Cannabis brands face fierce competition to secure shelf space and consumer loyalty. The key to success lies not just in creating quality products, but also in providing value to retail partners.
My vice president of marketing recently wanted to discontinue selling one of the newer brands our dispensary carries. When I asked her why, she stated the brand had little online presence. That meant she would have to order a product photoshoot and have her team dig to find enough information to create a budtender-training-and-sales battle card. We’ve found those items to be essential in preparing our team to represent products successfully. In the end, the product did not sell well because we were not able to create the training materials and prepare the team the way we usually do.
The episode represented a lost opportunity for the brand, which we won’t restock. Things could have gone so much better for everyone if that company had expended a little effort to enhance its appeal to retail partners by offering solutions that help streamline operations, boost sales, and contribute to both sides’ bottom line.
Before diving into specific strategies, it is crucial to understand retailers face challenges in diverse areas from inventory management to staff training and retention, small-but-mighty marketing teams that take on giant-sized marketing restrictions, customer education, and competition from both legal and illicit markets. By addressing these pain points, brands can position themselves as indispensable partners rather than just another product on the shelf. One of the most valuable assets a brand can offer a retailer is time. By providing resources and tools that reduce the workload for store managers and staff, brands quickly can become favored, long-term partners.
Here are some key areas where brands can make a significant impact.
Streamlined marketing materials
Retail marketing teams are often small, and time is their hottest commodity. Marketers push inventory managers toward certain products that provide the operation with overwhelming amounts of value.
Cannabis brands can ensure marketing buy-in by remembering most retailers operate not only at least one brick-and-mortar location but also a robust e-commerce store. Consider providing search-engine-optimized product descriptions, high-quality product images on multiple background colors, ready-to-use social media posts, and customizable email templates for customer outreach.
By offering these resources, brands enable retailers to update their websites, social media, and customer communications without dedicating considerable time and resources to content creation.
Comprehensive training resources
Well-trained budtenders are essential for driving sales and ensuring customer satisfaction. Brands can support retailers by developing comprehensive training manuals that include detailed product information and value propositions, sales strategies tailored to a variety of customer personas, comparative product information (“If a customer enjoys Product X, they should try our Brand Y”), and answers to common customer inquiries.
These resources not only save retailers time in staff training but also ensure budtenders are well-equipped to represent the brand effectively. Marketing resources and training materials are the bare minimum cannabis brands should supply if they want to stand out.
Enhancing the retail experience
Beyond time-saving solutions, brands can differentiate themselves by contributing to an enhanced retail experience. This approach not only benefits the retailer but also helps create a stronger connection between the brand and consumers.
Invest in eye-catching, informative, interactive product displays that educate customers and facilitate product selection. Experiential marketing is the buzzword of 2024 in retail. Consider digital kiosks with product information and strain recommendations, aroma stations that allow customers to experience terpene profiles, or augmented reality experiences that highlight product effects or growing processes. Even startup brands with limited budgets can create clever ways to attract attention and implant themselves in shoppers’ minds.
Clever displays can turn a simple shopping trip into an engaging, memorable experience that drives sales and customer loyalty. In addition, they allow brands to negotiate minimum buys if stores want to receive them.
Develop programs that motivate budtenders to learn about and promote your brand’s products. Some that we’ve found work very well include product knowledge quizzes with rewards for high scores, sales contests with prizes for top performers, and exclusive “brand ambassador” programs for standout employees.
By investing in staff engagement, brands can ensure their products receive proper attention and recommendation on the sales floor.
Don’t stop with educating and incentivizing budtenders. Customer initiatives are important, too. Position your brand as a thought leader by providing educational resources like in-store workshops about terpenes, consumption methods, or wellness applications; branded educational materials like infographics or brochures; and collaboration on community events, pop-ups, or webinars.
These initiatives not only add value to the retail experience but also help build consumer trust and credibility for the brand.
Leveraging cannabis brands data
Data is a powerful tool for driving business decisions. Brands that can provide valuable insights to their retail partners will stand out from the competition. Offer retailers access to market trend data relevant to your products, including consumer personas for your brand, overall data in your product categories, and seasonal buying patterns. This information can help retailers optimize their inventory and marketing strategies, leading to increased sales for both parties.
Share anonymized data about customer behavior and preferences. Popular product combinations, time-of-day purchase trends, and demographic information correlated with product preferences can inform everything from store layout to promotional strategies, enhancing the overall retail performance.
Provide detailed analytics about your brand’s performance within comparable stores and markets, including sales velocity compared to category averages, customer retention rates for products, and upsell and cross-sell success rates. By demonstrating the tangible value your brand brings to the retailer, you strengthen your position as a key partner in their success.
The bottom line
By consistently delivering value and demonstrating a commitment to mutual success, cannabis brands can secure their place as preferred partners. Those that go beyond offering quality products and additionally provide comprehensive value to their retail partners will thrive. By focusing on time-saving solutions, enhancing the retail experience, leveraging data, and building strong partnerships, brands can differentiate themselves and secure a lasting presence in stores.
A returned citizen, Terrence White works to correct the disproportionate impact of criminalization on marginalized communities. He founded and serves as CEO for Monko, a luxury cannabis experience in the heart of Washington, D.C. He also owns the cultivation brand Pleasant Hill Wellness.
