High Tide Reveals Design Concept for Cannabis Chop Club Retail Value Brand
High Tide Inc. has revealed its new cannabis retail concept, Cannabis Chop Club, aimed at value-focused consumers. The stores will be smaller, averaging 1,000-1,200 square feet, and have lower build costs of $125,000 to $150,000. The Chop Club will offer exclusive deals for members and leverage High Tide’s existing loyalty programs. CEO Raj Grover highlights the potential to capture market share from the illicit cannabis market. The company, known for its retail cannabis and consumption accessories, operates 93 locations in Canada.
- Launch of new Cannabis Chop Club concept targeting value customers.
- Lower build costs estimated at $125,000 to $150,000 per store.
- Focus on a compact retail footprint of 1,000-1,200 square feet.
- Existing loyalty programs will support Chop Club member benefits.
- Potential to capture market share from the illicit cannabis market.
- None.
The new
- In comparison to Canna Cabana and High Tide’s other retail outlets, which are typically 1,500 to 2,000 square feet in size, our new value concept will be more compact with an average retail footprint of 1,000 to 1,200 square feet.
-
The estimated build costs for the new concept are expected to be between
to$125,000 instead of$150,000 to$265,000 for a typical Canna Cabana store.$350,000 -
Cannabis Chop Club will focus on a differentiated assortment of cannabis and consumption accessories targeting and tailored to the value-sensitive demographic. - “Chop Club” members will automatically have full access to High Tide’s “Cabana Club” loyalty program and vice versa, leveraging the Company’s existing and rapidly growing loyal customer base.
“Over the past six months, it has become clear to us that value-focused customers represent a very meaningful consumer segment in the Canadian cannabis retail landscape. Our upcoming move to specifically service the value segment is designed to increase market share and lure customers away from the illicit market which, although declining, still represents a significant share of total cannabis sales nationally,” said
About
High Tide is a retail-focused cannabis company enhanced by the manufacturing and distribution of consumption accessories. The Company is the most profitable Canadian retailer of recreational cannabis as measured by Adjusted EBITDA1, with 93 current locations spanning
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CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS
Certain statements in this news release are forward-looking information or forward-looking statements. Such information and statements, referred to herein as “forward-looking statements” are made as of the date of this news release or as of the date of the effective date of information described in this news release, as applicable. Forward-looking statements relate to future events or future performance and reflect current estimates, predictions, expectations or beliefs regarding future events. Any statements that express or involve discussions with respect to predictions, expectations, beliefs, plans, projections, objectives, assumptions or future events or performance (generally, forward-looking statements can be identified by use of words such as “outlook”, “expects”, “intend”, “forecasts”, “anticipates”, “plans”, “projects”, “estimates”, “envisages, “assumes”, “needs”, “strategy”, “goals”, “objectives”, or variations thereof, or stating that certain actions, events or results “may”, “can”, “could”, “would”, “might”, or “will” be taken, occur or be achieved, or the negative of any of these terms or similar expressions, and other similar terminology) are not statements of historical fact and may be forward-looking statements.
Such forward-looking statements are based on assumptions that may prove to be incorrect, including but not limited to the ability of High Tide to execute on its business plan and that High Tide will receive one or multiple licenses from
The forward‐looking statements contained herein are current as of the date of this news release. Except as required by law, High Tide does not have any obligation to advise any person if it becomes aware of any inaccuracy in or omission from any forward-looking statement, nor does it intend, or assume any obligation, to update or revise these forward-looking statements to reflect new events or circumstances. Any and all forward-looking statements included in this news release are expressly qualified by this cautionary statement, and except as otherwise indicated, are made as of the date of this news release.
1 Adjusted EBITDA is a non-IFRS financial measure.
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FAQ
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