Maximizing Profits and Expanding SKU Lineups: A Craft Cultivator's Guide

Maximizing Profits and Expanding SKU Lineups: A Craft Cultivator's Guide

In the cannabis industry, one of the most considerable challenges faced by craft growers and manufacturers is finding ways to increase their market presence while operating within more limited resources. Expanding product offerings and launching new SKUs are proven strategies to boost sales figures and brand penetration, but these are not without their own set of complications and demands. We understand this. We see the strategic balancing act you're performing with your time, staff, and budget. Our goal is to help alleviate some of those pressures by offering not just products, but solutions. In this blog we'll explore SKU expansion and provide some valuable insights that you can apply in your operations.

The Importance of SKU Expansion in the Cannabis Industry

For craft operators primarily selling flower, expanding your SKU lineup can be an essential strategy for growth and diversification. By introducing new product categories into your offerings, you not only open up new doors and opportunities but also broaden your consumer base, and in turn, increase your revenue streams.

SKU expansion is pivotal in enhancing both market share and brand visibility. By offering a diverse range of products, your brand becomes accessible to a larger and more diverse consumer base, thereby increasing your brand's visibility and market share. 

However, it's important to note that the potential for SKU expansion is greatly influenced by the licenses a brand holds. For those with cultivation licenses, the opportunities, while somewhat more limited, are still plentiful. You could consider diversifying into various forms of your product such as pre-rolls, infused products, or live dried options.

On the other hand, if you hold a manufacturing license, the possibilities for product diversification are virtually endless. From edibles and tinctures to topicals and concentrates, the scope for diversification is vast.

In this guide, we delve into the ins and outs of product portfolio expansion - why it's crucial, how it can be successfully executed, and how it can propel your brand to a higher level of growth and visibility in the cannabis industry.

Exploring Different Product Options

As a craft operator, understanding your market's price point is critical in deciding which SKUs to introduce. It's no surprise that most consumers are economically conscious, and the cost of living in a particular area significantly influences what consumers expect to spend on products. In this section, we will explore various product options that cater to different price points and consumer preferences, ensuring your brand resonates with a diverse consumer base.


For craft operators with a cultivation license already selling whole flower, the addition of pre-rolls to your SKU lineup is a natural and strategic progression. Pre-rolls offer a convenient and accessible option for consumers who may not own a bong, pipe, or other smoking device. They provide an easy way for someone to sample your flower without committing to a whole jar or investing in a smoking setup.

Miss grass multi-pack pre-rolls on a cloth, staged lifestyle image
Image courtesy of @missgrass on Instagram

With an extraction license, the possibilities for your pre-rolls expand even further. You can create your own concentrates and infuse your pre-rolls, adding another layer of depth and appeal to your product. Alternatively, you can sell your flower to a contract manufacturer with an extraction license to produce these infused pre-rolls.

Infused pre-rolls, one example being solventless hash holes, are gaining popularity rapidly. They offer a potent and unique smoking experience and cater to consumers looking for more than a standard pre-roll. Whether you're making them in-house or partnering with a contract manufacturer, infused pre-rolls can be a lucrative addition to your brand.

Hash Rosin Grams

For craft cultivators known for their premium quality flower and with an extraction license at hand, producing solventless hash rosin presents a unique opportunity. High-quality flower typically translates exceptionally well into rosin. The correlation is direct - you can't use mid-grade (or 'mids') in solventless extraction; it demands the best. This process highlights the quality of your cannabis as there's no hiding in solventless. The principle is simple: fire in equals fire out.

A clump of solventless hash rosin on a black surface and background

The process of producing solventless hash rosin, also known as ice water extraction, doesn't necessitate a C1D1 room, as it doesn't involve extracting with flammable materials. This makes it a more cost-effective choice, without the need for the extensive build-out required for a hydrocarbon lab.

Rosin also offers the flexibility of creating various textures, with cold cure currently being a popular choice in the market. Further, your rosin can serve as an input for other product categories like vape cartridges and edibles, which we'll touch on in the following sections. This provides a path for diversification, allowing you to showcase the quality of your flower in various forms and reach a more mature consumer base.

Solventless Vape Cartridges

According to a recent report by BDSA (2023), rosin vape cartridges have seen significant growth over the past year, increasing their market share from 1% to 4% between January 2022 and January 2023. The growth is even more pronounced in mature markets like Colorado, where rosin cartridges now account for 15% of vape sales, up from 9% a year ago. Even in California, a market where rosin cartridges were virtually non-existent in 2022, they now represent 5% of cartridge sales. Solventless vapes, including rosin disposables, are clearly on the rise.

