices can potentially disrupt your company’s ability to stock, warehouse, and sell cannabis products. 

These challenges can happen to you no matter how large or small your business is.

Utilizing the skills of a business-to-business, full-service cannabis supply chain company, often called an ancillary cannabis company, will reduce these obstacles for you.

Why You Need to Work With an Ancillary Cannabis Company 

Legally selling cannabis and cannabis-related products requires planning, strategy, and business savvy. Working with a specialized ancillary business (supply chain cannabis company) is vital to keeping products on your shelves and your business’s survival.

An ancillary marijuana company does not traditionally work directly with the cultivation, production, or retail sales of marijuana. 

The true focus of cannabis supply chain companies includes some of the most vital support systems you need to grow your business:

  • Inventory management
  • Cannabis distribution and logistics
  • Supply chain management
  • Turnkey manufacturing
  • Quality control
  • Delivery
  • Global cannabis warehousing
  • Cost analysis
  • Freight management
  • Distribution
  • Fulfillment
  • Forecasting services
  • …and so much more

Partnering with a supply chain cannabis company can make the difference between keeping your doors open or having to close down shop.

The Urgency of Cannabis Supply Forecast

As part of the current global supply chain crisis, cannabis has seen the most basic items difficult to source. It’s no surprise to learn that supply chain disruptions can be devastating to individual cannabis businesses.

The popularity and legalization of marijuana have become more mainstream, creating higher demand. As a result, today’s cannabis industry requires a high-tech approach to forecasting, warehousing, and distribution. Undoubtedly, managing the supply chain for long-term success is increasingly important.

An experienced supply chain company can help guide you.

Forecasting Inventory

To keep a consistent flow of sales, you need products. A reputable cannabis supply chain company will help manage inventory, ensuring you keep the right products in the right quantity at the right time.

The best supply chain companies understand seasonality and the essential need to forecast both short- and long-term demand to support planning and profits. 

At The Calico Group, we understand the consequences of poor inventory management: 

  • Stocking too little product results in empty shelves, causing a loss of revenue for your company.
  • Out-of-stock products frustrate your customers, who may decide to go elsewhere to get their cannabis products.
  • The opposite is also true; if you stock too much of a product, you unnecessarily lock up capital in your inventory, resulting in cash flow issues.

Experience Matters

The Calico Group has been a leading cannabis supply chain and logistics company since 2017. Our growing team of creative experts is ready to support your cannabis business from concept to post-delivery services.

Based out of Austin, Texas, we have both domestic and overseas offices. The Calico Group delivers a full-service approach to match your current and future needs. Most importantly, we are proud of the values that set us apart:

  1. Commitment
  2. Integrity
  3. Accountability
  4. People first
  5. Performance you can count on

The Calico Group Advantage

Relationships are essential, and the legal landscape is constantly changing in the cannabis industry. It’s diverse and comprises a wide range of businesses.

We understand that fluctuating federal and state regulations, warehousing restrictions, and transportation parameters limit how your cannabis businesses can operate. In addition, this multibillion-dollar industry has numerous product SKUs across many diverse categories.

It can get complicated and overwhelming.

You don’t have to navigate it alone. Working with our cannabis supply chain company will help your business by improving efficiency, lowering risk, and navigating complex logistics. 

A Final Thought

The partnerships you develop can make or break your business. At The Calico Group, we work closely with companies ranging from budding startups to vertically integrated public entities.

We will use our professional knowledge to guide you every step of the way. From multi-year supply planning to custom cannabis packaging solutions, you can count on us.

We specialize in:

  • Developing logistics networks
  • Negotiating fair prices 
  • Building and managing contracts with suppliers
  • Driving efficiency in cannabis warehousing and distribution
  • Navigating the complicated regulatory environment around packaging and labeling (cannabis is still illegal at the federal level)
  • Guidance to meet shipment requirements and restrictions

At The Calico Group, everything we do and believe is focused on making each unique customer successful.

Contact us now at (888) 398-4361 to learn more about how we can support your company’s growth in the cannabis category. We look forward to working with you!


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