WM Technology Inc (MAPSW)

History and Background

WM Technology, Inc. (Weedmaps) was founded in 2008 by Justin Hartfield and Doug Francis as a crowdsourced platform to connect cannabis consumers with dispensaries and brands. It has evolved from a directory to a comprehensive technology and software infrastructure provider.

Core Business Areas

• WM Business: Subscription-based software solutions for cannabis retailers, including point-of-sale, delivery management, and e-commerce tools.
• WM Ads: Advertising solutions for cannabis businesses to reach consumers on the Weedmaps platform.
• WM Exchange: Facilitates B2B transactions between cannabis wholesalers and retailers.

Leadership and Structure

Chris Beals serves as the CEO. The company has a board of directors and operates through various departments focusing on technology, sales, marketing, and operations.

Key Offerings

• WM Business SaaS Platform: Subscription-based software solutions for businesses. Competitors include Flowhub, Greenbits (acquired by Akerna), and Treez.
• Weedmaps App: Mobile application with over 4 million active users. Competitors are the same as the marketplace.
• Weedmaps Marketplace: Online directory and marketplace connecting consumers with cannabis retailers. Market share is difficult to pinpoint exactly due to the fragmented nature of the cannabis industry and varying regulations across states. Competitors include Leafly, Iheartjane, and Dutchie.

Industry Overview

The cannabis industry is experiencing rapid growth but faces regulatory uncertainty, with varying levels of legalization across different regions.

Positioning

WM Technology positions itself as a leading technology and software infrastructure provider in the cannabis industry. It aims to provide a comprehensive platform for businesses to manage their operations and connect with consumers.

Total Addressable Market (TAM)

Estimates for the legal cannabis market vary, but projections indicate a TAM exceeding $50 billion in the US. WM Technology is positioned to capture a significant portion of this market by providing its technology and platform solutions. How much of that TAM that is addressable for WM Technology is based upon the addressable Geo-markets.

Key Competitors

• LEAF
• DUTCH
• AKAN

Competitive Landscape

WM Technology faces competition from other technology providers, cannabis marketplaces, and vertically integrated cannabis companies. Its competitive advantage lies in its established brand recognition and comprehensive platform offering.

Historical Growth: WM Technology has experienced periods of rapid growth followed by periods of stagnation due to industry challenges and regulatory hurdles.

Future Projections: Analysts project continued revenue growth, with a focus on improving profitability through cost management and operational efficiencies.

Recent Initiatives: WM Technology has been focused on expanding its product offerings, improving its platform, and strengthening its relationships with cannabis businesses.

WM Technology holds a significant position in the cannabis tech market, leveraging its established platform. However, it faces profitability challenges and regulatory uncertainty. While it continues to grow, the company needs to optimize its cost structure and navigate the complexities of the evolving cannabis industry. Over the long term, increasing legalization represents an opportunity for growth if they execute well. They need to demonstrate consistent progress toward profitability to instill confidence in the future.

• LEAF
• DUTCH
• AKAN

Data Sources:

• Company Filings
• Analyst Reports
• Industry Publications

Disclaimers:

The information provided is for informational purposes only and should not be considered investment advice. Market share estimates are approximate and subject to change.