Cannabis Beverage Marketing

One of the fastest-growing categories in the cannabis industry, THC beverages are having a moment.

And it's not hard to see why. From Baby Boomers to Gen Zs, soccer moms to college athletes, consumers are increasingly seeking alternatives for relaxation and social consumption without the health impacts of alcohol, and a growing number of them are exploring cannabis.

This continuing trend and data emphasizing strong customer loyalty for first-to-market THC beverage brands reinforce the opportunity. That said, even in states with established medical and adult-use markets, cannabis beverages remain a niche product with relatively low consumer awareness or adoption and limited case studies for marketers. 

THC Beverages: A Complex and Compounding Market

While there is much to learn from the first-to-market infused beverage brands that continue to capture uncommon consumer loyalty and shelf share, even the pros are still learning and experimenting with how and where to pull the levers for meaningful bottom-line impact with clear ROI.

Like most emerging markets, new cannabis product groups require strategies beyond catchy slogans and compelling design. More complex than reaching the right audience with the most resonant message, the biggest challenge for THC beverage brands today is breaking down nuanced and entrenched stigmas and habits before breaking through with any individual product.

Fully leveraging this opportunity for growth among new and existing consumers (and capturing market share before declassification invites CPG giants to the industry) will require cannabis marketers to curate experiences capable of fundamental education and engagement before their creative campaigns and go-to-market strategies have the chance at impacting purchasing decisions among vast and tremendously diverse audiences.

Bridging the Gap Between Curiosity and Confidence

Cannabis beverages aren't intuitive for most people, in particular for those coveted first-time consumers who aren't just considering whether or not to try a product. They're deciding if they can trust it. While trends among THC enthusiasts show movement away from exclusively smoking cannabis towards the integration of non-smoked products, they, too, aren't yet sure if beverages are up to puff, so to speak.

Data on the value of THC beverage awareness and education reinforces that consumers unfamiliar with THC beverages need robust education and in-store experiences to feel confident in their purchases. From concerns about the stigma of cannabis consumption or the predictability of effects in social settings to a general lack of familiarity with cannabis products or how THC will impact long-term health, the barriers that contribute to uncertainty and hesitation in beverage adoption are significant.

Addressing these barriers with targeted education across channels and from known validators should remain a primary strategy for beverage brands. This includes equipping dispensaries and budtenders with the samples, training and tools to anticipate questions and provide the kind of expertise that builds trust, amplifying loyalty and retention for both brands and dispensaries.

Social Proof: Building Trust, One Sip at a Time

Now more than ever, building trust among audiences unfamiliar with your brand can be an arduous task. As the algorithms and intentions of our online interactions increasingly inform perceptions and emotions, so too have our virtual networks continued to narrow and splinter. As a result, only the most established people or brands can accomplish meaningful public education without reliable, personal validation - no matter the spend or the message.

People need to see products in action. They are inspired by and aspire to experience the things that they see making their friends, co-workers, personal trainers and dog walkers happy. For a behavior change as significant as replacing alcohol with THC or trying THC confidently in a social setting, for example, only this kind of social proof can create the sense of safety required to step outside the comfort zone. If we agree on this premise, the ongoing identification and cultivation of ambassadors feels more than necessary and will be critical to grow awareness and adoption of THC beverages.

There are several strategies - some still on shaky ground depending on the state in which you operate and others that remain untested in the industry - to build community and amplify connection with your THC beverage brand. Partnering with local ambassadors - real people with real connections in their communities - can help to normalize THC beverages in everyday life. Formalized campaigns encouraging customers to share photos on social networks that convey the product in various real-world scenarios can support familiarity and curiosity with your brand. Community events and tastings, particularly among non-traditional audiences, can multiply the impact of paid brand awareness initiatives.

The Path Forward

THC beverages may be an emerging category, but its potential is undeniable. As cannabis markets mature and grow, visually compelling design and tailored messaging will be increasingly critical for market differentiation. In the meantime, while consumer awareness remains relatively limited and state regulations disparate, the brands that prioritize connection over performance, leverage community-building to legitimize paid campaigns and create authentic opportunities for people to see and experience cannabis differently will have an undeniable edge in the future.