Recreational cannabis use became legal for adult use in Nevada on New Years Day, 2017, following the passage of “Question 2” on the 2016 ballot. Since, the state’s cannabis market has developed beyond most expectations, and Las Vegas emerging as the industry’s stronghold.
According to Statista, legal cannabis sales reached nearly $700 million in 2020, the most yet, and a promising sign in the market’s push toward $1 billion in annual sales. It is a modest $50 million increase from 2019.
This increase is especially notable given the COVID pandemic’s effects on tourism and foot traffic in Nevada and especially in Las Vegas. With Las Vegas tourism slated to rebound and the continuing growth in recreational cannabis’s accessibility, Nevadan cannabis businesses have many good reasons for optimism.
Despite the success of the legal cannabis industry in Nevada, the illicit market has remained quite active. While the exact scope and effects of the illicit market is unknown, it is known to make up a significant portion of all Nevada cannabis sales. If, in the years ahead, the legal market’s growth limits the illicit market, expect legal cannabis companies and retail sales to expand.
Another promising development exists in the Nevada state legislature, where, recently, bills allowing cannabis consumption lounges, both in dispensaries and free-standing, have been approved. This presents yet another opportunity for growth.
Nevada’s cannabis market is unlike that of any other of the states that have legalized recreational consumption. With nearly half of the state’s sales centered in Las Vegas, a sophisticated marketing strategy is a necessity for any business that aspires to differentiate themselves among the density of customers in Las Vegas. Retailers must identify their target clientele and cater to them, as tourists and locals are unlikely to be persuaded with an identical approach.
Further, businesses must be cautious about complying with Nevada’s regulations. Ranging from licensing restrictions to advertising guidelines, businesses must avoid a range of infractions, including anything that may be interpreted as advertising to children.
Per Nevada Senate Bill 344, businesses are prohibited from using “packaging containing an image of a cartoon character, mascot, action figure, balloon, fruit or toy.” With such broad restrictions in place, retailers must consider other marketing tactics beyond large-scale mass advertisements.
With springbig’s marketing suite, businesses can take a holistic approach to targeting and retaining their clientele, certifiably enhancing their chances of success in a crowded market, all while avoiding the stress of compliance.
Our 360 Solutions™ platform ensures you are compliant by staying on top of all relevant regulations, even as they change, just so you do not have to. Dispensary marketing can be stressful. We take the edge off.
Considering the aforementioned spike in per-visit spending across dispensaries, there is no better time to adopt springbig’s loyalty program, which rewards your customers with a point-per-dollar rewards program. Rather than other rewards programs which reward customers on a point-per-visit “punch card” basis, the springbig loyalty program incentivizes higher-paying visits and rewards high-spending customers. With rewards racked up and easily accessible in their digital rewards wallet, customers are inclined to return to your dispensary instead of the competition – and have been proven to do so.
With springbig’s marketing suite, expect results and a proven R.O.I. to help your business thrive.
To show you just how effective text message marketing can be, we analyzed the marketing performance of Thrive, a dispensary chain in Nevada. We looked to see the increase in spend on days when text messages were sent, the ROI, and how long it took to gain ROI.
increase in spending on days when a text message campaign is sent
ROI for every dollar spent on text messages
to gain a ROI on monthly subscription