Between oversupply, maxed out-efficiencies and illegal markets, many cannabis retailers are trapped in a race to the bottom, losing money to compete for customer share. One of the best ways for these businesses to escape this destructive cycle is by adopting customer relationship management (CRM).
The same customer using Netflix, Spotify, Instagram and Amazon daily is also browsing your dispensary website—but the journey of these purchases couldn’t be more different. Data shows the vast majority of consumers are more likely to frequent businesses that personalize their experience—yet too often, there is zero custom post-sale outreach in cannabis.
CRMs allow you to deliver customized experiences, which retain customers—and retention, not acquisition, is key to growth. Repeat and retained customers spend more and will refer you to their friends and family. They’re an asset that rarely gets sufficient investment or outreach in the cannabis space.
All small businesses should be leveraging CRMs, including cannabis small businesses. It doesn’t require inventing a new methodology or learning fancy new tricks—we simply need to tap into what we already know from brands that are slaying the CRM game.
You can’t package or test or deliver five times better than the competition. You can’t cut costs or raise prices, and you can’t undercut illegal operators—but you can give your customers an experience that’s 100 times better. Relationship building is where you can actually compete and win.
CRM allows brands to earn devoted followings, and it’s time for cannabis businesses to get in the ring.