Major cannabis holidays are coming up quickly, and there's one thing to have in check before the dates: your customer relationships — and the tools to support them.
Targeting campaigns, ensuring customers know and take up planned promotions. These are what a great dispensary CRM should help you do.
So if you're planning to invest, or make a change, check out our guide below to learn what you should consider beforehand.
Marketing Channels: How Many Does Your CRM Need?
Most dispensary CRM's you'll find on the market allow you to send messages from multiple channels. CRM Platforms let you send text messages, email marketing campaigns, and maybe native app promotions.
Sure, the clear appeal is deliverability, especially in the cannabis industry.
Why wouldn't you want to have as many channels as possible at your disposal? Well, reach and consumer engagement across every channel varies significantly. Let's compare data on SMS, email, and native apps as an example.
SMS & Text Message:
- 90% of SMS messages are opened
- 19% of links are clicked
- 45% of users respond to texts
- 70% of customers say SMS grabs their attention
- 50% of emails marked as SPAM
- 20% of emails are opened
- 2% of emails are clicked
- 45% prefer fewer apps on their phone
- 90% of apps are used once then deleted
- Around 11% of Android & iOS users install apps from promotions
- 9% of app notifications are opened
Why Do These Numbers Matter?
As you can see, customers engage quite differently across all channels.
Just because a CRM features multiple channels does not mean: a) they service these channels equally and b) your cannabis customers will respond to messages the same across each platform.
Although SMS text messaging appears the most impactful channel to engage with customers, it's also important to test which media channels your customers prefer the most.
You might find out, through analyzing engagement and revenue data, that your customers prefer SMS or another set of channels altogether.
Back to Dispensary CRMs — What's The Takeaway?
Foremost, identify channels your customers like. This might be email messages, SMS, or mobile apps. It depends on the data and revenue you can attribute to each channel.
Start simple if you don't have those numbers on-hand and are in the market for a new dispensary CRM. Find a CRM or an alternative platform specializing in one or two channels.
Evaluate CRM providers based on how they service marketing channels, not just whether they provide them.
For example, suppose you're interested in focusing on SMS. In that case, you'd probably find value in Polaris' machine-learning-powered campaigns, which automatically segment your prospective customers into audiences that you can then reach out to via text.
Sales Reporting & CRM Insights: What Should Your Business Know?
We know dispensary CRMs have analytics on marketing campaign performance and customer engagement. But there's another report that's important: revenue.
After all, you're in this to better manage customer relationships. Doesn't that mean you should know as much as you can about them and be able to attribute results to growth?
Absolutely. It's essential to call out here that there are solutions with sales attribution from campaigns. The next question to ask is how they do it.
Most cannabis customer relationship management platforms use a first-touch model based on who converts from scheduled campaigns. However, seldom use an attribution window, which essentially only counts conversions towards sales if they happen during a specific time.
This is more accurate in how much revenue campaigns generate, rather than counting all customers who received a message or opened a campaign much later.
CRM & Loyalty: What Features Matter to Cannabis Customers?
Is a loyalty program critical to your dispensary? Your cannabis CRM software should probably have one. However, a basic system isn't enough. Automated loyalty points and cash-back deals alone won't create more engaged customers.
Your CRM's loyalty program should also include features that help you analyze customer data and target members effectively.
One example is Polaris' loyalty points targeting feature, which allows cannabis retailers to segment users based on acquired loyalty points and send texts afterward.
Targeting options within your loyalty program allow you to leverage existing discount features more effectively. In turn, this helps you bring loyal members back to your instead of having them drop off after acquiring their first-time sign-up offer.
Do I Need to Change Cannabis CRMs?
If you're considering a new CRM for your cannabis business, think about what we mentioned above and start fielding offers from different providers in the industry.
You might find that most do the same thing: provide an omnichannel marketing technology that is trackable at the campaign level. That's pretty standard today.
If you're looking to launch a channel your CRM doesn't have, but you know your customers want, switching to one that does host or specializes in it might be your best option.
Chances are, though, that you might not currently generate enough customer loyalty and retention from marketing. In that case, a CRM won't do the job alone. It's purpose is to help manage customer relationships, not scale marketing.
Therefore, you might not need a switch and instead should focus on finding an auxiliary tool to enhance targeted outreach.
If you currently use SMS as a marketing channel, take a look at Polaris and schedule a demo. Our machine-learning-powered system automatically suggests campaigns for niche customer audiences that you can send to increase customer retention.