Given the quasi-legal state of the cannabis industry in terms of state and federal regulation, it is to be expected that not everything functions as ideally as it could.
State-level regulations and the lack of federal funding from large financial institutions mean that much of the recreational market we enjoy can feel, at times, like it’s held together by duct tape and pure determination.
One only has to look at the complex logistics of plant tracking, reliable testing, product delivery, and continual adaptation to new legislation (and taxes) as proof that, despite the odds, dispensaries are putting in a lot of hard work and brainpower to bring the plant to the masses. For that, I, for one, am eternally grateful.
That said, as with any burgeoning industry, there are a few areas where dispensaries would do well to invest time to not only become more competitive today but also better position themselves for hyper-growth as federal policies change.
Before any dispensary owner’s ego gets bruised, and before their fingers start tapping out a prematurely emotional response, just read this: I am not claiming to be a Shark Tank master businessman, nor does this list guarantee success. I’m simply sharing a collection of much-chewed thoughts derived from my role as a passionate consumer of legal cannabis products.
So don’t take anything negative; the whole goal of this post is to share thoughts from a consumer and a professional marketer’s perspective, nothing more. Take it or leave it; I’m just trying to help here because I see many hearts in the right place, but they are struggling.
Looking At Your Business With a Fresh Perspective
No doubt, operating a cannabis business today comes with additional challenges that other companies don’t face, such as operating on a cash basis, struggling to secure commercial real estate, and facing excessive retail regulations.
Hopefully, as more states legalize over time, we can see some state-to-state free-market competition to see who can create the smoothest retail process (for businesses AND customers) and, thus, collect as many tax dollars as possible.
^In case this is your first time on this blog, the above paragraph should indeed be read with a little bit of facetiousness.
But as the wise sage Boomhauer said: “dang ol’ danged if you do, danged if you don’t dang ol.” The rules are what they are, so, given this fact, what can we do within these confines?
We make it as foolproof as possible. We look to streamline every step of the process from when someone walks in the door to when they walk out.
This includes carefully considering how your business implements state-specific identification processes, ensuring signage is clear, and that the flow of people through your establishment encourages engagement with your merchandising and prevents blockages or crowding.
In essence, it may be helpful to put on your civil engineering hat to survey your establishment with the fresh eyes of someone who isn’t already intimately familiar with your store layout and product offering.
Ask yourself, “If I’d never stepped foot in here, what would I do?” and run this process from start to finish, multiple times, ideally including other people to get as much feedback as possible so that you can go about creating a shopping experience that is as delightful for customers as it is profitable to your bottom line.
1. Invest in Creating an Experience
Hopefully, the above importance of channeling your inner Vulcan logic to maximize process efficiency didn’t put you to sleep. While that is a fundamental first step, everything here on out is additive, helping augment an existing efficient retail operation.
From a consumer perspective, the biggest issue I see across state dispensaries is how many lack a cohesive brand identity. Undoubtedly, this is because many people are focused on money without bringing a core ethos to the table.
You can be all about the paper and nothing else, but honestly, that’s probably not going to work out for you in the long run. Smokers are picky and connected. Bad news travels fast.
However, while some dispensary owners may have a strong ethos, they haven’t consolidated it into a plan to communicate these values and beliefs to prospective and existing customers.
As far as I can tell, these more soulless-feeling businesses usually fall into two primary categories: 1) lazily branded strip mall/commercial real estate operations focused on competing on price and volume, and 2) residential structures converted into dispensaries on the cheap.
Now, I’m not ragging on all of these types of businesses, as there is indeed logic that dictates much of their existence. It isn’t easy to invest millions in premier retail experiences without access to any traditional federal investment resources, for example.
Regardless of whether you’re selling out of a strip mall or if you’ve converted a three-bedroom one-level house into a dispensary, it’s essential that you still try to create a unique experience that captures the “why” in the “why did you get excited about cannabis in the first place.”
Infuse your location with your identity. Cookies lean heavily on hip-hop lifestyle and cultural branding. Oregrown Portland focuses on outdoor experiences, featuring sponsored mountain bikers. Serra takes an entirely different route, positioning itself as THE brand on Instagram with an almost artisanal jewelry-store vibe.
Regardless of which specific personality you apply to your brand, as long as you are conveying an honest emotion, expressing your individual (or communal, if a team) humanity, and putting effort into creating some viiiiiiiibe, you’ll be leaps and bounds better off than those who don’t.
