MassRoots, Inc. is a leading technology platform for the regulated cannabis industry. Powered by more than one million registered users, the Company’s mobile apps empower consumers to make educated cannabis purchasing decisions through community-driven reviews. Its rewards program, WeedPassTM, enables consumers to earn tickets to movies, sporting events, and festivals by shopping at participating dispensaries. MassRoots has been covered by CNN, CNBC, Fox Business, Fortune, Forbes, and Reuters. For more information, please visit www.MassRoots.com/Investors and review MassRoots’ filings with the U.S. Securities and Exchange Commission.
Cannabis Technology & Services
- Recently announced planned acquisition of COWA Science Corporation, which had $1.5 million in 2018 revenue (unaudited)
- Expected to expand offerings to include supplies, nutrients, packaging & HVAC solutions
- WeedPass™ Rewards Program
- Focused on creating monthly recurring revenue from dispensaries
- Incentivizes consumer loyalty
- MassRoots Mobile App & Social Media
- 1.3M downloads
- Locate and rate cannabis dispensaries, strains and brands
- MassRoots has its fingers on the pulse of cannabis enthusiasts through its dispensary network, app users and social media base
- 490k Facebook followers
- 410k Instagram followers
- 180k Twitter followers
- Tens of thousands of SnapChat followers
- Providing investors exposure to cannabis industry growth through technology without touching the plant itself
Dispensary Listing Fees
After an introductory free trial period, MassRoots charges dispensaries a monthly fee to list on its dispensary finder, gain exposure to MassRoots’ audience of cannabis enthusiasts, and gain access to its business portal.
Through its partnership with Snipp Interactive, consumers will soon be able to earn points for their cannabis purchases through our WeedPass Rewards Program; consumers will be able to spend these points on rewards, such as festival or concert tickets, of which MassRoots is expected to make a spread.
Beginning in Q2 2019, MassRoots is expected to begin allowing brands to sponsor rewards packages – requiring consumers to purchase certain brands’ products in order to gain certain rewards, for which MassRoots will charge a fee.
U.S. Cannabis Market & Growth
- The U.S. regulated cannabis market is forecast to grow at a 22% compound annual growth rate from $8.5B in 2017 to $23.4B in 2022, according to a 2018 BDS Analytics Report;
- Canada and California are expected to generate 41% of global cannabis sales, or $13.2 billion, by 2022 according to the same BDS Analytics Report; and
- Concentrates and edibles continue to gain popularity, with the “flower” making up only 47% of total cannabis sales in Colorado in 2017, according to the same BDS Analytics Report.
Growing Client Base and Book of Business
MassRoots currently has over 140 dispensaries that have participated in its advertising and rewards programs and COWA has approximately 50 clients ordering its supplychain products and services.
- Currently, the Companies are focused on the Denver and Los Angeles markets with plans to expand to San Francisco, San Diego, and Phoenix markets in Q2 2019;
- We believe there is a significant opportunity to crosspollinate the existing client bases of MassRoots and COWA with a focus on increasing the dollar-volume spend per client; and
- The combined companies possess a diversified client base of dispensaries, grow facilities and hemp-focused businesses, with 9 clients placing more than $50,000 in orders each in fiscal year 2018.