As a veteran within the cannabis packaging space, I’m going to tell you something that you probably already know: The cannabis industry isn’t what it used to be. The cultural shifts, the wave of legalization, and the expanding consumer base have completely reshaped our industry. What started as a small movement driven by enthusiasts has now exploded into a competitive arena where entrepreneurs and big investment funds search for new methods daily to increase market share. This evolution is reflected in everything we see today—especially in how cannabis products are packaged and branded.
The Early Days: Purists vs. Opportunists
In the beginning, things were pretty simple. The cannabis business was dominated by what I like to call “the purists”—people who genuinely loved the plant, understood its nuances, and reveled in the culture and the people, so they naturally wanted to build something meaningful around it. These were the ones who cared about the quality of their products, and for them, cannabis was much more than just a commodity.
Then came what I call “the opportunists”—the outsiders who saw dollar signs and wanted in on what “the purists” had ignited. They didn’t know much about cannabis, and for the most part, they didn’t care about its history or culture. What mattered most to them was capitalizing on its newfound legality. This group brought their corporate business knowledge from, at times, massive operations in other industries, often with little appreciation for the product itself, and placed their focus on scale and profits.
Here’s the thing, though, and if you think about it, it’s quite interesting—whether you were a purist or an opportunist, everyone faced the same challenge: How do you brand and package something that was illegal yesterday whose users were often referred to as hippies, beatniks, & hipsters and make it appealing a broad base of consumers while adhering to all the regulatory and compliant restrictions imposed on the product today?
The Solution: Luxury Packaging
During those early days of legalization, luxury packaging was the go-to-market strategy. In states like California, Washington, and Colorado, cannabis was fresh to the legal market, and there was this belief that if you made it look premium, people would pay premium prices. And guess what? They did.
So we witnessed the brands in those foundational markets invest heavily in intricate designs, high-end materials, and packaging that screamed, “Cannabis is trendy, cool, and mainstream.” It was a smart move—consumers were excited about a product that they had always wondered about, but it had been just too taboo. In addition, they were willing to pay the premium for something that looked upscale on the outside. It gave the industry that air of exclusivity it needed to distance itself from its illicit past.
The Shift: Function Over Flash
However, as the industry matured, a floodgate of players entered the league, and the game started to change. Take California and Oregon, for example—these states had more established markets, and with that maturity came competition. Very quickly looking good in a package was not good enough; the product had to be affordable, too. So, if you wanted to remain competitive, your costs had to drop, so companies began cutting them wherever possible. And packaging? That was one of the first places they slashed the budget.
Relatively quickly, the fancy boxes and high-end materials cycled out, and in came the flexibles—those cost-effective, functional solutions that still met all the necessary regulatory requirements, however, a whole lot less impressive. That’s where the industry is headed now: practical, compliant, and budget-friendly packaging.
The New Markets: Been here before
Now, take a look at places like New York and New Jersey, where legalization is more recent. Brands that market are following the same pattern we saw in the early days of their Western brothers. Consumers want the premium experience, and brands are happy to give it to them—for now. But this trend won’t last. As the market stabilizes and competition intensifies, companies will face the same pressures we’ve already seen out West. The shift toward more cost-effective packaging is inevitable.
The Future: Commoditization Is Coming
This might be hard to accept, especially for a guy like me who owns a packaging company, but the future of cannabis packaging is going to look a lot like every other consumer-packaged goods (CPG) industry. As the market continues to grow and competition increases we’re going to see less emphasis on boutique, custom designs and more focus on scalable, standardized solutions that cut costs and boost efficiency. Commoditization is coming—it’s just a matter of time, no matter what market you are in.
Don’t get me wrong—as in every other industry, there will always be a niche for luxury brands that can justify higher-end packaging. But for most of the market, it will be about finding that balance: how do you stand out while remaining cost-competitive with healthy enough margins to allow your business to scale?
The Industry Lesson: Packaging Is Your Brand
Here’s where a lot of companies miss the mark—packaging isn’t just a container; it’s a critical part of your brand. It’s the first thing consumers see and sends a message about what your brand stands for. Are you a high-end, premium product? Are you eco-friendly? Do you care about sustainability?
As we move toward more cost-effective solutions, it’s important to remember that cheaper doesn’t have to mean bland or forgettable. You can still tell a compelling story through simple, well-designed packaging. The trick is to be strategic about it. Use sustainable materials with bold designs, and add unique touches that reflect your brand’s unique identity.
The Trend: Sustainability is Not Just a Trend, but a Requirement
Speaking of sustainability—people used to think of it as a trend; however, today, it’s an expectation. Consumers, especially in the cannabis space, care about where their products come from and how they’re packaged. Using biodegradable, recyclable, or renewable materials isn’t just a nice-to-have—it’s becoming a must. If you’re not thinking about sustainability now, you’re already behind.
The Mistake: Don’t Sacrifice Your Future for Short-Term Savings
Here’s a mistake I see too often—companies cut corners on packaging to save a bit today, only to face more significant branding problems down the road. Cheap packaging might save you money now but could also cost you your brand’s identity. When you’re choosing a packaging solution, think long-term. Make sure it can evolve as your business grows, so you don’t have to completely overhaul your brand every few years.
The Bottom Line: Choose Your Partners Wisely
Lastly, and this is crucial—please choose your packaging supplier carefully. I know it’s tempting to go with whoever offers the lowest price, I get it, but you’re doing yourself a disservice if you don’t consider expertise and innovation. You want a partner who understands this industry’s nuances and can provide scalable, compliant solutions that are on trend and that align with your brand’s goals—not just a vendor selling you the cheapest option. At RXDco, we’re here to partner with companies to help them navigate this rapidly changing landscape and ensure their brand stands out for all the right reasons.
The future of cannabis packaging is about striking that perfect balance—between function and form, between cost and creativity. And if you’re not thinking about that balance now, you’ll be playing catch-up later.
