In the ever-evolving landscape of cannabis marketing, adaptation and staying on the cutting edge are paramount to a business’s success.
The dynamic nature of the field means that trends, tools, and techniques are in constant flux. Falling behind while competitors surge forward is a scenario no business can afford.
To ensure your cannabis marketing strategies remain effective and in tune with the times, it’s essential to stay informed about the latest industry developments. One of the most powerful tools for achieving this is harnessing the wealth of marketing statistics available.
Whether your business’s focus is on branding, print and packaging, website design, advertising, SEO, social media, email marketing, or text message marketing, we’ve gathered a treasure trove of statistics that will empower you to connect with your target audience, boost conversions, and keep your competitive edge sharp.
In this blog, we delve into the world of cannabis marketing statistics, offering valuable insights and data-driven strategies for navigating this burgeoning industry:
Cannabis Consumer Behavior Statistics
The modern cannabis industry, as we know it today, began to take shape in the late 20th century, particularly in the United States, with the emergence of medical marijuana programs and the eventual legalization of recreational cannabis in some states.
Since then, we’ve come a long way, with consumer preferences and buying patterns changing along with it. Here’s a glimpse into cannabis consumers today:
- 21% of people doing Dry January — a popular trend where you abstain from alcohol for the month — are replacing alcohol with cannabis and CBD. (Civic Science, 2023)
- In a survey of over 1,000 cannabis consumers from recreationally-legal states, when asked “how much do you typically spend per month on cannabis a month,” 35% stated they spend $50 to $100 a month; 23% claimed $100 to $150; more than 14% selected $150 to $200; and 12% chose more than $200. (Jushi, 2022)
- Cannabis beverages(+10%), edibles(+10%), vapes(+5%), and pre-rolls(+12%) all increased in sales. This is most likely attributed to the fact that consumers have a greater interest in portable, shareable recreational products over medicinal-use products. (Headset, 2022)
- Green Wednesday 2023 has seen an 18.12% increase in sales compared to 2022. (Jane Technologies, 2023).
- The top cannabis sales days in 2023 included 4/20, Labor Day weekend, Green Wednesday, and Black Friday. (FlowHub, 2023)
Cannabis Branding Statistics
Branding is undeniably one of the most important steps to setting the right foundation for your business. It’s one of the key marketing areas that could give you a leg up in such a saturated market.
- 58% of consumers are frustrated with brands that offer generic and inconsistent brand messaging. (Moengage, 2023)
- More than backward-looking sales trends, understanding brand health – or, in other words, the brand attributes that keep your customers wanting more – will be the key factor in who survives and who doesn’t. (MJBiz, 2023)
- Color is a critical element of the design process, increasing brand recognition by 87% and influencing up to 85% of product purchases. (Pantone Color Institute, 2023)
- Two-thirds of businesses say brand consistency has contributed to revenue growths of at least 10% (Marq, 2021)
Print & Packaging Design Statistics
Your product’s packaging is not just the box it comes in on the shelf or shipped to your customers’ doorsteps. It’s also one of the first hands-on experiences they’ll have with your brand. When you invest in professional cannabis print and packaging, you’re committing to taking your business to the next level.
- 66% of US consumers and 80% of young US adults (ages 18-34) surveyed are willing to pay more for sustainable products versus less sustainable competitors. (PDI Technologies, 2023)
- 28% of consumers are choosing cannabis products based on their packaging. (New Frontier Data, 2022)
- E-commerce platforms embracing eco-friendly packaging practices witness a substantial 15% rise in average conversion rates. (Market Splash, 2023)
Website Design & Development Statistics
Cannabis websites, much like dispensaries, can often seem overly pharmaceutical, dry, and uninviting. Creating an engaging, on-brand, user-friendly, mobile-ready, and SEO-backed website is the key to making a good impression on your customers and search engines. These statistics will help you get an understanding of just how important it is to invest in your cannabis website design and development.
