In the fast-growing and crowded cannabis industry, it’s never been harder to stand out. The market is flooded with brands of all sizes, each fighting to meet customer demand.
Studies show that cannabis businesses on the whole aren’t doing a good job at differentiating their branding. A 2023 report found that 30% of consumers agree that the cannabis brands don’t matter to them — they buy only based on what the products have to offer. It takes more than just great products to attract attention to your brand, let alone to convince customers they should stick around.
That’s where brand equity can come in. Brand equity refers to the value of a company’s brand, or the level of influence branding has in the minds of consumers. To make your business truly unforgettable and to stay ahead of your competitors, improving brand equity is a must.
Here are the three critical steps you can take to build brand equity in the cannabis industry.
1. Discover Your Cannabis Niche
While this may seem obvious, it’s the foundation of brand awareness and equity. To find your niche, you need to discover what makes your cannabis brand different.
Think about why you started this brand in the first place. Who are you trying to reach, and why should they choose your brand over the competition?
Everything from cannabis marketing messages to the style of packaging should speak to what sets you apart. Is it your sustainable values that draw in environmentally-conscious consumers, or do you offer an innovative in-store experience with products they can’t find anywhere else?
2. Create Bold and Memorable Branding Elements
One of the most important steps in building brand equity is strengthening your branding elements. Think about brands beyond the cannabis space that have established incredible brand equity: Apple, McDonald’s, and Nike, to name a few.
What these brands have in common is powerful and unique branding elements. For example, Nike’s well-known “Just Do It” tagline or the infamous golden McDonald’s arches.
As a cannabis brand, you don’t need to create this kind of widespread familiarity. But you should try to create branding elements with this in mind — crafting custom-branded products that stick in the minds of your customers. That means a distinct logo, unique packaging style, and even developing your own line of merchandise.
3. Focus on Increasing Customer Loyalty
When it’s done right, brand equity can lead to a loyal base of customers that keep coming back, again and again. Think about how you can make your customers feel particularly valued and influenced.
A loyalty program with rewards points and personalized offers is a great way to enhance the customer experience and encourage loyalty. Don’t be afraid to think outside the box and go the extra mile to show investment in your customers.
Working With a Branding Agency for Cannabis Brand Equity
Creating brand equity in the cannabis industry is an ongoing process. It takes work and research upfront to understand how to even start building equity, but once established, cannabis businesses must continue spreading awareness and fostering loyalty among existing customers.
At HIGHOPES, we understand just how important your brand identity is to the success of your cannabis business. From custom packaging to website design, we specialize in helping cannabis brands go beyond promoting just products. Learn more about how our top branding agency can help you build a powerful brand, or contact us to see the results for yourself.
