SinglePoint Getting Off on the Right Foot with Pure American Hemp Cigarettes
September 30th, 2019
App, Exclusive, News, Top Story
If a company wants to generate substantial revenue from a tobacco product, it better get into convenience stores. According to the National Association of Convenience Stores (NACS) 2019 State of the Industry Report, conventional cigarette sales are declining, but sales of “other tobacco products” (OTP) are on the rise. In 2018, OTP dollar sales jumped 23.6%, increasing the category’s percentage of overall in-store sales to 6.7%. Margins are widening for OTP, as judged by a gross product percentage of 30% ranking OTP as the third most lucrative category in c-stores in 2018.
Overall, in-store sales (which excludes fuel) at c-stores continue to rise, hitting a record $242.2 billion last year. And that was with the number of c-stores actually edging down 1.1% to 153,237.
In a nation with about 330 million people, half – or 165 million Americans – frequent a c-store every day. Indeed, that is the place to be with “grab-and-go” products.
Luckily for SinglePoint (OTCQB: SING), they have a CEO in Greg Lambrecht that knows the c-store industry very well. In the 1990s, Lambrecht and Colin Jones built Premium Cigars International with c-stores as a main point of expansion, ultimately placing cigars in tens of thousands of locations and bringing the company public on the Nasdaq exchange.
Click here to see the company corporate presentation
The premier global event for the c-store industry is the annual NACS Show, which this year is October 1-4 at the Georgia World Congress Center in Atlanta. More than 1,200 companies, including Fortune 500 brands, exhibit their goods and over 23,500 visitors attend, networking and striking deals to get products into convenience stores.
SinglePoint will be exhibiting its new Pure American Hemp cigarettes for the first time at the convention (Booth #5653).
Lambrecht attended the convention over 10 times, dating back to when Premium Cigars International was first launching products. “Buyers would be lined up at our booth to place orders,” Lambrecht told CFN Media in a phone conversation.
The hemp industry is at the front of a seminal moment with the passage of the 2018 Farm Bill, which made hemp federally legal and opened up interstate commerce of products. Coupled with the legalization of cannabis and growing awareness of the therapeutic benefits of cannabidiol (CBD), interest and activity in new products is reaching fever pitch.
CBD, which is trumpeted as a treatment for everything from dry skin to epileptic seizures, is a compound found in hemp and cannabis that has insignificant amounts of tetrahydrocannabinol (THC). THC is the component of marijuana responsible for the psychoactive “high.” By definition, hemp is essentially THC-free (<0.3% THC).
Looking forward to NACS, Lambrecht believes there will be plenty of buyers looking specifically for hemp cigarettes. And SinglePoint will be ready, evidenced by him commenting in a recent press release, “It’s the right product at the right time in the right place. We are set up and ready to take orders at the show.”
Click here to see the company corporate presentation
Pure American Hemp Cigarettes
Reaping benefits of CBD can be tricky insomuch that it doesn’t seem to have the same effect on everyone depending on how it is delivered and the person ingesting it. CBD can be found in a broad range of products, like creams, pet products and supplements, many of which SinglePoint sells on its e-commerce site, SingleSeed.com. When it comes to smoking, though, the quality of CBD to lower anxiety seems to be universally effective on people.
SinglePoint makes its Pure American Hemp cigarettes in four different varieties. All have the common thread of being nicotine-free, tobacco-free and grown organically, without pesticides and other contaminants, which should allow SinglePoint to command premium pricing.
The premium model is somewhat akin to British American Tobacco’s American Spirit brand, in that consumers tend to be open to paying more for products that have fewer additives and are more natural (even though American Spirit had to remove the word “natural” from its packaging in 2017).
Most experts agree that hemp is not addictive. To that point, hemp cigarettes can be viewed as an alternative to smoking conventional cigarettes or vaping to help kick the nicotine habit.
Ahead of the Show, Sales Already Coming In
Lambrecht says that they’ve got their order book ready for NACS, but the fact is that it won’t be the first sales of Pure American Hemp cigarettes. Ahead of the show, the company engaged High Performance DM to lead a campaign marketing the new hemp product. More than 5,000 direct mailers and 40,000 emails have been sent to verified NACS attendees responsible for making buying decisions.
Some couldn’t even wait until the convention, with orders already having been received and some distribution deals now in place.
Click here to see the company corporate presentation
Given estimates by the cannabis market analysts at BDS Analytics and partner Arcview Market Research that U.S. CBD sales will top $20 billion by 2024, it’s not a surprise that c-stores are looking to get in front of the movement. SinglePoint is building its footprint across the industry and just may be setting Lambrecht up for his second success in the smoking space given that sales of smokable hemp are, no pun intended, on fire. Brightfield Group identified dried and smokable hemp flowers as one of the fastest growing segments in the CBD market.
From 2017-2018, the smokable hemp market exploded with 250% growth and that was before the 2018 Farm Bill legalized hemp throughout the U.S. Look for more of the same going forward and for word from SinglePoint about successes at the convention and consumer uptake as the marketing initiatives move on.