2. Put Your Product on a Pedestal
If you are operating in a state allowing deli-style cannabis sales, aka big-ass weed jars, where purchases are measured out individually in front of the customer, then this is the route you should try to go.
I have a whole post on why I think deli-style is superior to pre-packaged states, in addition to thenoticeables environmental impact of single-use packaging.
Naturally, this won’t be an option for businesses in states where it’s prohibited. Still, it sure does create an excellent experience for customers: A) seeing giant glass jars of weed is exciting, and B.) smelling and seeing your flower before purchasing is reassuring and a quality assurance.
If you have to sell pre-packaged, then at least include a display feature that lets customers see the flower in its full beauty, ideally under magnification.
There are a variety of display options available, but I have yet to see portable pods/capsules work well, as the plastic often tarnishes quickly. The constant jostling by customers destroys the delicate bud structure over time.
The best way to display cannabis outside large glass deli-style jars is to pin it in significant flat glass cases, similar to how rare butterflies are preserved. This enables quick, easy visual evaluation for customers. The flat nature also makes it easy to add complementary genetic, farm, THC, CBD, and terpene profile information to help educate customers.
3. Integrity Over The Quick Buck
Yes, there will always be nefarious business owners in every industry. Given the great demand for “lowest possible prices” in cannabis, shady businesses will undoubtedly be looking to save a quick buck by offering lower quality or older/damaged product.
While businesses have been able to skate by this way, I don’t think it’s going to last as the cannabis legalization movement spreads across the country (and the world). Consumers will be looking to move up-market in terms of product quality and experience.
Given how cannabis was illegal for many of our lives, many smokers became accustomed to “whatever they could get,” which was often crunchy-ass brown brick weed from Mexico.
Once you gain insight into what “good” quality cannabis is like, not just to smoke but to see, touch, and smell, then well, it’s hard to ever go back to that old shwag.
As such, I foresee a standard progression of up-market purchasing habits as people move past dipping their toes into legal cannabis and begin to understand better what good weed is and what terpene expressions they prefer.
So if you think that cutting corners will get you ahead,d well, I’d respond that I’m skeptical, especially in the long run, where companies that sell bunk will not be able to compete with those who offer truly exceptional products.
4. Pay People Who Consistently Perform
As with every industry, you get what you pay for when it comes to talent and being the primary interface between your dispensary and prospective customers; these budtenders have significant responsibility. Budtenders make and/or break businesses.
Sure, you could engineer a robot to serve people pre-portioned packets of dank, but in reality, if your dispensary service is shit, 90% of people won’t care and go elsewhere because, in most big legal cities, there’s obviously a shit ton of options.
Do all budtenders crawl out of their moms fluent in terpenology? Probably not. No, becoming a master of one’s craft takes many hours of practice, which itself requires serious discipline.
Some discipline is motivated by the allure of the lifestyle of saying, “Yeah, I work at a dispensary, no big deal, chah. totally…” but for most people to log enough hours to perfect the art, they have to be really passionate.
If you don’t currently have strong budtenders or are just starting, look for genuine passion for cannabis in your applicants. Ask them what strains they’ve been smoking on. Ask them what they like and what they don’t, and why. Try to understand their palette and whether it aligns with your vision for which farms and products you intend to sell.
But understand that passion still needs to be channeled correctly for it to be a win-win for both parties. Be willing to educate and train hires on your goals, the personality/lifestyle type you’re targeting, and your 5-, 10-, and 50-year goals.
Also, be willing to compensate fairly. The cannabis industry holds the potential to be unique from other mainstream sales/service industries. Cannabis is all about thinking, loving, respecting all living things, and pondering what’s up with the universe.
As such, we shouldn’t engage in a race to the bottom in our specialties, such as fast food or Spirit Airlines. No, we should go the way of craft cocktail barkeeps (see: mixologists), sommeliers, and tobacconists. We should compensate accordingly when someone takes the time to understand and master their craft to the point where they can educate others. That is how it should be.
5. Encourage Individual Authenticity
Most local dispensaries already do this well enough, which is why local shops usually have much more substantial followings than big corporate franchises, though they can be run well, too. Still, they often lack personality to their detriment.
As mentioned above, thinking beyond the transactional nature of the business can help build a brand people talk about and return to. In essence, taking the time to infuse your shop with some personality can have a real-world, long-term positive impact on your bottom line.
One of my favorite dispensaries on the coast here in Oregon is Oregon Coast Cannabis, which not only has an excellent selection for its relatively remote location (compared to the city) but also offers a great overall experience.
