In an evening filled with bubbly drinks and meditation exercises, MedReleaf (TSX:LEAF) gave investors a closer look at its plans for the recreational cannabis market by officially launching its second consumer brand, AltaVie.
While the company is known primarily in the cannabis space for its medicinal products, it has now made its second foray into the recreational space, with a brand focusing around the concepts of wellness and mindfulness.
Linda Burlison, MedReleaf’s director of digital marketing and commercialization, told the Investing News Network why the company expanded further into the recreational component of cannabis.
“Everything that has gone into making really top-quality cannabis that really helps medical patients, we’re bringing that same discipline and rigor and approach to the recreational side,” Burlison said.
Despite being a company already known for its focus on medical products, Burlison said she anticipates consumers being drawn to MedReleaf’s recreational brands based on the production efforts that go into its medical line.
“Once [consumers] start experiencing our products on the recreational side, while they may be for different purposes, different occasions, I think that they’ll appreciate that it’s that same core discipline.”
Had the pleasure of photographing the @AltaVie brand launch last night at @OnlyOneGallery hosted by @MedReleaf … posted some pics on instagram @Ethicalimage – but here’s a sneak peak of the beautiful space! #cannabis #wellness #brand #event #Toronto #Canada pic.twitter.com/smCfhI2jbx
— Patrick (@420Inv) April 6, 2018
While MedReleaf already holds a separate recreational cannabis line, San Rafael ‘71, Burlison explained that AltaVie is meant to welcome newcomers to the cannabis space.
Burlison said AltaVie will appeal to people looking for cannabis to be an “accessible and approachable” product, something that does not scare them. She explained that San Rafael ‘71 will appeal to consumers with experience and knowledge of cannabis culture.
“I think people can really party with [marijuana], but then there’s a whole side to it where it can bring clarity to you … [and] can help you find some peace in a crazy world,” she said.
In a note to cannabis investors earlier this year, Daniel Pearlstein, cannabis analyst with Eight Capital, wrote that observers of the industry should start to seriously consider branding metrics instead of obsessing over “farming and oversimplified capacity-based metrics” when evaluating these companies.
In its initial research report on MPX Bioceuticals (CSE:MPX), Canaccord Genuity analyst Matt Bottomley echoed Pearlstein’s point on branding.
“We believe successful branding strategies and retail distribution will eventually determine industry winners,” Bottomley wrote in his note issued March 26.
Securities Disclosure: I, Olivia Da Silva, hold no direct investment interest in any company mentioned in this article.
With files from Bryan Mc Govern.