Offering Overview
Little Dragon Dabs™ takes the guesswork out of strain selection!
We've dedicated our resources to building the BEST mobile app in cannabis – one that provides the most personalized shopping experience.
We built this app because we wanted a cannabis company to give us the same individualization that we’re used to when making purchases on other platforms like Amazon and Shop. Since such a platform didn’t exist in the cannabis space, we built it ourselves!
Problem
There are an infinite amount of cannabis strains and new ones appear on menus every week. Even the most seasoned cannabis consumer can struggle to decipher them all and with variabilities in aroma, taste, and mind/body effect, predictable consumption experiences can be a bit of a quagmire.
Enter Little Dragon™, a cannabis start-up that has eliminated the confusion and perplexities surrounding strain selection and provides customers with the most reliable and personalized ordering experience via mobile app. The Little Dragon™ app is more than a retail dispensary. With a proprietary algorithm using machine learning, the app will quickly learn users' tastes and preferences. In combination with plant science & data, users will experience personalized recommendations that steer them toward strains they are guaranteed to love every time they shop!
Solution
What sets Little Dragon™ apart from other cannabis mobile apps? Our proprietary API.
All the same features and functionality one would expect from a retail app – seamless browsing, simple & clean aesthetics, and an intuitive UI – are only a starting point for us!
On the back end, our powerful machine learning algorithm will be crunching per-SKU data and consumer purchasing behavior, making the app's recommendations exponentially more accurate over a short period of time.
On the front end, this translates to a highly-individualized personal shopping experience, much like we are accustomed to with apps like Amazon or Shop.
Achievement & Traction
Dabbing and delivery are sweet spots in the cannabis space and will remain so after federal legalization.
By leveraging our strategic partnerships, keeping costs down, and remaining competitive on the retail front, we can focus all of our bandwidth on core competencies: marketing, customer experience excellence and our proprietary strain recommendation app.
Market
(Source: Headset)
Dabbers are arguably overlooked and underserved by the cannabis industry. Data shows the dab segment is growing! In California alone, concentrates captured 6.3% of the total market share equaling $320M in sales in 2022!
Dabbers are a young demographic – a whopping 75% of the nation’s dab market is comprised of millennials and Gen-Zers. These generations place far less value on in-store experiences, opting for convenience and technology instead.
Additionally, 68% of Gen-Zers and 58% of millennials prefer to order products directly from brands, and Gen-Z converts on mobile apps twice as much as other age groups. This data reinforces the strength of our D2C strategy, and the noticeable absence of mobile delivery services reveals our opportunity to fulfill this need in the market!
Competition
After passing the California Adult-Use Act in 2018, the cannabis industry experienced an investment boom. Extractors and brick-and-mortar retail dispensaries enjoyed an influx of capital, but as time passed and the industry matured, the reality of overestimated margins and underestimated overhead set in. With downward pressure on the retail price-per-gram, the big players are vulnerable to losing market share to lean & hungry companies (like us!) entering the market.
Little Dragon™ is a direct-to-consumer brand powered by white-labeling agreements with top manufacturers, positioning the company to avoid the pitfalls of costly cash burns that extractors and brick-and-mortar dispensaries will continue to struggle with.
Business Model
Little Dragon Dabs™ is a cannabis brand that will operate in states where legal adult-use markets exist. Our premium products are manufactured under white-labeling agreements and sold through strategic partnerships with licensed delivery services.
We are perfectly positioned to operate with minimal operational costs. Delivery hubs (not open to the public nor serving as high-end dispensary showrooms) eliminate bloated overhead, and our existing relationships with top manufacturers keep costs low.
Our proprietary API provides a wealth of data both on the granular and aggregate level, providing invaluable insight into our consumer base, increasing the length of customer life cycles, and allows us to make accurate demand forecasts.
Achieving multi-state operational status is an extremely viable goal. Zero capital equipment expenditures are required for expansion. Staying nimble and able to keep pace with changes in consumer trends and modernized extraction technologies make the company an attractive future acquisition target.
Team
Ross Franklin, CEO of Xiao Long Holdings, Inc. (dba “Little Dragon Dabs™”) is a seasoned entrepreneur with over 10 years of cannabis industry experience. Prior to founding the company, he co-invented, patented, and commercially developed a process that turns cannabis oils into water-soluble powder alongside famed cannabis author and trailblazer Ed Rosenthal.
After patenting the original powderization process, he went on to write seven additional USPTO-approved patents related to that technology (becoming the author of one of the first groups of patents ever issued for cannabis!). From there, he branded and commercially produced the consumer cannabis product Stardust by Ed Rosenthal™ and placed it in over 100 California dispensaries before exiting in an acquisition to a publicly traded company.