We recently connected with Sierra Elaina and have shared our conversation below.
Sierra, appreciate you joining us today. Let’s talk about keeping costs under control when growing. How have you managed to keep costs from getting out of control?
The cannabis industry—and the California market in particular—overestimated potential revenue based on population numbers. Many brands, including Lehua Brands, came into the market and took a big manufacturing approach to an industry with many unknowns. For example, say a previous leader bought 100,000 units of bath bomb packaging because they had done so well in the initial market, but due to differences in demographics and consumer needs, they did not catch on very quickly. Or perhaps they buy 100,000 bottles from a manufacturer because someone thought they were better quality but failed to get tops that fit properly. Both are true stories. Cut to current market compression, fighting the black market and what is now a common practice of partners not paying their bills. When I came to Lehua Brands, my first thoughts were to review, listen, watch and recommend. I changed the business model to a lean asset low-risk model. I listen to my distributor, I visit the shops myself, I watch the A/R from retailers like a hawk and I have taken a year to make big changes like moving our facility to a smaller location that better suits our business. We relentlessly take quotes from vendors and in effect create our own procurement process, which had not existed. I was committed to hiring the best possible product formulator and marketing team so our beverage flavors and in-store shelf presence resonates with consumers and retailers alike vs. our competition.
Last but not least, we care—about our people, partners and the industry. I pride myself on cutting our cash burn by over 50% and I buckled down for the last year to prepare us for 2025. I can’t control the industry or its inherent challenges, but I can control Lehua Brands and how we operate with our investor’s best interests at all times. Creating great products for great people is first and foremost.
Awesome – so before we get into the rest of our questions, can you briefly introduce yourself to our readers.
I am a 20+ year executive who has primarily worked in consumer packaged goods (CPG). I started at a beer distributor, then worked as a director for an agent of record in the beer and wine sector, and then moved onto the supplier side in multiple markets and at the national level. I also owned a successful strategic and field execution agency for several years. Those experiences gave me a unique 360-degree view of bringing products to life across all channels. I got into cannabis because of my father who passed away from Parkinson’s disease. It is a horrific illness and he did not want to take opioids. I would bring him edibles to ease his pain, which at times was intense. While recreational cannabis is wonderful, I never forget the power of this amazing plant and all the good it does for those with real medical needs. We are all a collage of our own experiences. Mine have not always been great and there have been many dark times. But through the support of incredible people—and make no mistake—an insane amount of hard personal work, here I am, CEO of this incredible house of brands. I would like people to remember a few bad days or weeks does not make for a bad life. Mental health is a huge priority for me and cannabis has helped me with anxiety, PTSD and physical pain. Listen, I was a single mother who literally had $20 dollars to my name at one point, and I was one of the lucky ones. It is really easy to listen to the hurtful and negative voices in your head or from external sources, but believe in yourself and know you absolutely matter. Trust me, I still have to stop and remember to rise above the filth, and my voice is the voice I need to listen to most.
Can you share a story from your journey that illustrates your resilience?
I have spoken about this openly. I am a survivor of domestic violence. It changes you in all the ways you might read about plus a million more that only survivors know. I was living in my parent’s basement in New Jersey after my abuser was convicted of stalking. I was getting summoned to court in Virginia pretty much every other week because often abusers don’t just hit—they start a mental and financial warfare on your existence. I won’t get into all the details, but 25 years later, I still deal with his attempts to cause pain and humiliation, and his attempts to disrupt my life. I show my resilience every day when I get up, go to work, love my children and have empathy for strangers. I don’t let that time in my life define the rest of my life.
How about pivoting – can you share the story of a time you’ve had to pivot?
I remember when I worked on an energy drink in 2007 and there was a change in the packaging design. The executive team overlooked the 22 palettes sitting in our logistics center that needed to get out before the design change hit retail. I had to create a program to deplete those units within six weeks. I developed an extensive sampling program attached to a redeemable coupon that we dropped with every employee at every store in the malls across three states that had a GNC, which was our national retailer. I created an incentive program for our local distributors to merchandise chain accounts and I donated to several military bases for the troops to use through their commissions, exchanges and non-profits. The best part was, upon the recommendation of my father, I enlisted the Easterseals group in Hermosa Beach to put the sample kits together for us. The team of disabled adults who attended the Easterseals programs assembled thousands of bags over the course of several weeks prior to the holidays. It was the first time many had ever worked and received paychecks. The Easterseals team was so sweet and thankful but not as thankful as I was. You build brands at local levels. You build good people by creating opportunities.
Contact Info:
- Website: https://www.lehuabrands.com/
- Instagram: https://www.instagram.com/lehuabrands/
- Facebook: https://www.facebook.com/p/Lehua-Brands-100083344610506/?_rdr
- Linkedin: https://www.linkedin.com/company/lehuagroupinternational/
- Other: https://www.linkedin.com/in/sierracooke/
Image Credits
Courtesy of Lehua Brands