CannabisFN.com is not an independent financial investment advisor or broker-dealer. You should always consult with your own independent legal, tax, and/or investment professionals before making any investment decisions. The information provided on https://cannabisfn.com(the ‘Site’) is either original financial news or paid advertisements drafted by our in-house team or provided by an affiliate. CannabisFN.com, a financial news media and marketing firm enters into media buys or service agreements with the companies that are the subject of the articles posted on the Site or other editorials for advertising such companies. We are not an independent news media provider. We make no warranty or representation about the information including its completeness, accuracy, truthfulness or reliability and we disclaim, expressly and implicitly, all warranties of any kind, including whether the Information is complete, accurate, truthful, or reliable. As such, your use of the information is at your own risk. Nor do we undertake any obligation to update the items posted. CannabisFN.com received compensation for producing and presenting high quality and sophisticated content on CannabisFN.com along with financial and corporate news.
This article was published by CFN Enterprises Inc. (OTCQB: CNFN), owner and operator of CFN Media, the industry’s leading agency and digital financial media network dedicated to the burgeoning CBD and legal cannabis industries. Call +1 (833) 420-CNFN for more information.
About CFN Media Group
CFN Enterprises Inc. (OTCQB: CNFN) owns and operates CFN Media Group, the premier agency and financial media network reaching executives, entrepreneurs and consumers worldwide. Through its proprietary content creation, video library, and distribution via www.CannabisFN.com, CFN has built an extensive database of cannabis interest, assisting many of the world’s largest cannabis firms and CBD brands to build awareness and thrive. For more information, please visit www.cfnenterprisesinc.com.
Disclaimer: Matters discussed on this website contain forward-looking statements that are subject to certain risks and uncertainties that could cause actual results to differ materially from any future results, performance or achievements expressed or implied by such statements. CFN Media Group, which owns CannabisFN, is not registered with any financial or securities regulatory authority and does not provide nor claims to provide investment advice or recommendations to readers of this release. CFN Media Group, which owns CannabisFN, may from time-to-time have a position in the securities mentioned herein and will increase or decrease such positions without notice. The Information contains forward-looking statements, i.e. statements or discussions that constitute predictions, expectations, beliefs, plans, estimates, or projections as indicated by such words as "expects", "will", "anticipates", and "estimates"; therefore, you should proceed with extreme caution in relying upon such statements and conduct a full investigation of the Information and the Profiled Issuer as well as any such forward-looking statements. Any forward looking statements we make in the Information are limited to the time period in which they are made, and we do not undertake to update forward looking statements that may change at any time; The Information is presented only as a brief "snapshot" of the Profiled Issuer and should only be used, at most, and if at all, as a starting point for you to conduct a thorough investigation of the Profiled Issuer and its securities and to consult your financial, legal or other adviser(s) and avail yourself of the filings and information that may be accessed at www.sec.gov, www.pinksheets.com, www.otcmarkets.com or other electronic sources, including: (a) reviewing SEC periodic reports (Forms 10-Q and 10-K), reports of material events (Form 8-K), insider reports (Forms 3, 4, 5 and Schedule 13D); (b) reviewing Information and Disclosure Statements and unaudited financial reports filed with the Pink Sheets or www.otcmarkets.com; (c) obtaining and reviewing publicly available information contained in commonlyknown search engines such as Google; and (d) consulting investment guides at www.sec.gov and www.finra.com. You should always be cognizant that the Profiled Issuers may not be current in their reporting obligations with the SEC and OTCMarkets and/or have negative signs at www.otcmarkets.com (See section below titled "Risks Related to the Profiled Issuers, which provides additional information pertaining thereto). For making specific investment decisions, readers should seek their own advice and that of their own professional advisers. CFN Media Group, which owns CannabisFN, may be compensated for its Services in the form of cash-based and/or equity-based compensation in the companies it writes about, or a combination of the two. For full disclosure, please visit: https://www.cannabisfn.com/legal-disclaimer/. A short time after we acquire the securities of the foregoing company, we may publish the (favorable) information about the issuer referenced above advising others, including you, to purchase; and while doing so, we may sell the securities we acquired. In addition, a third-party shareholder compensating us may sell his or her shares of the issuer while we are publishing favorable information about the issuer. Except for the historical information presented herein, matters discussed in this article contain forward-looking statements that are subject to certain risks and uncertainties that could cause actual results to differ materially from any future results, performance or achievements expressed or implied by such statements. CFN Media Group, which owns CannabisFN, is not registered with any financial or securities regulatory authority, and does not provide nor claims to provide investment advice or recommendations to readers of this release. CFN Media Group, which owns CannabisFN, may from time to time have a position in the securities mentioned herein and will increase or decrease such positions without notice. For making specific investment decisions, readers should seek their own advice and that of their own professional advisers. CFN Media Group, which owns CannabisFN, may be compensated for its Services in the form of cash-based and/or equity- based compensation in the companies it writes about, or a combination of the two. For full disclosure please visit: https://www.cannabisfn.com/legal-disclaimer/.