Claybourne Co. Market Research Report

Background

Overview

Claybourne Co., established in 2017, is a leading cannabis breeder, cultivator, and retail brand based in Riverside, California. The company specializes in ultra-premium flower products and infused pre-rolls, positioning itself as one of California's top-selling cannabis brands. Claybourne Co. operates through independent retailers and does not own any company-operated stores.

Mission and Vision

Claybourne Co.'s mission is to produce the highest quality, flower-based cannabis products that are accessible to a wide range of consumers. The company aims to redefine cannabis culture through untraditional collaborations and partnerships, focusing on authenticity and community engagement.

Industry Significance

Since its inception, Claybourne Co. has achieved rapid revenue and profit growth within the competitive California cannabis market. By 2021, the company was ranked as the #3 flower brand in California by retail sales and the #12 brand overall year-to-date.

Key Strategic Focus

Core Objectives

• Product Excellence: Focus on producing high-quality, flower-based cannabis products.

• Market Expansion: Expand into other states with open markets, no license caps, and no residency requirements.

• Brand Authenticity: Engage in untraditional collaborations and partnerships to redefine cannabis culture.

Areas of Specialization

• Flower Products: Offer a diverse range of strains and package sizes.

• Infused Pre-Rolls: Develop and market infused pre-rolls under the Flyers™ brand.

• Concentrates: Expand the Claybourne Eagle Extracts™ line of concentrates.

Key Technologies Utilized

• Science-Based Breeding: Implement advanced breeding techniques to develop proprietary genetics.

• State-of-the-Art Cultivation: Utilize modern cultivation facilities to enhance product quality.

Primary Markets Targeted

• California: Maintain a strong presence as a leading cannabis brand.

• Other States: Explore expansion into states with favorable cannabis regulations.

Financials and Funding

Funding History

• October 2021: Closed a $17.5 million funding round, including a $10 million Series A equity financing led by Green Acre Capital and a $5 million working capital line of credit from Bespoke Financial.

Total Funds Raised

• $17.5 million as of October 2021.

Notable Investors

• Green Acre Capital: Led the Series A equity financing.

• Bespoke Financial: Provided the working capital line of credit.

Utilization of Capital

• Cultivation Facility Expansion: Build-out of a 45,000 square foot cultivation facility in Perris, California.

• Product Development: Expansion of the Flyers™ line of pre-rolls and Eagle Extracts™ line of concentrates.

• National Expansion: Accelerate entry into promising markets outside of California.

Pipeline Development

Key Pipeline Candidates

• Flyers™ Infused Pre-Rolls: Continued development and expansion of the infused pre-roll product line.

• Eagle Extracts™ Concentrates: Introduction of new concentrate products to diversify the product portfolio.

Stages of Development

• Cultivation: Ongoing development of proprietary genetics.

• Product Development: Active expansion of pre-roll and concentrate product lines.

Target Conditions

• Consumer Preferences: Focus on products that cater to a wide range of consumer tastes and preferences.

Anticipated Milestones

• Facility Completion: Completion of the new cultivation facility to enhance production capacity.

• Product Launches: Introduction of new pre-roll and concentrate products to the market.

Technological Platform and Innovation

Proprietary Technologies

• Genetic Breeding: Development of unique cannabis strains through advanced breeding techniques.

• Cultivation Technology: Implementation of state-of-the-art cultivation methods to ensure product quality.

Significant Scientific Methods

• Breeding Techniques: Utilization of science-based breeding to create proprietary genetics.

• Cultivation Practices: Adoption of modern cultivation practices to optimize yield and quality.

Leadership Team

Key Executives

• Nick Ortega: Co-Founder and CEO.

• Background: Co-founded Claybourne Co. in 2017; led the company through rapid growth and expansion.

• Contributions: Secured significant funding and guided the company's strategic direction.

• Jonathan Griffith: Co-Founder and VP of Marketing.

• Background: Co-founded Claybourne Co. in 2017; oversees marketing strategies and brand development.

• Contributions: Implemented innovative marketing campaigns and brand collaborations.

• Brent Barnes: VP of Genetics and Cultivation.

• Background: Leads the genetics and cultivation departments, focusing on product quality and innovation.

• Contributions: Developed proprietary genetics and optimized cultivation processes.

• Marlene Urrea: Vice President of Sales.

• Background: Manages sales operations and retailer relationships.

• Contributions: Expanded the company's retail presence and sales channels.

Competitor Profile

Market Insights and Dynamics

• Market Size: The California cannabis market is one of the largest in the U.S., with significant growth potential.

• Industry Trends: Increasing consumer demand for premium cannabis products and innovative consumption methods.

Competitor Analysis

• CannaBiotix (CBX): Maintains the top spot in the California flower market.

• STIIIZY: Experienced a slight decline, dropping from 2nd to 3rd place, potentially benefiting Claybourne Co.'s market position.

• Blem: Improved from 7th to 4th place but still trails behind Claybourne Co.

Strategic Collaborations and Partnerships

• Athlete Endorsements: Signed skateboarder Collin Provost to align with the brand's image and reach a broader audience.

• Brand Ambassadors: Assembled a diverse team of ambassadors from various fields to authentically connect with consumers.

Operational Insights

• Market Position: Claybourne Co. holds a strong position in the California market, particularly in the flower and pre-roll categories.

• Competitive Advantages: Focus on product quality, innovative marketing, and authentic brand representation.

Strategic Opportunities and Future Directions

Strategic Roadmap

• Facility Expansion: Complete the new cultivation facility to increase production capacity.

• Product Diversification: Expand the product portfolio to include new pre-rolls and concentrates.

• Geographic Expansion: Enter new markets with favorable cannabis regulations.

Future Business Directions

• Brand Development: Strengthen brand presence through strategic partnerships and collaborations.

• Consumer Engagement: Enhance customer loyalty through authentic marketing and community involvement.

Contact Information

• Website: www.claybourneco.com

• Instagram: @claybourne_co

• LinkedIn: Claybourne Co.