THE CUTTING EDGE
Hydropothecary brings innovation to the medical cannabis scene
When Adam Miron and Sébastien St-Louis decided to establish a medical marijuana growing facility almost five years ago, they knew they were entering a brand new industry. But that was the biggest appeal for the longstanding entrepreneurs.
“When we were looking to start a business together, we realized this was an exciting new opportunity for innovation, says Miron, chief brand officer for Hydropothecary in Gatineau, Que. “An opportunity like this comes along once in a lifetime. We were taking something that is widely used but had no real business behind it. What that meant was a level playing field.”
As pioneers in a rapidly growing industry, the founders also realized they had to be innovators. “We knew from the get-go we needed to be different. By the time we got our sales licence, 16 other companies had theirs.”
Drawing from his father’s battle with lung cancer and his struggles with vaporizers for inhaling his medical marijuana, Miron and St. Louis realized there had to be alternatives that were safer and easier to use. To approach the challenge, they conducted a series of focus groups to understand market segments and demographic profiles.
“We found that many were looking to alternatives to pharmaceuticals but weren’t necessarily comfortable with smoking. They wanted something that would make them feel safe and secure,” Miron says. “In targeting new markets, we wanted to do better and make products that were more accessible, so we could appeal to people who were interested but afraid to try medical cannabis.”
Their first product launch was Time of Day, a signature line of dried marijuana buds in four varieties. This was quickly followed by H2, a mid-market version of the original product line.
In 2016, they introduced Decarb, an activated dry marijuana powder product that can be added to cereals or drinks or put in capsules. “That was a 100-per-cent breakthrough product for us,” Miron says. “Since then we wanted to get to the next level, so we started to look at creating another product that could work more quickly.”
The outcome of that effort was Elixir, a peppermint medical cannabis oil mist in both a THC and CBD version that is applied under the tongue. When it launched, Hydropothecary became the first and only company in Canada with a sublingual spray in the medical cannabis category.
Last year, Hydropothecary was recognized for its innovation at the inaugural Canadian Cannabis Awards Gala, winning first and third in the Best New Cannabis Product category for Decarb and Elixir respectively.
Now a well-established fixture on the medical cannabis scene, Hydropothecary is preparing to assume a leadership role in the recreational market when it is legalized later this year. “We’re expanding rapidly and putting a considerable effort to be ready,” Miron says.
The company currently operates state-of-the-art growing facilities comprising more than 40,000 square feet, and it is in the process of building additional growing capacity. Plans are to have a total of 1.3 million sq. ft. of growing facilities producing 108,000 kilograms of dried cannabis a year by December. The company now has more than 115 staff, a number that is projected to reach 300 when expansion is complete.
The operations combine the latest in agronomics, robotics and automation systems. Hydropothecary is also in the process of achieving LEED certification for its buildings under the stewardship of Dr. Terry Lake, vice-president of corporate social responsibility (CSR) and former B.C. minister of health. “Under Terry’s watch, we have developed our own CSR charter,” Miron says.
While a bulk of the company’s supply deal is in Quebec, the expansion will support its market reach into the rest of Canada. That places the company as the largest supplier in the province, and one of the largest in the country.
Innovation continues to be the lifeblood of the organization. As such, Hydropothecary has committed to launching a new innovative product every quarter, according to Miron.
As part of their rigorous R&D process, the team confers with an in-house innovation steering committee and innovation working group, which “lives by a simple guiding principle: make our products easy to use and understand,” he says.
As a pioneer since its first day of operations, Hydropothecary is well-equipped to maintain its leadership role, Miron says.
“The industry is moving away from smoking options. That is where the future lies. When legalization is announced, we are definitely ready and will continue to bring new products to market.”
MANY MEDICAL CANNABIS CANDIDATES WERE LOOKING TO ALTERNATIVES TO PHARMACEUTICALS BUT WEREN'T COMFORTABLE WITH SMOKING THEY WANTED SOMETHING THAT WOULD MAKE THEM FEEL SAFE AND SECURE IN TARGETING NEW MARKETS, WE WANTED TO DO BETTER AND MAKE PRODUCTS THAT WERE MORE ACCESSIBLE SO WE COULD APPEAL TO PEOPLE WHOE WERE INTERESTED BUT AFRAID TO TRY MEDICAL CANNABIS
-- ADAM MIRON HYDROPOTHECARY CO-FOUNDER