In a market marked by mergers, acquisitions and growing consolidation, Garden Greens is not following the typical playbook. While large operators focus on the CPG model of uniformity and constant supply, Garden Greens takes a more adaptable approach by understanding demand cycles and responding creatively to consumer preferences.
As the industry undergoes massive consolidation, with big companies scooping up smaller players, Garden Greens stands out by keeping its product offerings fresh and exclusive. Rather than sticking to a fixed lineup, they frequently discontinue strains to build hype and create new demand.
In a time when the market favors the largest players, Garden Greens proves that a street-smart, flexible approach can help small and medium cannabis companies thrive.
Josh Krane, general manager at Garden Greens, brings a wealth of experience to the operation. With his roots in the hash-making business in Los Angeles, Krane has a deep understanding of the cannabis culture that many corporate operators lack. “You have to strip away all ego,” he shared with Benzinga Cannabis, “and learn everything from the ground up.”
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Beyond Standardization
Garden Greens operates under the principle that diversity and creativity are key to creating real demand. Krane’s strategy is clear: “We’re not just trying to scale. We’re trying to build something consumers want—something they’ve never had before.”
At Garden Greens, running out of a strain isn’t a failure, it’s an opportunity to create excitement and engage consumers in a conversation. “We purposely let some strains go out of stock. We get more data from a strain being out of stock and consumers asking for it than from always having it available.”
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The Power Of Genetics For Consumer Engagement
“We’ve released about 46 strains, and we deliberately let some go out of stock to build anticipation for new drops,” says Krane.
The company runs nine flowering rooms and operates on a perpetual harvest cycle, allowing them to rotate and test new strains while ensuring consistent, high-quality output. “We’re in perpetual harvest. We run about a nine-week flowering cycle. Every week, I have one room being harvested and then reset and replanted.”
This perpetual harvest cycle ensures a steady supply of products while keeping the operation fluid and adaptable.
Garden Greens’ flowering rooms are designed for multi-cropping. At optimal capacity, they can handle up to four strains at a time. The company’s strategy is to start with strains that have proven successful in other markets, strains they enjoy growing and smoking, and that will deliver predictable yields and potency.
Throughout a nine-week cycle, up to 36 strains can be tested and rotated through. Krane goes on to explain the rotation process: “We start layering those strains in, four at a time, a week at a time.” Initially, they cycle in a set of 18 strains before introducing new ones for testing and evaluation. The company currently rotates major groups of genetics, all selected based on their similar growing needs.
Fashion, Not CPG
Garden Greens has adopted a “fashion drop” mentality rather than trying to mirror CPG businesses that focus on mass production and brand consistency. The company builds anticipation before each new strain hits the market by creating a sense of scarcity and exclusivity. “It’s like a sneaker drop. We build up excitement for a product, and once it’s gone, it’s gone. We’ve built that by offering something they can’t find anywhere else,” Krane says.
Cash Flow Positive
The company relies on debt financing, with plans to repay investors within 24 months and switch to quarterly dividends afterward. “We’ve been able to stay cash flow positive and meet our financial goals while maintaining authenticity. We prioritize quality and innovation over cost-cutting measures that might please investors but compromise the product.”
Garden Greens’ financial success stems from a combination of experienced workers and operational management rolled with a smart approach to capital deployment. Krane and his team initially focused on infrastructure, construction, and culivation systems.
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Price Is Right: Craft Cannabis Finds The Sweet Spot For Premium And Value
Krane’s pricing strategy at Garden Greens is all about balance, catering to both high-end connoisseurs and budget-minded buyers. “We offer premium products that can sell for up to $140 per quarter, but we also provide more affordable options with our ‘Pete’s Farmstand’ line.”
This dual-pricing model allows Garden Greens to appeal to a wide range of consumers. Limited-edition premium drops attract top-tier buyers, while the value line ensures accessibility without sacrificing quality.
The approach reflects Krane’s deep understanding of the New Jersey market, where underground cannabis still influences price expectations. “I’ve seen top-shelf cannabis go for $150 or more in the underground scene,” Krane notes, highlighting the competitive edge of Garden Greens’ pricing.
Initially, the company aligned its premium prices with multi-state operators (MSOs) to match established market expectations. “We chose to match the MSO price points for premium cannabis to remain competitive,” Krane says. This strategy positioned Garden Greens to compete head-on while still meeting quality standards.
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