9 Benefits of Cannabis SMS Marketing

As more consumers rely on their mobile devices for communication and information, cannabis SMS marketing has emerged as an invaluable marketing tool in the cannabis industry. Businesses can now effectively reach and engage with their target audience right at their fingertips.

From promotional content to updates about orders to live customer support, this form of marketing has serious untapped potential.

Text message campaigns for cannabis dispensary marketing allow consumers and brands to connect with one another in an instantaneous way, making the effectiveness of this marketing tactic invaluable.

What is cannabis SMS marketing?

SMS (short message service) marketing, also known as text message marketing is a format of text message communication via mobile devices.

Just as you may get an iMessage notification from a family member or friend, marketing messages from brands will show up in the exact same way, making SMS marketing an extremely accessible and effective marketing tactic.

Brands have seen this form of marketing effectively boost digital conversions, enhance brand loyalty and awareness, and recapture lost customers. For dispensaries, a single cannabis SMS message could turn a slow day at the dispensary into a jam-packed, line-out-the-door, busy day.

The best part is that with a cannabis-friendly SMS platform, you get built-in guardrails to minimize the risk to your text message marketing program, meaning you can reap the benefits of this marketing channel without worrying about cannabis marketing rules and regulations.

A good cannabis SMS marketing campaign features:

  • Compliance-driven content
  • Automated messages (can be used for anniversaries, loyalty program updates, welcome series, abandoned carts, and re-engagement reminders)
  • On-brand content and copywriting
  • Custom designs and branding as applicable
  • Performance strategy and reporting

With the guidance of a marketing agency to help you automate and set up segmentation based on hyper-personalization, you can unlock all the benefits of the SMS marketing for your cannabis business.

Here are the 9 benefits of cannabis text message marketing:

1. Highest Open & Response Rate Potential

Social media is loud and congested. Websites are at the mercy of Google’s algorithms. Email inboxes are cluttered. But text messages…well, those are fair game.

In fact, while all the other platforms toss together marketing messages that ultimately get lost in the sea of online noise, phones have no sorting system for incoming texts (yet), which means that when you send a customer a text, they’re virtually guaranteed to see it.

Marketing-related text messages have an incredibly high open rate of about 99%, compared to the average email open rate, which is closer to 30%. While this statistic doesn’t actually mean that customers click on the links in your texts or even really read the message, it does mean that they’re more likely to see it.

If they’re more likely to see it, then there’s higher potential that they’ll engage with your brand, or even simply recall it better than others.

Additionally, as mobile consumers place greater importance on convenience and simplicity, text messages are likely to command much higher and faster response rates than other approaches such as email or app notifications.

2. Increased Reach and Engagement

Cannabis SMS marketing provides businesses with the means to reach a wider audience: literally anyone with a phone.

That means those customers that don’t like to check social media are more likely to have access to your text message campaigns.

Moreover, 95% of SMS messages are read promptly, often within minutes of being delivered – 3 to be exact, according to the research. This quick response time not only grabs the recipients’ attention but also increases the likelihood that they’ll actually take you up on your offer and click a link, respond, visit you in-store, etc.

With this increased reach and prompt delivery, brands get heightened engagement and more potential conversions.

In a fast-paced world where people are constantly on the move, SMS marketing cuts through the noise and delivers your message right into the hands of your customers, increasing the likelihood that they will take notice and take action.

3. Targeted Marketing

Similar to email marketing, text message marketing is an owned media channel, meaning you get a lot more access to customer data. Depending on the platform you use, you can gain valuable insights on your customers, including:

  • Purchase history
  • Which products they purchase over and over
  • Brands they have an affinity for
  • Average order value
  • How often they visit your dispensary
  • And more

Using this data, you can deliberately connect with your most active customers to influence their buying patterns. You could also segment your audience based on the above data and create content that will appeal to them, like creating promotions or deals specifically for people who regularly buy a certain product, brand, or product type.

4. Instant Communication

Whether it’s spreading the word about a time-sensitive deal, revealing an exciting product launch, or sharing exclusive promotions, SMS marketing guarantees that your message reaches the intended audience immediately.

Since you don’t have to work with a third party (like Meta) to deliver your messages for you, you get to have instant communication with your dispensary customers and they can access it instantly from wherever they are.

The speed and efficiency of cannabis SMS marketing therefore cannot be overstated because you can now alert your customers in real time about promotions, in-store pop-ups, events, and more.

Your consumers get instant updates and you get to push out communications with flexibility and ease; a win-win situation!

5. Increased Customer Loyalty

Cannabis SMS marketing is an excellent tool for building dispensary customer loyalty because of how instant and exclusive it feels. When your best friend texts you with plans, you’re more likely to pay attention than when a brand emails you with an in-store event.

Now, with text messaging, you can make subscribers feel connected to your brand and give you more attention.

Utilizing SMS, you can send exclusive discounts, offer early access to product launches, and announce unique promotions specifically tailored to your VIP or loyalty program customers. These perks create a sense of exclusivity and belonging, encouraging shoppers to continually return for more.

Moreover, cannabis text message marketing allows you to create transactional campaigns, such as reminders about orders, offer personalized product recommendations, and even extend customer support via text.

By incorporating these thoughtful gestures into your SMS marketing strategy, you enhance the overall customer experience, fostering a strong connection with your subscribers and keeping them closely engaged with your brand.

