What you can Learn from Netflix
Hello and welcome to theBlunt
Today's issue is called: What Can You Learn From Netflix?
Did you guys see that Netflix is getting into the cannabis business?
If you missed it, there is a new series titled “Disjointed” about a woman (Kathy Bates) who realizes her dream and opens a cannabis dispensary.
To be honest, I haven’t watched an episode yet… because it involves sitting down long enough to watch an entire episode… but I will get to it eventually, maybe when it’s cold and rainy outside.
Regardless of the actual show, there are a few things that jumped out at me with the announcement of this new series.
- Netflix is getting into cannabis. Seriously. Netflix.
- Talk about product placement - and a new wave of marketing! It’s brilliant.
Netflix is once again disrupting the status quo by taking an approach that, if you can believe it, is even more direct than actors strategically holding their Budweiser or Coke with the label out – though it doesn’t exclude this tactic, either.
They said forget that old way of product placement… we’ll make the entire show about the product instead AND create products for that show!
With the following that Netflix has created online, sales of their products will now be almost effortless. Well, except that part where they had to change the entire television industry, and when they became a production company, and in doing so force themselves to stay abreast of the latest technology in the industry. But… after that, it’s effortless.
My understanding for this series is that they created strains (Or more likely re-named existing strains) that pair well with Disjointed, as well as other shows such as Bojack Horseman.
In my opinion, the real genius is in how Netflix has named these stains. With this new approach of a product-centered show, Netflix is not only airing this new series online to their nearly 100 million subscribers, but they are also adding additional visibility and attention to other series. Their strains are named after other series they produce such as “Grace and Frankie”, “Santa Clarita Diet”, and “Orange Is The New Black.” You do realize that Netflix is advertising their own products, their new show, and a whole bunch of their old shows all with this one move. That’s brilliant.
For the product itself, these new Netflix branded strains are available at a West Hollywood pop-up shop for medical patients. I’m sure those strains will see a higher demand from the sheer recognition they’ll get online. Now, it will be up to the budtenders to really shine when those particular products run low or when they know the effect isn’t really what the client/patient is after. Netflix has said that they are not profiting directly off sales of the product, but I bet you if you wanted to carry their new brands, you would be able to do so with a licensing fee or similar payment, hence, an additional revenue stream for the company and more name and brand recognition all rolled into one.
There are two things that we can learn from Netflix here:
One. A company as large and influential as Netflix is hopping on the cannabis bandwagon, which makes me wonder, who could be next? If enough fortune 500 companies can (arguably) make a statement, then we might see major steps toward nationwide legalization.
Two. More importantly, you have to wonder if it’s worth your time to partner up with other successful brands and names in the business instead of trying to create a following from scratch? It might not be a bad thing to consider. After all, business is about economics.
If you do decide that the brand-name recognition is worth it, then make sure to brush up on your licensing agreements and the complexities involved. It’s not a simple task to undertake and definitely not one you should try on your own.
For this topic, you need legal advice from attorneys who understand both cannabis PLUS mergers and acquisitions. That’s a hard combo to find, but we’re happy to call some knowledgeable and dedicated attorneys members of our CannaLocations family.
When you are ready to take your business to the next level, we can help match you with your legal representatives and the partners that you’ll need to get there. Give us a call at (206) 466-4020 or firstname.lastname@example.org to make it a reality.
In the meantime, “Netflix and chill” just got a whole new definition.