Goop CEO and Founder Gwyneth Paltrow is the latest Hollywood celebrity to invest in the cannabis industry. The actress turned wellness guru has just announced that she is supporting Cann, a maker of cannabis infused drinks.
Paltrow calls cannabis a “hero ingredient of the future” for wellness and says she was drawn to Cann’s drinks, which are infused with small doses of THC and CBD, as an attractive alternative to alcohol .
“There’s a whole sober-curious movement going on and the curious cannabis movement going on, it’s kind of at the intersection of these things,” Paltrow said.
This is the first time Paltrow has spoken of a personal investment in the cannabis industry, although Cann is not the first company in the space that she has supported. Financial terms of the Cann deal were not disclosed.
By endorsing Cann, Paltrow seems to be following in the footsteps of Martha Stewart, who recently launched a line of CBD candy with Canopy Growth. Paltrow – with its 7.5 million Instagram followers and Goop’s 1.5 million Instagram followers and 2.5 million monthly podcast listeners – lends a heavy name to the burgeoning cannabis industry, which, according to her, will become common.
“We are very clearly and definitely going in the direction of legalizing cannabis, and I think it should be,” said Paltrow. “Actually, I’m not a heavy personal user of it. But I think there are some amazing medicinal qualities and it’s really helpful for a lot of people.”
Cann produces infused drinks for adults with flavors such as grapefruit-rosemary, lemon-lavender, blood orange-cardamom. Tonics contain 2 milligrams of THC and 4 milligrams of CBD – servings of cannabis compounds that are considered microdoses. Cann’s founders, former Bain consultants Luke Anderson and Jake Bullock, said the goal of the smaller doses was to get consumers to drink multiple drinks without being incapacitated.
CBD is short for cannabidiol, which many claim offers the calming benefits of marijuana without the high that comes from THC or tetrahydrocannabinol.
Anderson hopes Paltrow’s many followers will help the company attract new customers who might be open to an alcoholic beverage alternative. The company’s latest fundraiser includes investments from singer Tove Lo and former NBA player Baron Davis.
“When people think of Gwyneth Paltrow, they don’t think of ‘the weed’ – they think of cutting edge solutions for today’s health and wellness needs,” Anderson said. “Its approval is a sign that Cann (and microdose drinks more broadly) are a viable answer to this very common consumer problem.”
The U.S. infused beverage market is a fast growing vertical, doubling its sales in the past two years in legal states from $ 4.2 million in September 2018 to $ 8.3 million last month, according to the Headset analysis firm.
Canopy Growth, one of the largest cannabis companies in the world, owns a stake in BioSteel Sports Nutrition, a nutrition company loved by athletes. This month, BioSteel signed an exclusive agreement with two major beverage distributors. This partnership allows Canopy Growth to build its infrastructure to tap the infused beverage market in the United States if legal and regulatory headwinds are lifted.
Cann’s drinks are currently available at dispensaries and for delivery in California and Nevada. But the company plans to use its latest raised funds, along with the $ 5 million it raised in January, to expand to four other legal states over the next six months.
Ultimately, Paltrow expects it will be only a matter of time before a broader decriminalization of cannabis leads mainstream audiences to adopt cannabis-derived products like Cann.
“It will all depend on how people brand it and connect with the customer and what the aesthetic is,” Paltrow said.