The store is absolutely dripping with large, regal chunks of driftwood, which goes a long way toward making you feel it belongs there. The open, airy nature also harmonizes well with people’s mindset when hitting the beach. The service was chill and non-salesy, and they recommended a dope hiking path nearby.
Embracing the local culture, geography, and community can go a long way in creating a shopping experience that people will remember for a long time, which is the best kind of marketing you can do.
What doesn’t work well is pretending you’re too cool for school and creating a non-welcoming, cold environment. Yeah, we get it, you listen to gangster rap and a neck tattoo, and you’re real hard. Congratulations onaligning witho whatappearss to bethea majority of the population under 30.
This “I’m so hard I’m going to look miserable while working in one of the world’s raddest industries” is not the right tone. Real thugs aren’t going to Cookies retail locations to source their pounds, dawg, so you’re only really stuntin’ on tourists, office workers, and New Balance aficionados.
Let your personality shine. Don’t pretend to be something you’re not. Try to have fun. It seems like common sense when you read it, but it can easily be forgotten in the whirlwind of excitement that comes with opening and running a dispensary, or so it would seem.
6. Speak to the Enthusiasts
Is there a massive hole in the public’s understanding of cannabis due to decades of government lies and propaganda? Yes. Does that mean this bar can never be raised, and we should talk to people like they’re idiots? No.
Look, I get it; in any retail environment, you’re inevitably going to have to deal with a bunch of chads looking for “the strongest shit” for their upcoming bachelor party in which they’ll be smoking that infused blunt after a solid dozen beers and probably never touch weed again after due to the bad time they’ll inevitably have mixing herb and drunkenness.
But some customers look forward to their monthly trip to the dispensary the same way beard-totting IPA lovers look forward to seeing what new brews their local tap house has, or how my mom gets excited to see what new books the local library has.
Based on my interactions, there is an intense thirst for cannabis knowledge. For one thing, it turns out things couldn’t be more opposite from what we were conditioned to believe growing up in America.
Second, given the “cool” factor of weed, many people may hesitate to speak up and ask questions for fear of appearing ignorant.
Ask a couple of questions, such as “What are you looking for today?” and, based on the responses, assess the level of cannabis proficiency your customers have. If they are regulars, drop farm names or multiple favorite strains, and adjust your engagement to reflect some proficiency.
If your customer obviously hasn’t got a clue, don’t sigh in disdain but embrace the opportunity to educate them! The industry and, thus, the community won’t grow if it always acts like a private cool kids club. Knowledge is power, and people appreciate it when someone bestows it on them.
Personally, I think knowing about the farms that grow your product is key. Understanding the source of your craft product is of utmost importance in almost all passion niches, such as wine, coffee, whiskey, denim, and even firearms!
As with food and restaurants, people with discerning palates will naturally want to know where their product comes from and how it is made.
Growers are getting advanced AF with their techniques, which is GREAT marketing material. Deep water hydro? Living soil? Cutting-edge full-spectrum LEDs or unique terroir outdoor soil? Enchant your customer while educating them at the same time!
If you are on the supply side, consider educating the dispensaries you distribute to about your flower. Where’d you get the genetics from? What went into the decision to grow this particular strain? What was unique about the process, the plant, and the effects?
Arming dispensary staff with at least a few bullet points on your farm and your flower will help you stand out in a blurry world where budtenders often have dozens of different strains from different growers to try to memorize and recommend.
Standing out with stories and details here is a simple way to help stand out in a crowded marketplace and communicate what makes your bud special.
7. Think “Green” In Everything You Do
Yes, thinking about weed all the time is excellent. But we need to think bigger. Weed is a plant. Plants require a healthy, functioning earth.
Hence, we should all reduce single-use plastic as much as possible, promote recycling, and feature reusable options like Re:Stash jars that, hey, you can also print your brand on, and then they double as portable advertisements!
The amount of plastic waste and, thus, litter that the legal cannabis industry generates is downright repulsive and shameful. Yes, some of the blame can be followed back directly to politicians who treat cannabis like radioactive isotopes with their packaging laws, while demonstrably equally dangerous products like, uh, alcohol, skate by with non-existent packaging restrictions.
With sufficient activism and education, we can change these trends. Still, in the meantime, we can also focus on what is within control in terms of trying to insulate Mother Earth as much as possible from being barraged with garbage to death.
