The space is growing rapidly, with sales of over $14 billion in 2019 and expected to reach $25 billion by 2021 . While cannabis has created cottage industries across the country (ancillary businesses ranging from armored cars to delivery apps, IoT ground Photo Background Removing controllers to PoS systems), businesses touching plants - a very literal industry term - can be subdivided into the following segments. Dispensaries: local businesses in the cannabis industry Ah, the small business, the backbone of America. Dispensaries are often small, local businesses with limited marketing budgets looking to drive traffic and ultimately sales. They are like any other brick and Photo Background Removing mortar, but with more paperwork and longer lines. cannabis marketing crowd Dispensaries tend to have a hard time with advertising because, well, most of what's out there seems incredibly expensive (who really knows what a billboard costs, anyway?) or non-existent.
As such, these businesses rely heavily on email and texting to cross-sell and generate repeat customers. While this certainly improves customer lifetime value, or CLV , it has virtually no impact on net new customers. Biggest Marketing Challenges Raising Photo Background Removing awareness Local SEO Limited advertising budgets CPG: Think smokable white claw Like any other industry, cannabis has its own array of consumer goods that compete for shelf space and customer loyalty . While the existence of consumer packaged goods, or CPG, brands in the space is Photo Background Removing mostly limited to mature recreational markets today, their prevalence will undoubtedly increase (particularly when the rights to launch established brands in the nascent markets are sold and, eventually, interstate commerce becomes a reality).
Cannabis marketing products For these companies, the ability to grow and target an audience through brand-safe digital properties is essential; it is Photo Background Removing also a huge challenge. The lack of availability and accessibility on the digital front. Worse, CPG brands rely on second-hand or anecdotal data to determine the effectiveness of digital campaigns designed to drive traffic to dispensaries that stock their products. This makes CPG brands discerning consumers who are forced to rely heavily on secondary metrics (impressions, brand enhancement, etc.) to gauge success. You can fit most CBD brands into this category, but with one key caveat: the ability Photo Background Removing to peddle merchandise online makes it easier to link clicks and impressions to revenue, so you can treat CBD brands like any other e-commerce client (with some mode-specific FDA hurdles.).