Solventless vape cartridge closeup shot on a table

Largely driven by the allure of convenience that cartridges offer, the vape market is an ever-expanding segment. These pocket-sized products allow consumers to enjoy dab-able products discreetly and on-the-go without the need for additional smoking equipment. 

For craft operators with a solventless processing license, rosin vape cartridges present an excellent way to introduce a new, top shelf SKU. By using your hash rosin as an input, you can produce vape cartridges that carry the same premium promise as your starting flower. Adding solventless vapes to your SKU lineup not only caters to a wider range of consumer preferences but also showcases the versatility of your boutique cannabis products. Whether a consumer prefers smoking flower, dabbing rosin, or vaping, your brand can offer a product that meets their preferences while maintaining consistent quality and potency.

Solventless Edibles

Diversifying into the world of cannabis-infused edibles offers a wealth of opportunities for craft operators. Notably, the integration of solventless edibles into your SKU lineup presents an enticing prospect for new consumer demographics. Edibles cater to those who enjoy the effects of cannabis but prefer not to smoke or vape. The range of options is vast, encompassing everything from gummies and chocolates to beverages and snacks, ensuring there's an edible to please almost any palate.

In particular, solventless edibles hold a unique appeal for health-conscious consumers. Much like the allure of natural foods or cosmetic products, the fact that these edibles are produced without the use of powerful solvents is a significant draw. This appeal is amplified when your edibles are vegan and crafted with clean, ethically sourced ingredients.

However, an essential prerequisite for producing solventless edibles is possession of a processing license. Once you've secured this license, you can then explore the cost-effective options available for producing these edibles. With inputs ranging from dry sift and food-grade hash to second-pressed rosin, you can maintain product quality while aligning with your brand ethos and budget. Importantly, solventless edibles don't necessarily require live hash, offering flexibility in your choice of inputs.

Dialed In... Gummies and Summit collab

Dialed In... Gummies is a shining example of innovative success in the solventless edibles market. They've created a unique, collaborative business model, partnering with various brands across Colorado to infuse their gummies with each partner's distinctive rosin. This approach not only brings diversity to their products but also allows them to leverage their partners' social channels and dispensaries for greater reach. Plus, each batch of gummies features unique packaging artwork that highlights the brand collaboration and strains used, keeping the brand fresh and engaging for consumers. Dialed In... Gummies' strategy is a testament to the potential for success in the solventless edibles market when creativity meets collaboration.

Overcoming Challenges in SKU Expansion

The path to SKU expansion for craft cultivators, while rewarding, can also present a set of challenges. From navigating regulations to managing production and distribution, each step of the process requires careful consideration and strategic planning.

One of the key challenges lies in the regulatory landscape. Each product category may come with a unique set of regulations that must be adhered to, and these can vary between jurisdictions. It's crucial to stay up-to-date with these regulations and ensure your operations remain compliant. Stay up to date on your local regulations by familiarizing yourself with relevant government websites for your jurisdiction.  

Production can also pose challenges, especially when it comes to scaling up operations or introducing new production techniques. Keeping the emphasis on quality and maintaining it at all costs during growth is essential. Distribution is another area that can present hurdles. Expanding your product lineup often means needing to reach a wider market, which may require new distribution strategies or partnerships.

Despite the challenges, there are actionable strategies that can help craft cultivators successfully navigate SKU expansion. For instance, lower grade buds (B&C grade) can be sold to larger operators for solvent extraction and processing. While these buds may not meet the premium standards for top-shelf flower sales or solventless processing into rosin, they can still play a vital role in your growth strategy. This can lead to the creation of lower-tier items such as distillate carts, live resin grams, wax, shatter, and edibles. It's crucial for craft operators to maximize all their resources. 

Selling B&C grade buds to extractors or contract manufacturers opens up a new revenue stream. These buds can be processed into a variety of cannabis products, from concentrates to edibles, and even topicals. This approach not only minimizes waste but also optimizes the value you extract from your crop.

Furthermore, lower-tier buds can be used to create products that cater to lower price points. This can help attract a broader consumer base that includes budget-conscious consumers looking for affordable cannabis options.


Expanding your SKU lineup is a strategic move that can significantly enhance your brand's visibility, broaden your consumer base, and drive growth. While the journey involves navigating through some challenges, the rewards are substantial - a diversified product portfolio, maximized resources, and a stronger market presence.

At Vert, we are committed to supporting craft cultivators in this exciting expansion process. With our customizable packaging, prototyping services, and a speedy delivery promise, we aim to make your SKU expansion journey smooth and rewarding.

Remember, every new SKU is an opportunity to connect with a wider audience and meet diverse consumer needs. So take the leap, embrace the potential of SKU expansion, and let's grow together. For any assistance on your expansion journey, reach out to us using the form below or send an email to We're here to help every step of the way!

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