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Herb Plus | 03.19.2023

The Challenges Of Cannabis Marketing

The importance of understanding the challenges and opportunities of cannabis marketing.

Cannabis is no longer just a taboo subject. It is a booming industry. But despite the growing acceptance of cannabis and hemp-based products, cannabis companies continue to face significant challenges.

In fact, the challenges for cannabis companies are many and on many fronts, including regulation, banking, legalization, inflation, sourcing raw materials, and more.

Here we will exclusively explore the cannabis industry’s marketing challenges, which represent an adventure for all companies that want to promote their brands in the industry.

What Are The Challenges?

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The challenges facing any cannabis-focused marketing campaign can be very diverse, depending on the campaign, the target audience, and even the location where the campaign will be launched.

But certain challenges are cross-cutting to almost all cannabis marketing, and these include the following:

Legal Restrictions: Cannabis is a highly regulated substance throughout the world, with different regulations depending on the location. Even in the United States, legislation changes at the federal, state, and local levels.

This high regulation and diversity of rules makes it very complicated for cannabis brands to keep up with the regulations they must comply with in their marketing campaigns, especially when they are at the level of several states or localities and their laws differ from each other.

Regulatory Changes: Cannabis regulation is constantly changing and evolving, which can be challenging for businesses looking to keep up with the latest regulations and guidelines.

Companies must be prepared to react to changes in regulation in advance and adjust their marketing strategies accordingly. This involves in-depth regulatory knowledge and constant monitoring of legal changes in each state, country, locality, and territory.

Social Media Restrictions: Another challenge that can be related to restrictions are the regulations of the different social media platforms, for example, Google, Instagram, and Facebook have internal policies as to what is allowed to advertise about cannabis and what is prohibited, and they are very rigorous about it.

Spoiler alert: Almost everything is banned. That’s why it’s so complicated for cannabis companies to run paid advertising campaigns across these platforms, which is why they must focus their efforts on organic growth and SEO optimization.

In addition, alternative marketing strategies may be required, such as live events, influencer marketing, content marketing, backlinks, email marketing, and more.

Stigma: Unfortunately, cannabis still has a negative stigma, despite its increasing legalization.

That’s why cannabis companies should focus part of their marketing on educating about cannabis and its benefits. Another spoiler: this also helps organic growth.

Competition: The cannabis industry has seen exponential growth in the last few years and is expected to grow even more, which presents a challenge for cannabis marketing brands looking to stand out from the crowd of competitors.

Differentiation is everything here, if you can stand out from the crowd – for the right reasons – you will be assured a place in the success of the cannabis industry.

Reaching Your Target Audience: The target audience for a particular cannabis brand can be very diverse, so reaching them with effective marketing campaigns can be a challenge for any cannabis company.

Companies must be able to reach this diverse audience and create relevant messages that connect with them.

Changes In Technology: Technology is changing rapidly, and cannabis companies must stay on top of the latest trends and tools to stay relevant and connected with their audiences.

Incorporating technologies such as artificial intelligence and data analytics should be an integral part of your marketing strategies.

How To Overcome Them

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Challenges should not be seen as limiting, but rather as drivers of improved cannabis marketing strategies that will allow companies in the sector to grow and strengthen.

Some of the ways to overcome the challenges mentioned above include the following:

Knowledge: When it comes to legal and platform restrictions, there is nothing like being one step ahead in knowledge.

If you know what you are facing beforehand, it is easier to plan your marketing strategy taking into account the limitations that the law or social networks may impose, and thus structure more effective marketing campaigns that do not have to be redesigned because the regulations were not considered.

Working with subject matter experts, such as legal and cannabis marketing advisors, can be of great help in overcoming these specific challenges.

Education: One way to circumvent regulations on digital platforms while removing the stigma around cannabis is to educate.

It may sound simple, but creating quality content with educational information is one of the best ways to grow organically and educate at the same time.

Differentiation: To stand out among the thousands of similar brands, you have to differentiate yourself. Look for what makes your cannabis brand unique and bring it to light, make it the flagship of your brand so that the public feels connected to your cannabis brand.

To differentiate is to stand out, and that will help a cannabis brand to be known in a highly saturated market.

Thoughtful Marketing: Marketing strategies should be more than just that, they should be a way to connect with users and generate bonds that last, in a genuine way.

This will help you gain consumer loyalty and stand out in the cannabis industry while reaching your target audience smoothly and effectively.

Keeping Up To Date: The world and technology are constantly moving, and you need to keep up with them. Staying current on the different technological updates and tools that can be transferred to your cannabis business is one of the best ways to stay relevant in an industry that is growing by leaps and bounds.

What Does A Good Cannabis Marketing Strategy Look Like?

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To have a good integrated marketing strategy you must take into account strategies to overcome the different challenges of cannabis marketing. This includes having well-thought-out campaigns, taking into account rules and regulations, focusing on the target audience, being educational, and using technology to your advantage.

In addition, a good marketing strategy should be data-driven, leveraging analytics to understand consumer behavior and target the right audience with the right message.

It is also important for each cannabis company to identify its own individual cannabis marketing challenges so that it can determine in advance how to address those challenges and plan its cannabis marketing strategy with them in mind.

It is clear that the cannabis industry presents unique challenges for marketing, but these challenges can be overcome with careful planning and a well-designed marketing strategy, taking into account your particular challenges and ways to overcome them.

By focusing on authenticity, education, and differentiation, brands can target their marketing campaigns to be more effective and efficient.

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