Former Microsoft manager plans chain of pot stores
New York —Jamen Shively, a former Microsoft corporate strategy manager, announced plans to invest $100 million over the next three years in a national chain of marijuana stores. The stores would sell both medical-use and adult-use (recreational) cannabis. Shively is now CEO of San Diego-based Diego Pellicer, which describes itself as the first legal premium marijuana retailer in the United States.
While the use, sale and possession of marijuana remains illegal in the United States under federal law, two states (Washington and Colorado) have legalized recreational marijuana use. Both states are among 18 states that allow it for medical use.
Speaking at a press conference in Seattle, Shively said within three years, he expects to open a dozen branded stores in the state of Washington, another dozen stores in Colorado and as many as hundreds in California. (Currently, only medical marijuana is legal in the Golden State, voters are widely expected to legalize recreational pot in 2016). He also said he was launching his business by acquiring medical pot dispensaries in three states.
Shively’s announcement created a media storm but it was also met with some skepticiam. Critics said he offered few details about the acquisitions, and even less about the investors he had lined up and how the investments would not violate the federal prohibition of marijuana.
Registration open for Kids In Need gala
The Kids In Need Foundation will hold its 15th annual Kids In Need Foundation Education Celebration Gala Wednesday, Sept. 25, at the Depot, in Minneapolis, Minn.
A cocktail reception, sponsored by Target, will kick things off at 6:30 p.m., followed by the Gala Dinner, sponsored by 3M, at 7:30 p.m.
Attending the gala will be representatives from major retailers and manufacturers, who will be able to network with others in the school supplies and office products industry, as well as companies outside the industry who partner with Kids In Need.
All proceeds from the gala will help the foundation provide children and teachers with free school supplies from the Kids In Need National Network of Resource Centers. Last year, Kids In Need distributed more than $42 million worth of school supplies to the centers in its network. Since its inception, the Kids In Need Foundation has distributed more than $400 million in school supplies to low-income schools free. The foundation serves 2.4 million students and 100,000 teachers annually, and has awarded $1.4 million in grants to teachers.
Other sponsors of this year’s gala include Darice, Art Skills, Blue Sky, Crayola, Acco, Elmer’s, Horizon Group USA, Pilot, OfficeMax, Tung Yung, Zebra, Mega and Bic. Registration for the event is now open. The Depot is located at 225 Third Ave. South, Minneapolis, Minn. 55401.
The Kids In Need Foundation is a nonprofit organization that was founded in 1995. The foundation spends less than 2% on administration, and allocates 98% of revenue to teachers and students.
Online consumers spending more on floor care
Floor care, water filtration devices and air purifiers generate higher average prices online than in brick-and-mortar stores, according to research from NPD Group.
The research company’s Consumer Tracking Service, looking back at the 12 months ended March 2013, found that consumers are spending significantly more for these home environment cleaning appliances purchased online.
In floor care, the average online selling price for the period was $140, compared with $97 in stores. (See chart.) Online dollar sales also gained a larger share of consumer spend — up 16% for floor care, and up 27% for water filtration devices.
“The success of the online channel is a result of broader product selection, a wider range of price points and the convenient platform to research and compare product features,” said Debra Mednick, executive director and home industry analyst. “Layering on the incentive of free shipping (often with a minimum shopping cart), increases the likelihood that consumers are willing to trade up, thus, spending more on their purchase.”