6. Easy Opt-In & Opt-Out

One of the key advantages of SMS marketing for consumers is the ease of opting in and opting out of receiving messages. Unlike other marketing channels that may require complex subscription processes, SMS opt-ins are typically straightforward and hassle-free.

Consumers can simply text a keyword or code to a designated number to subscribe, granting them access to exclusive deals, promotions, and valuable content. This simplicity empowers individuals to choose the level of engagement they desire with a particular brand or business.

Equally important is the ease of opting out. At any time, consumers can text a specific keyword (“STOP”) or use an opt-out link provided in the SMS message to unsubscribe. This transparent and convenient process respects their preferences and ensures they have control over the communication they receive.

While this might seem like a consumer benefit (and it is), it’s also valuable to provide as a cannabis business. When you give your customers the freedom to stay informed about products, services, and special offers that actually interest them, without being overwhelmed by excessive or irrelevant marketing messages, your dispensary shopping experience will stand out from the competition.

Additionally, easy opt-out options foster trust and positive brand perception, as consumers feel respected and valued. The ability to easily manage their SMS subscriptions empowers consumers to curate a personalized experience and maintain control over their mobile messaging preferences while building a meaningful relationship with you as a brand.

7. Cost-Effective Marketing

Compared to traditional marketing channels, cannabis SMS marketing is more cost-effective. Where TV, radio, or print advertisements can be expensive (and riddled with rules and regulations that basically make it not worth it), SMS campaigns can be executed with minimal investment.

The cost per message is considerably lower, making it a cost-effective option for businesses of all sizes. Additionally, SMS campaigns require minimal resources in terms of time, especially if you partner with a cannabis marketing agency.

For instance, at Cannabis Creative we can help you automate your campaigns to schedule and send targeted SMS messages efficiently, saving valuable time and effort. Anecdotal data with our own clients shows that combined with the conversion potential, you could make thousands of dollars with a single text.

Cannabis SMS marketing proves that cost-effective strategies can deliver substantial results for businesses in the ever-competitive industry.

8. Integrated Marketing Strategy

SMS marketing works seamlessly with other marketing efforts, such as email marketing and loyalty programs, creating a powerful synergy. By utilizing SMS, your cannabis business can send unique and targeted offers that cross-promote with email campaigns and loyalty program incentives.

This integration allows for a cohesive and synchronized approach, maximizing the impact of each channel. For example, while email marketing is ideal for long-term communication, SMS excels in delivering quick and time-sensitive messages.

Individually, SMS and email marketing offer an excellent return on investment (ROI), but when integrated, they magnify the effectiveness of one another, resulting in a stronger and more impactful marketing approach.

9. Analytics and Measurable Results

As with any marketing strategy, measuring your efforts is essential. SMS marketing provides businesses with robust analytics and tracking tools to measure the success of their campaigns.

Through these analytics, you can assess key metrics such as delivery rates, open rates, click-through rates, and conversion rates to gauge the effectiveness of your SMS campaigns.

As an owned channel, text message marketing platforms can give you hyper-specific data that allows you to gain deeper insights into what’s working and what’s not. For instance, you might be able to see that a subscriber searched through multiple educational blogs before actually checking out with your SMS-provided coupon code.

By analyzing these metrics and patterns, dispensaries can make data-driven decisions, refine messaging strategies, and tailor future campaigns for better performance. These measurement capabilities, therefore, empower you to deeply understand customer behavior, optimize your marketing efforts, and ultimately achieve higher ROI from your SMS marketing campaigns.

Compliance and Legal Considerations

Of course, it has to be said that there are legal and compliance issues to consider when marketing your cannabis business with SMS. It is incredibly important to comply with your local cannabis advertising regulations, even via text.

Lucky for you, with SMS marketing, your subscriber list should be made up of people that opt in. You should obtain consent and provide clear opt-out options to adhere to legal requirements.

Additionally, be sure to handle your customer data responsibly, ensuring privacy and security. Look into the compliance needed with data protection laws, such as GDPR (General Data Protection Regulation) and CCPA (California Consumer Privacy Act) when collecting, storing, and using customer information for SMS marketing purposes.

Cannabis SMS marketing must also adhere to specific content restrictions, including avoiding misleading claims, prohibited health claims, or any content that violates cannabis advertising regulations. Make sure your team understands the content guidelines accordingly to avoid legal repercussions.

Get started with cannabis SMS marketing

When you partner with an award-winning cannabis marketing agency like Cannabis Creative, we can guide you through all the potential compliance content guidelines to ensure that your business remains compliant and in good standing on all your marketing channels.

Not only will you get more time to focus on the core functions of your business, but you will also get to tap into the wonderful benefits of SMS marketing without getting into the weeds (pardon the pun).

Implementing SMS marketing as part of your overall dispensary marketing strategy is a great way to:

  • Tap into the highest open and response rate potential
  • Increase reach and engagement
  • Target your marketing efforts
  • Instantly communicate with your audience
  • Increase customer loyalty
  • Allow easy opt-in and opt-out preferences to your subscribers
  • Get cost-effective marketing
  • Integrate your marketing strategy
  • Easily analyze and measure your results

To learn more about cannabis SMS marketing, view our services or speak directly with a member of our team.