How to price Edibles

You’d have to sell a whooooole lotta gummies to be successful there brotha… Especially after taxes.

But you are right, retail dispensaries definitely makes more per unit than the manufacturers… At least here in CO.
As a manufacturer, we profit about 50-60% (or 100-120% markup) when we sell 100mg edibles to retailers at $4.5-$5.00 and then they will mark it up 2,3 maybe 4x. 100mg edibles retail for $12-$16 out here.

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I wonder how these retailers would feel asking them to go into a sales agreement to force the companies to only retail at 100% mark up. Would the demand go up? Or would the sales volume be the same with less profits. I think the demand would go up

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$5 for a good buzz $10 for omg am I gonna be ok.

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Lower prices almost always = more demand in this industry.
Stoners like cheap shit.

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We’ve had excellent traction with $25 grape Kool-Aid/lean syrup quarts. 0.3 gram of disty makes a quart. 2 oz = ~16 mg THC. That two oz bounce!

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Exactly!

Just like the cheap 10.00 death (vitamin e) carts last yr. Users always cheapest.

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:joy: exactly like that.
and sadly, not even that huge vape fiasco will change the fact that stoners still love cheap shit lol

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Put an MSRP on the packaging. That is typically what manufacturers do if they have a price in mind.

My wife said she saw a guy buying one gummy bear in the dispensary the other day.

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All this talk about edibles, I’m gonna have to make a batch of brownies tomorrow. I still need to make those gummy bears.

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i used to do that and so many people got hurt by it I had to but a smaller serving size of gummy molds.
Dont make big gummies that make people feel like shit. never once did anyone listen to me when I said just eat the corner.

you sell to retailers 50 a gram???

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At that time we were selling 1000mg of THC in the form of 10 separate edibles for $50, yeah.
But that was during a sale we were running. Now it’s $70 for 10 units. Back down to $5/unit if the order quantity is high enough.

no wonder everyone says my edibles are the best. Its 1 dollar for 40 mg

Yeah I bet retailers do like that lol. Our $40mg unit goes for $3.
I bet those retailers probably still sell it for what, like $10, and make $9/unit off your work while you profit around $0.40/unit? (just guessing)
it sounds like your selling yourself short to me, if I’m being honest… but there’s obviously lots that idk about your business so forgive me if I am coming off presumptuous. That’s not my intention.

For us - a gram of distillate costs $6-$7 out here. Plus ingredients, packaging, labor, and 280E taxes… We are still one of the cheaper options in Colorado. Wana sells their gummies for $10.50 a unit still.

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i dont sell them to retailers, just a batch here or there when my friends beg me into it.

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ohhhh, well kudos to you then brother! you are a saint.

Back when edibles weren’t so well established and when I was the first person making dewaxed bho, I used to take 1g and make a 10 piece breakaway butterscotch bar. 100mg a square. I sold them for $10 each and people still talk about those and ask if I’ll make them again. With distillate heading south of $4/g it’s not unthinkable to make them like that again. Edibles blow your tolerance out. I’m a sugarholic so I don’t need some weak shit I’m going to eat a ton of.

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4 a gram thc distillate? Why grow it?

That’s not how you measure mg in your edibles. It’s not 1000mg of THC in your weed. You have to find the percentage from the 1000… so say you have a 20% thc strain… you have 200mg from your gram… and you have to account for decarbing taking away about 10%… so your bar was about 180mg. 18mg per piece.

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Way I do it is this way

I use 8.5g of distillate for every 300 gummies, to make it 25mg per bear, 8.5x(cost of distillate) example lets say $4 a gram. 8.5x$4=$34 for every 300 gummies(i usually yield an extra 10-50 on every batch as well but for science/numbers itll be 300 even).

Comes out to $.11333333 per gummy if its 25mg per at $4 a gram of distillate thats without packaging costs and labor costs if there is any.

Feel free to correct me

$.11333333•10= $1.13 without packaging. 250mg edibles for $1.13, with packaging around $.10 cents an empty bag and label costs are pennies as I print my own.

Distillate is SO much cheaper now, but most of the traditional is 80-85% THC if even vs CAT3 and licensed dist that usually hits 95% so for traditional liters your costs are probably going to be more vs less as you’ll need to use more traditional distillate vs less CAT3 to equal the same MG per bear. Sure a liter of traditional is $1800-2500 so “costs are lower” if you use 8.5g with 80% D9 it equals to 22.6mg a bear, instead of 25mg. And it wont be as strong. It would cost $.65 cents a bag of 250mg using traditional distillate at $2300 a liter.

Feel free to DM any questions about this math or correct me. Please do correct me as well lol if I made any mistakes.

Also forgot to mention the distillate I used was 90% D9