- Your website experience is critical because 41% of consumers are purchasing CBD products online (DriveResearch, 2023)
- It takes about 50 milliseconds (0.05 seconds) for people to form an opinion about your website (8ways, 2019)
- At the start of 2023, there were 79 cannabis industry point-of-sale software providers in the U.S. (Cannabiz Media, 2022)
- In 2022, 176 stores switched from one POS software provider to another (Cannabiz Media, 2022)
Digital Advertising Statistics
Advertising can be difficult in the cannabis industry due to the complex rules and regulations. What’s more, it can vary from state to state. While it’s important to do your research and understand local cannabis marketing laws, paid advertising through Google, social media, and more can lead to dramatic results for your business. Take a look at these cannabis advertising statistics:
- A recently established Massachusetts-based dispensary used Google Ads to generate leads and drive revenue, resulting in a 15.9x return on ad spend, or ROAS. (Cannabis Creative, 2023)
- Cannabis advertising in North America is expected to hit $2.5 million next year, up from $2 million this year. (Statista)
- More than 80% of marketing companies surveyed said they needed help getting the right message to the right audience. (New Frontier, 2022)
- Digital advertising is the leading marketing strategy for cannabis brands, reaching 83%. Followed by events, 34%, partnerships 33%, and public relations 28%.Within the digital marketing category, integrated ads led, to 55%, followed by email communications, at 50%. (New Frontier, 2022)
Cannabis SEO Statistics
SEO, or search engine optimization, is optimizing a website’s content and structure to improve its visibility in search engine results and attract organic, targeted traffic. When you integrate cannabis SEO and content marketing techniques into your marketing initiatives, you enhance the online presence and positioning of your website. The statistics presented here offer valuable guidance for refining your SEO approach, increasing web traffic, and elevating conversion rates.
- Website is the #2 channel used in marketing, behind social media. (HubSpot State of Marketing Report, 2021)
- 56% of marketers who leverage blogging say it’s effective and 10% say it generates the biggest return on investment. (HubSpot Blog Research, 2021)
- A Massachusetts cannabis dispensary with one retail location increased its keyword ranking growth by 3,092% in roughly a year through a content strategy and an SEO implementation plan. (Cannabis Creative, 2023)
- 54% of decision-makers say they spend more than one hour per week reading and reviewing thought-leadership content. (Edelman/LinkedIn 2021)
- A cannabis consulting company (ancillary) improved its search engine ranking in less than a year through Cannabis Creative’s SEO efforts, ranking on the first page of Google for 11 keywords. (Cannabis Creative, 2023)
Cannabis Social Media Statistics
Long gone are the days when social media was just cat memes and people dancing. While you’re still sure to run into those posts, social media has completely changed the way consumers interact with brands. It’s a platform that allows you to build a community, boost brand loyalty, and get real-time feedback from customers.
- The most common publishing cadence for social media marketers is three to four times per week. (HubSpot, 2020)
- In less than a year, a professional cannabis social media marketing strategy resulted in 3x follower growth for a CBD brand. (Cannabis Creative, 2023)
- In 2023, there were over 20 million tweets about cannabis topics, which is more conversation surrounding the topic of cannabis than there was about coffee, golf, the NHL, and other mainstream industries (AdCann, 2023).
- 41% of Gen Z and Millennials make an impulse purchase online every 2-3 weeks. On the other hand, only 10% of Baby Boomers can say the same. (GWI, 2023)
Email & SMS Statistics
From dispensaries to consumer goods and even ancillary services, email and text message marketing can take your business to a whole new level. Automation and sequences through tools like Alpine IQ can help your cannabis business send compliant, engaging messages that could potentially bring in hundreds and thousands of dollars in revenue. Here’s what you need to know about these valuable platforms:
- The number of global email users is set to grow to 4.73 billion by 2026. (Statista, 2023)
- From a study of 1,000 small business owners, email marketing was ranked as the second most effective medium for building brand awareness. (Campaign Monitor, 2019)
- Over a year, a pet CBD e-commerce brand generated an average of $2,641.05 in revenue through cannabis email marketing. (Cannabis Creative, 2023)
- Email marketing has the highest return on investment for small businesses. (Campaign Monitor, 2019)
- Over 20% of marketers surveyed say that email design is improving their email engagement. (HubSpot, 2020)
- Cannabis retailers who leveraged SMS marketing campaigns saw ticket sizes per customer averaging $96 for delivery and $84 for retail. (Happy Cabbage, 2021)
- A Massachusetts dispensary with an urban location generated an average revenue of $40k per week for each SMS sent. (Cannabis Creative, 2023)
Stay up to date with cannabis marketing statistics
At Cannabis Creative, we pride ourselves on being a data-driven marketing agency for cannabis and CBD businesses. This industry operates much differently than other industries due to the restrictive rules and regulations. However, that doesn’t mean your brand can’t achieve success through our proven marketing strategies.
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