Outdoor farms, as we all know, will be harvesting by the end of October flooding the market until April or May. To most, this isn’t news. Based on the theory of supply and demand, I’d anticipate another big drop in outdoor prices which brings me to the next question, how much is 2017 outdoor product worth?
We will be doing a full price assessment for August and September shortly, but here’s a few thoughts on the upcoming harvest season.
Now is the Time
Now is the time to move your 2017 product. When Croptober starts, 2018 crops will be the new standard in quality, and there will plenty of inventory available. November through the 2nd week in December will be very busy with 2018 harvest sales and, if the past is any indication of the future, there will be less movement from mid December through mid February. Buyers are already shifting towards 2018 product making it very difficult to move 2017 harvest dates. Within the next 60 days, people should consider moving all older flower and trim, simply because 2017 product will not be worth any more than it is right now.
Buyers vs. Sellers on 2018 Prices
Ok, let’s talk about the elephant in the room. Buyers are looking at all this influx of product and think that prices are going down because of the surplus. Sellers are thinking that they have beautiful fresh cannabis that they’ve been working on since around April, and feel they should be compensated on their efforts. There’s no real easy answer except compromise. From our early conversations, buyers are expecting 2018 flower prices to be at an all time low.
Producers (farmers) in general, have been “beaten up” over the years while transitioning into the current market. Optimism says that prices will start to hold, and unfortunately, as farms go out of business the flux will even out. We can also hope that buyers begin to understand looking for the lowest price isn’t necessarily the best business model long-term. Sometimes, giving a fair market value can ensure consistent supply, and keep the products from your competitors. Theoretically this could even keep more farms afloat, putting product in the pipeline, while keeping prices stable for the farmers. But that’s just my intro to economics class from high school talking.
How Kush Can Help
We at Kush, are always looking to improve and add value to our customers. To offset the surplus and better serve our users, we have two new features coming before October. First our developers have integrated a ‘Current Offers’ section to product ads. We believe that this more accurately represents a true marketplace in real time, and should help both buyers and sellers find what the market price is. Second, we are launching our Preferred Vendors Program, read the full blog post for details, but this should help build a strong network of trusted sellers that buyers can expect consistent, no BS, purchases from. Along with showing current offers the program should ensure that sellers are getting the best price available.
In talking with many in the industry, the struggle is real. A farmers tireless work will continue. The 2018 crops are upon us and Croptober is almost here. It’s time to move that 2017 product, but the Kush Marketplace can help.