If you are producing pre-rolls in-house, please consider investing in biodegradable joint tubes (Humidi, Safely Lock, Hempak) or tubes made from reclaimed ocean plastic (Sana Packaging).
Trust me when I tell you hippies and casual outdoor lovers care about these things a lot, and this movement ain’t slowing down anytime soon, so you can either get on the train and strengthen your brand now, or you can be left behind with all.
8. If You Don’t Have Something Good To Say, Don’t Say anything
Do markets sometimes become flooded? Sure. Is the correct way to combat that by bad-mouthing and leaving fake negative reviews of your competitors? No. Does it happen? Yeah, a lot.
Having spent over a decade in SEO, I’ve learned a thing or two about the depths and complexities of modern spam, particularly as it pertains to online reviews. As such, I’ve become adept at spotting clear manipulators.
You usually see this kind of thing going on in more densely populated city areas, especially within walking distance of tourist areas. When you’re from out of town, reviews, such as those on Google Maps, for example, it can sometimes be that you’re the only source of intel, and the dispensaries know that.
As such, people go online or hire an “online reputation management” firm to help them “boost” their reviews while “deboosting” their competitors. This results in businesses with many 1-star and many 5-star reviews, a telltale, unnatural dichotomy in reviewer sentiment.
So please, don’t participate in mud races to the bottom. They don’t last long-term and don’t reflect well on the industry.
Let’s at least try to treat each other as we’d like to be treated. The good old-fashioned ‘golden rule,’ right?
Much like the nuclear theory of mutually assured destruction, if we start down the path of cannibalization, then everyone will lose.
9. Connect With Your Local Community
Long before legalization, cannabis was intensely community-driven, and it would be a tragedy if that were lost in the process of legalization and mass adoption.
Sure, you can sell just like any other corporate brick-and-mortar, but it’s in your brand’s long-term best interests to find ways to support and, more importantly, engage with your community.
Not only is this the right thing to do, but it also helps promote a positive image among non-smokers who may hold uninformed, neutral, or negative pre-existing biases about the industry.
If you are selling in a community that is primarily black, brown, white, or anything in between, you should also likely have some of those same colors represented among your customers and among those who shop at your store.
If you think you can disregard the community, you don’t understand cannabis culture very well. People who smoke weed are not the same as any other demographic. Fancy dispensary bud only exists today because of legitimate grassroots activism.
Actions don’t have to be massive; small steps can make significant impacts, too. For example, there’s so much single-use plastic waste that having a crew to pick it up would be a great way to build support. Communities and local governments like it; it’s a win-win-win.
^It’s also pretty fun to do ripped, FYI
10. Treat Your Product With Love and Care
Cannabis is a beautiful thing in many ways. In the olfactory sense, in a mental and emotional sense, and also in a visual way.
No, you shouldn’t judge books by their covers, but godamn, it definitely helps if they have a good one. Therefore, those nug inspectors appreciate any care your dispensary can take to preserve bud structure integrity.
Yes, we know they get jumbled up between trimming, packaging, and distribution, but once in their big dispensary containers, that should be the last of it, as much as is controllable.
Implement training that minimizes unnecessary jostling of the buds around their glass jars. This knocks off trichomes, essentially the magical glitter of your finished product and something you would do well to keep as much intact as possible.
Summary & Caveats
As you may have noticed, this list of grievances, or “rant,” if you will, is written from a consumer’s perspective. My credentials? Well, I like weed and buy most of it from the legal market, having shopped in Nevada, Washington, Colorado, and Oregon.
Am I the end-all, be-all authority on dispensary experiences? Well, no, that would be medical patients. That said, I am a marketer by trade and want to help advance the industry and drive its evolution in a way that delivers the most balanced win-win for locally owned dispensaries and their customers.
It’s worth noting that not everyone will share my points of contention, and I completely understand that. Heck, I like the hodge-podge-3-bedroom-1960’s-house-turned-bright-green dispensary on occasion. Buddy’s basement bongfests and van hot boxing are nostalgic AF.
Understandably, then, there will always remain niche markets. There will be a consumer base for dispensaries so posh that they feel like designer bag stores. There will be a base for mom-and-pop, outdoor enthusiasts, all-natural consumers, tourists, bachelorette parties, and everything in between.
All I ask is that, regardless of your brand or primary consumer category, you keep pushing yourselves to create the best possible experience. You are the face of the industry and oftentimes the very first exposure to cannabis that many people will have.
First impressions last, and if we all want to grow and thrive together, we should care about one another and take nothing for granted.
