EXCLUSIVE: Budtenders, Loyalty, Reviews — Experts Reveal What Really Drives Cannabis Sales

Zinger Key Points
  • Cannabis experts say budtender engagement and loyalty programs are essential to building brand loyalty in a crowded market.
  • They also recommend using data and reviews to re-engage customers and drive repeat business.

Cannabis brands looking to stand out in a competitive market need to focus on customer engagement, loyalty, and budtender partnerships, according to experts at the recent Benzinga Cannabis Capital Conference.

Moderated by Laurie Parfitt, founder of LKP Impact Consulting, the panel "Good Reviews are the Best Marketing Strategy: Cultivating Loyalty in Cannabis Retail" shared insights into how brands can effectively connect with both customers and retail partners to drive lasting loyalty.

Budtenders As Brand Evangelists

Kristi Palmer, co-founder and president of Kiva Confections, opened by addressing the crucial role of budtenders, who she calls "the gatekeepers."

See Also: THC Potency Isn’t Everything: Here Are Some Strategies To Deal With Industry Challenges

Palmer explained that because budtenders make pivotal recommendations, Kiva invests heavily in educating and engaging them.

By hosting "marketing blitzes" where they distribute samples and branded items to budtenders, Kiva makes sure its brand is front and center when customers seek product advice. "You absolutely have to work with [budtenders]," she said. "Certainly can't ignore them, because they make those very pivotal decisions right there at the counter."

Christine Apple, CEO of Grön, shared a similar approach but incorporates digital tools for budtender education. Grön uses Seed Talent, a platform that allows budtenders to complete training and earn rewards.

"It's impossible to go touch thousands of stores across the country at once," Apple said. "But with this, we're able to push a text to their phone that can tell them, ‘Hey, go check this out. You can learn about this new product that we just released.'"

Apple explained that digital training has been effective, particularly when paired with incentive-based programs on platforms like Sparkplug, which pays budtenders a set amount per sale on targeted products.

Reaching Budtenders With Exclusive Events

Tiffany Chin, head of cannabis and hemp at Death Row Records Cannabis, described a unique approach that taps into Death Row's celebrity connections.

Chin recounted how they've hosted exclusive events where top-performing budtenders can meet and even smoke with Snoop Dogg.

"Sales went up, I would say, like 188%," she noted of a recent event, though she acknowledged that not every brand can replicate such experiences. For Death Row, these budtender events create strong, memorable connections to the brand.

Meanwhile, Parfitt noted that trade marketing like this—focused on budtenders rather than consumers directly—can have a bigger impact in the cannabis sector, given the limits on in-store product displays.

Leveraging Customer Reviews To Build Loyalty

Customer feedback was another key topic. Chin discussed the importance of directly responding to online reviews to address misunderstandings, especially regarding pricing.

With the opening of Death Row's new dispensary SWEED near LAX, Chin has been engaging with reviews on social media to keep information clear and build goodwill.

Steve Riparip, CEO of TACT Firm LLC, added that negative reviews can offer valuable insights into the customer journey. For instance, complaints about long wait times could be addressed by creating a more engaging waiting area or offering educational materials, rather than solely focusing on adding registers.

Loyalty Programs For Retention

With cannabis brands facing intense competition, loyalty programs can be essential to customer retention. Riparip shared data from TAC Firm, showing that around 50% of new customers don't return for a second purchase.

"The stores we work with aren't struggling to get customers in," he explained. "They're just not coming back." TAC Firm uses data to develop tailored loyalty programs that re-engage these customers, including automated messages to encourage repeat visits. In one Michigan dispensary, targeting "lost customers" who hadn't visited in 60 days generated $96,000 in revenue over just two months.

On the brand side, Apple described how Grön combines education through a platform called Seed Talent with sales-based incentives through Sparkplug. This dual approach keeps budtenders engaged and informed about Grön products, leading to more enthusiastic recommendations to customers. "We call them our brand evangelists," she added.

Data-Driven Strategies For Post-Purchase Engagement

Riparip stressed the need for data in shaping after-sale engagement. TAC Firm's approach starts with analyzing Point Of Sale (POS) data and loyalty metrics to see what draws customers back—or drives them away.

Dispensaries with robust customer journeys in place ensure customers receive timely, relevant offers after each visit, which builds loyalty over time. "If you're not capturing their phone numbers and emails, you have no way to bring them back in," he explained.

Apple noted that brands like Grön can also leverage tools such as I Heart Jane, which lets customers pre-order products for pickup. This platform allows Grön to see valuable purchase data and track consumer preferences, even though brands typically don't have access to the same level of customer data as retailers.

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Photo by Wendy Davis

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Posted In: CannabisEventsMarketsBenzinga's Cannabis Capital ConferenceBudTendercannabis industryCannabis Marketingcannabis salesCCCChristine Applecustomer engagementDeath Row RecordsExpert IdeasGrönKiva ConfectionsKristi PalmerLaurie ParfittLKP Impact ConsultingSteve RiparipTACT FirmTiffany Chin
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