The King Of Cones - Bryan Gerber, Co-founder & CEO of Hemper

Proud To Work In Cannabis

Crafting the Perfect Smoke: Inside the World of Cannabis Accessories with Bryan Gerber

Karson Humiston welcomes Bryan Gerber, co-founder and CEO, of Hemper and Hara Supply, also known as the "King of Cones." The nickname stems from a Forbes article that highlighted Bryan's success in building a $75 million pre-roll empire. Both Karson and Bryan reminisce about their college days and the realization that they are no longer the young entrepreneurs they once were, with Bryan approaching his 33rd birthday.

Brian recounts the early days of his business, which started when he was 23 years old, shortly after graduating from George Washington University. He shares the story of how he convinced his roommates to start a subscription box for smoking accessories, despite being called crazy at the time. The business, launched on May 1st, 2015, was inspired by the subscription economy trend, with companies like Birchbox and Dollar Shave Club making waves. Hemper's initial concept was akin to a "Birchbox for stoners."

The subscription box took off when they introduced a guest-curated concept, where celebrities would select items for the box, allowing subscribers to "smoke like Snoop Dogg" for a month. This concept rapidly increased their revenue, and within six months, they were processing six figures monthly. From just a couple of hundred subscribers in the first four months, Hemper grew to over 30,000 subscribers.

As the business evolved, Hemper faced the challenge of keeping the subscription boxes fresh and interesting. They decided to develop their own products, becoming an authority in enhancing the smoking ritual. Brian mentions the Jolly Pop, a water pipe that resembles a lollipop, as an example of their innovative products.

The conversation shifts to Hemper's expansion into retail stores. Brian explains their strategy of leveraging the brand's power to drive traffic to retailers by announcing the availability of Hemper products in specific locations. They positioned themselves as a partner to retailers, not just a supplier, and emphasized their strong online presence, including a significant Instagram following, to support retail partners.

Bryan also discusses the company's foray into manufacturing pre-roll cones. Initially, they were approached by Kush Bottles (now KushCo Holdings) to fill a market shortage. Brian's business partner, RJ, went to India to learn the cone-making process, as all cones are handmade due to the fragility of the paper. They now run 15 manufacturing sites in India with about 4,000 employees, producing around 100 million cones a month, primarily for the North American market.

Despite the challenges, such as the vape crisis and the COVID-19 pandemic, Bryan notes that these events positively impacted their business by driving consumers back to pre-rolls and increasing sales.

Looking to the future, Bryan envisions moving into automation for cone production and continuing to innovate with product development. He also plans to expand into Europe, with Germany's recent legalization being a significant opportunity.

Bryan concludes by offering advice to his younger self and to aspiring entrepreneurs: avoid shiny object syndrome, stay focused, and be willing to reinvent the business model as needed. He encourages listeners to reach out via email or LinkedIn if they're interested in joining the Hemper team, emphasizing the value of taking initiative.

https://www.hemper.co/

https://harasupply.com/

TIMESTAMP:

00:00:00 - Introduction to Brian Gerber
00:00:39 - Bryan's Age and Feeling Old
00:01:02 - College Graduation Years
00:01:18 - Starting Hemper at 23
00:01:34 - The Idea Behind Subscription Boxes
00:02:38 - Celebrity Curated Boxes and Growth
00:03:11 - Transition to Creating Own Products
00:03:35 - The Jolly Pop Product Discussion
00:04:22 - Moving to Retail and Distribution Strategy
00:07:03 - Funding and Financial Growth
00:08:10 - Decision to Focus on Profitability
00:08:37 - Expanding into Retail Stores
00:11:00 - The Shift to Pre-Roll Cones Production
00:13:42 - The Handmade Process of Cone Production
00:14:44 - Domestic Operations in Las Vegas
00:17:03 - Future Plans and Expanding into Europe
00:20:20 - Hiring the Right People
00:23:35 - Impact of Vape Crisis and COVID on Business
00:25:13 - Bryan's Vision for the Next Decade
00:26:14 - Advice to Younger Self
00:27:30 - The Importance of Reinventing the Business
00:28:12 - How to Get in Touch and Join the Team

Produce By PodConx

Watch Video - https://www.youtube.com/channel/UCNZI8qZy0lKxLO4OTk6P-tw

Karson Humiston - https://www.linkedin.com/in/karson-humiston-64572b97/

Vangst - https://vangst.com/

Recorded on Squadcast

Sound Design by Jamie Humiston