The needs of cannabis consumers are changing more rapidly than you may think. As the cannabis consumer base increases, it becomes more important to present them with options so they can remain lifetime customers. While cannabis consumers may seem like homogenous groups, they have diverse needs, most of the time blurring the “recreational and medical” lines. From price to strain variety to THC content — everything matters for them. That’s why it’s super important to focus on every aspect of cannabis production to deliver the best product. Once you sort your product quality, the next task is to offer users a wide range of options and marketing your products in the right way. Understand all these nuances and you’ll be able to match cannabis with the consumers’ needs. In this article, we shall discuss in detail how you can attract more cannabis consumers while securing a good return on your investment.
Let’s dive in!
Sensitisation Of Cannabis Users
This is the most basic and important aspect of making a strong relationship with your customers. They are investing their hard-earned money and trust in you. It’s your responsibility to shun their misconceptions about cannabis and educate them about its benefits and medicinal properties. This can be done via social media platforms and by running offline campaigns. Even though your cannabis user base may not be big enough, it’s critical to understand their motivations, desires and address their concerns. That’s where branding or marketing comes in.
Adopting the right marketing strategies is important if you are creating a lifestyle, luxury, and natural cannabis brand. If your brand wins trust, people are going to accept it with open arms. Cannabis had a big boost in the United States after the federal government paved the way for the Farm Bill, 2018, which eased a lot of restrictions around cannabis. So this allowed companies to spend more money on branding, which helped them rake in more revenue.
Data On Cannabis Industry
According to a survey conducted by Marijuana Business Daily and the Bureau of Labor Statistics, average users in the US spend about $1,800 on marijuana for recreational and medical purposes. This is the national average and in some areas, the average spending is very high.
Overall, it’s been found that average Americans are spending more on cannabis than alcohol and tobacco, which is a positive sign for the whole industry. Most cannabis consumers use it daily, followed by those who like to have pot once a week. This shows there’s a consistent demand for cannabis, which if tapped rightly, can bring a boon to you. The survey also showed that most cannabis consumers like to buy flower-based products, followed by concentrates, edibles, and topicals, giving you a clear idea of how you should prioritize your product choices. Besides, a majority of people buy their products from genuine markets like dispensaries and recreational stores. This shows the cannabis market has fully stabilized and all you need is the right marketing strategies to guide you towards following best business practices.
Adopt Right Marketing Strategy
Marketing or branding is a very important aspect of any industry, and cannabis is no different. As per AT Kearney data, 48 percent of people believe it’s very important for companies to spend money on branding to assure customers about product quality and safety. This not only influences their choices but also forces them to stick to your product. Even though it’s a new industry, the cannabis market is highly competitive and most of the market share is concentrated around the top 10 brands only. As per BDS Analytics data for California, Colorado, and Oregon, the top 10 brands account for up to 59.7 percent share in these three states. To adopt the right marketing strategy, you need to apply all sorts of marketing techniques — from traditional marketing to digital marketing to data personalisation and data analytics.
Digital Marketing And Data Personalisation
This is a digital age and people are glued to their devices like never before. That’s why digital marketing should be at the top of your priority list if you are looking for gaining a bigger customer share. You’ll have to build a strong brand appearance on all social media platforms, which typically have a high percentage of the younger population. Digital platforms provide you with a space to reach out to millions of consumers in the fastest possible way. The more visible your brand is, the more easily you’ll be able to build your brand presence.
Advanced marketing options like tailored ads as per the demographics can help businesses grow immensely. You must understand the behavior of your consumers to fulfill their needs. Know all the factors like what is driving them to buy your product and what are the reasons they are not interested in a particular product. Assessing customer behavior not only helps you improvise but also to double down on strategies that are working.
Offline Presence And Cross-state Operations
Apart from adopting smart digital marketing and sales techniques, you must score big on multiplying your offline brand presence. Experts believe the multi-state expansion, along with developing brand trust, is a smart way to grow in the current times. The cannabis industry is growing fast. Rather than simply smoking the product, people are keen on going into details as to how each different product can benefit them.
Most big brands these days are focussing more on concentrates as they offer higher margins. We can not emphasize more the marketing aspect of brand building. Grabbing the attention of consumers is very important to stay in the game. Once brand presence is built, it’s important to focus on building trust. As per an estimate, consumers tend to trust brands with a huge digital and offline presence more than those with limited branding strategies. The industry is still in its infancy but the day is not far when cannabis makers will be as established as Apple or Microsoft or Starbucks.
