Are Hemp-THC Beverages Competing With Alcohol? Experts Discuss New Alternatives For Adult Beverages At Benzinga Cannabis Conference

At the recent Benzinga Cannabis Capital Conference in Florida, a panel featuring industry experts David Mukpo, CEO of Pamos Beverage, Rachel Burkons from the Cannabis Hospitality Coalition, Diana Eberlein, president of Cannabis Beverage and Jonathan Black of Cheech & Chong. The panel was moderated by Ricardo Baca from Grasslands, discussed the perspectives of cannabis beverages. The encounter, entitled “High Spirits: Reshaping Social Consumption In The Hospitality Space,” highlighted a segment poised for explosive growth in a post-280E tax environment.

Beverages And Mass Consumption

The discussion opened with a key question about the most exciting developments in social cannabis consumption, to which the unanimous response was “Beverages.”

The strategic push to incorporate these products into arenas, restaurants and bars was a major theme. Rachel Burkons highlighted the seamless integration possible due to the existing familiarity with beverages in hospitality. "And because we’re working with people who understand beverage and hospitality in that bar restaurant channel, we don’t need to reinvent the wheel."

Diana Eberlein shared striking insights into the market performance of THC beverages, which are beginning to outsell traditional staples across various retail settings. "We are hearing reports from other retailers saying that THC beverages are outselling any single varietals of wine, outselling vodka. Those are big numbers," Eberlein pointed out. This trend underscores the potential for hemp beverages to bolster bar sales as alcohol consumption declines.

High-Quality Lounges

While the mass consumption market is thriving, the path to establishing high-quality cannabis lounges is fraught with regulatory challenges. Rachel Burkons looked at some of the operational hurdles. "There have been a lot of ways operators have had one hand, both hands tied behind their back."

However, she also sees significant opportunities, especially as regulations evolve and expand across states. "So creating low dose beverages at the 2.5 level for hospitality where folks can maybe order 2 or 3 depending on their dose, is a really great way for operators to also make some margin on this category," she added.

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Positively valuing cannabis-lounges David Mukpo also emphasized the importance of integrating low-dose THC beverages into conventional social settings. “I think certainly from a regulated space, seeing high-quality lounges that are sustainable, launching in the regulated space is fantastic. And I think it’s going to be a critical piece of the industry moving forward.” He noted the shift towards beverages typically reserved for alcohol, spotlighting the growing consumer adoption.

Beverages Will Fuel Cannabis Hospitality

Jonathan Black echoed the sentiment about the importance of adjustable dosing to meet individual needs, adding that the lack of a standard dose as both a challenge and an opportunity. "There is no standard dose. On my team, let alone in the country…the first answer is everyone has a different dose, and we need to give everybody access to that dose."

The panelists agreed that education would play a crucial role in this transition. Diana Eberlein stressed the importance of educating distributors and retailers about THC dosages and product offerings. "I mean, especially with the increased accessibility of these products being in total wine and in front of a consumer that might not understand dosages of THC, even understand how THC will impact their body. Education is crucial," she said.