The cannabis industry has been experiencing a remarkable growth trajectory in recent years, thanks to the legalization of cannabis in several states and countries. However, with this growth comes the challenge of marketing cannabis products and services in a world where cannabis is still stigmatized and regulated. In this article, we will explore the latest trends and challenges in cannabis marketing and how businesses are adapting to this evolving landscape.
Shadd Dales, Ben Smith, and Anthony Varrell look deeper into the latest earnings report of the major cannabis companies. The report shows that the cannabis industry is rapidly growing, with many companies experiencing double-digit revenue growth. However, the report also highlights the challenges faced by the industry, such as the lack of access to banking services and the regulatory hurdles that limit advertising and marketing efforts.
One of the challenges facing cannabis marketing is the stigma associated with cannabis use. Millican states, "'What it means as a woman I'm not having to expend energy and time bending myself like a human pretzel to get my voice across." This issue is particularly relevant to female consumers who have traditionally been underrepresented in the cannabis industry. However, as the industry becomes more mainstream, businesses are finding new ways to market to a wider audience.
Another challenge facing cannabis marketing is regulatory restrictions. Voters were told that legal marijuana would have strict labeling and not be packaged in ways that would appeal to children. But the market is now facing regulatory hurdles that limit advertising and marketing efforts. For example, cannabis businesses are not allowed to advertise on traditional media platforms such as television and radio, and they cannot use social media platforms like Facebook and Instagram to promote their products.
Despite these challenges, the cannabis industry is finding innovative ways to market their products and services. For example, SAN FRANCISCO, May 16, 2023 (GLOBE NEWSWIRE) -- Treez, the leading enterprise commerce technology platform that streamlines retail, has developed a platform that allows cannabis businesses to manage their inventory, sales, and customer data in one place. This platform provides businesses with valuable insights into their customers' behavior and helps them tailor their marketing efforts accordingly.
As cannabis usage becomes more mainstream, fast-food-chain Jack in the Box is fanning the flames of its cannabis-friendly marketing strategy. The company has been experimenting with cannabis-themed products such as the Munchie Meal, which includes two tacos, curly fries, and a drink, and is marketed as the perfect meal for cannabis users.
To navigate the regulatory hurdles, many cannabis businesses are turning to public relations firms to help them craft their messaging and navigate the media landscape. Freeman Klopott is a vice president at Marino PR, but spent two decades as a journalist and then a spokesperson for the two government. Klopott states, "The key to successful cannabis marketing is to focus on education and to be transparent about the benefits and risks of cannabis use."
May 17, 2023, Seattle, WA — Sound Community Bank's Specialty Money Market account is now exclusively available to cannabis growers, providing them with access to a secure and stable banking partner. This development is significant since most banks are hesitant to work with cannabis businesses due to the risk of violating federal law.
As the cannabis industry experiences a significant shift toward general acceptance and mainstream adoption, new modes of operation are emerging. For example, some businesses are turning to influencer marketing to promote their products and services. Influencers are individuals with a large following on social media who can help businesses reach a wider audience by promoting their products and services.
Twitter is further loosening its limits on cannabis industry advertising, letting vetted, state-legal businesses show packaged marijuana and related products in their ads. This development is a significant win for the cannabis industry, as it provides businesses with a new avenue to market their products and services.
In conclusion, the cannabis industry is facing significant challenges when it comes to marketing its products and services. However, businesses are finding innovative ways to navigate the regulatory landscape and reach a wider audience. As the industry continues to grow, we can expect to see more businesses adopting new marketing strategies to capitalize on the opportunities presented by this emerging market.
