The New Hemp Industry Landscape; More than Moving Pounds
From Texas to Maine, California to Florida, it’s nearly impossible to walk into a retail, grocery, or convenience store without seeing a THC-infused beverage, hemp-derived gummies, or CBD oil.
What was once known as modern-day snake oil, CBD, and hemp in general, is here to stay. In today’s modern world, consumers are able to access THC and other cannabinoids more easily than ever before. Even expanding to wellness shops on every corner, with hemp flower sales in storefronts that aren’t just legal dispensaries.
Of course, what consumers don’t know is what it takes behind the scenes to navigate a complex hemp supply chain system to offer quality, safe hemp products to consume.
“Literally, everyone has pounds,” explains Justin Sandone, co-founder of Elevated Trading “Store owners are getting approached, all day every day, by every Joe Blow that has a friend with a farm.”
In such a burgeoning industry, you wouldn’t expect retailers to have to navigate the wild, wild west of hemp buyers. From those who bait and switch on quality products, leaving their customers hanging. Or, being unreachable when shipping issues arise instead of getting the type of support they need to succeed.
In an oversaturated market, it’s easy for retailers to get swindled by what looks like high profit margins, only to hurt their business even more by selling poor-quality flower, to potentially longtime, loyal customers.
An unfortunate fact that lends itself to the unprofessionalism of the current market. Fortunately, industry leaders like brothers Justin and Cody Sandone are taking it upon themselves to repair the broken hemp supply chain and breathe a level of professionalism into a market that so desperately needs it. Working behind the scenes to build farm-to-retail relationships that support quality, consistency, and reliable products reaching the shelves.
What’s Happening in Hemp
Since the 2018 Farm Bill legalized the cultivation, processing, and sales of hemp-derived products, the market has been flourishing – frantically. Regardless of the global hemp industry commanding $1.8 billion in sales in 2023, it’s an industry that is highly unregulated due to a lack of infrastructure.
Leaving retailers, who are responsible for distributing the industry’s main commodity, without much guidance or education on how to do so safely, legally, and, of course, profitably.
“There’s no good roadmap; there’s not a lot of information for retailers to know how to succeed,” Sandone explains, “Like, how to vet these people, how to vet these products, how to know whether they’re from licensed hemp farms or not, to maintain compliance and the legalities around having these products in your store.”
And leaving consumers without retailers to rely on for consistent, reliable, quality products. That’s why two retail pioneers and consumers themselves, set out to bridge the gap between farms producing quality flower, and retailers distributing it.
Two Brothers, One Goal
Elevated Trading co-founders Cody and Justin Sandone were no strangers to the wholesale and retail worlds when they started Elevated Trading.
“We had an electronic cigarette store and started seeing CBD come on. Once we started to see flower come on to the market, it became very evident, very quickly, how broken the supply chain was – it was hard to get good suppliers, ” says Sandone.
The brothers were also no strangers to the hemp industry after investing in a hemp farm located in Oregon. Only to be thrown into the thick of the market, needing to move 1,000 pounds of flower to recoup their investment, quickly thereafter.
With that experience in their pocket, they set out to create the best buying experience they could for the retailers they related to, with a few core values they related to even more. Like one value, “create raving fans” that they’re already clocking success with, serving thousands of retail stores across the US.
“We’re not here to be in the spotlight. We’re here to support our customers,” Sandone points out, “We’re here to put their brand in the spotlight by offering the best products we can at the right price point for them to be in line in the market and deliver a high value, fair price product to the customer. ”
Today, Elevated Trading does just that by sticking to their expertise in sourcing premium THCA flower, while supporting their retail customers with the network they’ve built over the years.
“We have a background in retail. We get it. We understand what consumers are looking for, and we know what it’s like to run a retail business. So working together to help round out their product set—the right pieces for their store, at the right price points where they can be competitive—that’s what we do,” affirms Sandone.
Bridging the Farm to Retail Gap
Where the hemp industry has especially struggled is building connections between the farms growing the hemp and the retailers selling it. Leaving farmers struggling to know what retailers are seeking and leaving retailers struggling to find a reliable, compliant source for product.
As soon as this gap became glaringly obvious to the retail pros, the Sandones, they knew they had the knowledge, network, and drive to fix it.
“It was a broken chain. So we saw an opportunity to come into it on the wholesale side, with an understanding of how to operate a business that’s focused on customer service and build something that could bridge the gap between farms and retailers to create the best buying experience possible.”
For consumers included. Over the years, Elevated Trading has helped bring thousands of products to the shelves, supporting large scale retail operations with reach across the nation.
“Behind the scenes, Cody and I work very closely with the farms we’re partnered with. We’re constantly bridging the gap between retailers and farms, with conversations like, ‘Hey, a lot of retailers are looking for this strain.’ Or, ‘retailers are looking for this indoor flower’, Sandone continues.
“We’re making sure those lines of communication are open.”
Changing the landscape of wholesale hemp
As we’ve seen in history, it only takes one or two players to shape the way an industry operates. Until now, the hemp industry has lacked a sense of professionalism that the Sandones are seeking to breathe back into the market.
In an industry where there are still “tons of brokers out there, just selling material they don’t own yet, promising the moon and not being able to deliver,” Sandone describes, Elevated Trading’s operations were specifically designed to operate differently.
“It’s not enough to have a satisfied customer. We want our customers to be so happy and so thrilled to be working with us – they can’t wait to tell someone else and that drives everything we do in our company,” continues Sandone.
A mission that’s glaringly obvious for any first-time retailer placing an order with the company.
“From the initial introductory call, to the sales process, to the delivery, to the handling of any issues, to following up to make sure the product is the right fit, and checking in to make sure it’s working for their store,” explains Sandone “We emphasize so much on creating raving fans – on providing excellent customer service and an amazing buying experience for customers.”
So, what’s the future of hemp look like for Elevated Trading?
Looking forward, the Sandones will continue to nurture relationships with the network of farms and retailers they work with to shape the future of the cannabinoid market. Serving as the trusted partner that bolsters the hemp supply chain for shared success across its players.
As consumers increasingly seek out unique strains or as minor cannabinoids ebb and flow, Elevated Trading seeks to stand out as a wholesale partner that retailers can rely on.