Recently, a woman named Koushi Sunder walked into a fascinating new type of store.
At first she was excited…
But her emotions soon turned to disappointment — and then dread.
Here’s how she described it:
I felt like an idiot. I wanted to ask questions… I wanted to see what was going on… but there wasn’t time. There was this huge line of people behind me, so I just grabbed something and left. I felt like it could have been a really cool experience, but instead it kind of sucked.
Today I’ll bring you behind the scenes of this new type of store…
Then I’ll explain how Koushi’s experience could lead you to enormous profits.
The “Fastest-Growing Industry in America”
As you may have already guessed, Koushi was visiting a legal marijuana dispensary.
Legal weed is already a $7 billion market in the U.S. — and by 2020, it’s estimated to reach $22 billion in the U.S., and $500 billion globally.
The New York Times recently called it the “fastest-growing industry in America.”
Currently, 26 states have legalized medical marijuana, and seven states have legalized recreational marijuana.
And when weed becomes legal at the federal level (investment bank Ackrell Capital believes it could be as soon as 2020), the floodgates will open wide.
But might they open too wide?
Paralyzed By Choice
As Koushi experienced first-hand, dispensaries are already overwhelming…
Here’s what a typical store looks like:
Hundreds of varieties of “flowers” and “edibles”… vapor pens… topical solutions…
Picture a kid in a candy store — but in this store, a long line of impatient adults is gathering right behind you, eager to get their “candy.”
For Sunder, it turned into a terrible experience…
After waiting in line for more than 30 minutes, she finally came face-to-face with a “budtender” (that’s what salespeople are called at dispensaries). He tried to hurry her along, pressing her to make a quick decision.
When Sunder asked a question, the budtender was condescending and made her feel stupid and ashamed. Humiliated, Sunder grabbed the first thing she saw.
For a shopper in today’s world, experiences like Sunder’s are becoming more and more common. In fact, in a book called The Paradox of Choice, psychologist Barry Schwartz showed how having too many choices creates tremendous stress and anxiety for shoppers.
But Sunder realized that stress and anxiety are the exact opposite of weed’s intended benefits…
So she decided that a new way to buy pot was needed — and she decided she should do it herself.
Introducing Stemless
Sunder soon created an online start-up called Stemless.
Stemless takes the anxiety out of the pot-purchasing process:
Because it’s online, there are no lines, no crowds and no pressure.
Basically, Stemless enables consumers to order weed online from their local dispensary. It ensures that the process is painless for customers, and legally compliant for the dispensary.
Customers just go to www.stemless.co, enter their zip code, and the closest stores come up with a menu and descriptions of their offerings.
And once they’ve paid, customers can get their order delivered, or pick it up at the dispensary — no hassles.
A Good Investment?
Stemless is currently raising a small investment round from investors like you.
Should you consider investing?
At first blush, we see a couple of big pros and cons.
On the plus side, Stemless is offering a clear solution to problems for customers and dispensaries — and because of that, it’s already having success:
It’s signed up more than a dozen dispensaries who pay a set-up fee, a monthly fee, and a percentage of sales — and it’s bringing in tens of thousands of dollars in revenues.
But there’s also a big negative here, too. To understand it, let’s back up for a minute:
Legal weed is one of the biggest, fastest-growing, most exciting sectors on the planet…
For investors like you, there are huge profits to be made here.
But we can’t just bet on any cannabis start-up that crosses our path… we need to bet on the right companies.
The big “con” we see for Stemless is that it isn’t aiming high enough:
It’s going to be competing with some major players — including established players in marijuana delivery like Eaze, as well as a start-up we recently recommended to our paying customers that’s aiming to be the “Amazon of Cannabis.”
Setting your sights on becoming the Amazon of Cannabis is a big, bold vision:
Imagine an online weed store, available nationally, that could help guide you to exactly what you’re looking for — and could offer you the largest number of customer reviews, the lowest prices, the quickest delivery, etc.
That’s the kind of vision — with a roadmap to get to $60 million in sales in the next two years — that can lead early investors to huge profits.
In comparison, Stemless is aiming to generate just a few million dollars in sales by 2019, and isn’t communicating a clear vision for how it could build a far bigger business.
Stemless has a strong team, but given the massive opportunities for profits in this emerging sector, we wonder if its goals are aggressive enough.
We’re going to keep searching for the best start-up pot deals — and we recommend that you do the same.
In the meantime, we’d love to hear what you think about Stemless…
Do you think it could be a good investment?
Best Regards,
Founder
Crowdability.com
