WorldExecutivesDigest | How to Choose Packaging for Your Cannabis Product: A Practical Guide | The cannabis industry has seen an explosion of growth in recent years, and it’s only going to get larger. Today, 36 of the 50 states have legalized cannabis use for recreational or medical purposes.
Set to generate $22 billion in the next four years, this young industry has cannabis-related businesses scrabbling to grab a piece of the pie. Multi-billion dollar companies have cropped up, but what makes them so successful?
In short, it’s their packaging.
The proper packaging can set your product apart from the competition by building a solid brand identity – and custom packaging is a way to do just that.
When it comes to packaging cannabis, appealing design matters – it’s what helps your customers choose to purchase your brand over another and helps you target the right audience.
Practicality in packaging also comes into play – for instance, a customer may choose your cannabis brand because you package it in custom odor free bags.
Here are the fundamentals to keep in mind when packaging your cannabis or CBD product.
The Importance of Good Packaging
Studies have shown that attractive and eye-catching packaging stimulates the part of the brain associated with impulsivity and reward responses. On the other hand, unattractive packaging results in less activity in that same part of the brain and activates areas associated with negative emotions.
When you package your cannabis or CBD product effectively, you reinforce trust in your brand, target the right audience, and reassure your customers that they are buying a high-quality product.
As with any product, you need to understand your target audience before designing your packaging. To do this, you need to think about what customer experience you’d like to promote and what problem or pain point your product is solving.
Targeting the Right Audience
Generally, there are three categories of cannabis customers – luxury CBD and cannabis consumers, ‘millennial’ CBD and cannabis consumers, and people who use cannabis and CBD products for medicinal purposes.
Medicinal Cannabis and CBD Customers
Customers who use cannabis and CBD for medicinal purposes have medical needs and are seeking relief from various ailments. Around two-thirds of medical cannabis users are seeking relief from chronic pain.
Medicinal cannabis and CBD customers will be drawn to packaging that emphasizes the product’s efficacy and therapeutic properties. This audience is looking for packaging that promises medical value, with a clear focus on pain relief in the copy. A simple, straightforward design will allow customers to quickly find the information they are looking for on the label.
Millennial Cannabis and CBD Customers
If you are targeting a youthful audience with your cannabis and CBD products, your label should focus on authenticity. Millennials tend to be wary and cynical of traditional advertising, image, and coercive marketing. Instead, focus on trendy design and unique experiences.
This audience is receptive to influencer and celebrity endorsement – as long as they feel that their values align with their own.
Because millennials are generally more environmentally-conscious, emphasize sustainability by offering recycled packaging or an alternative to plastic and choose a simple, trustworthy design.
You can also tap into millennials’ desire for something not everyone can have by utilizing ‘limited edition’ and scarcity marketing tactics.
Luxury Cannabis and CBD Customers
Luxury cannabis and CBD customers are looking for an elevated, premium experience. This audience tends to think that products that are perceived to be of higher quality than others are better.
To target the luxury market, your packaging should be all about perception. Opt for extremes – like clean, minimal design, or completely over-the-top – just make sure that every aspect of your product delivers its promised quality.
Packaging for the luxury cannabis and CBD audience should consider quality, tactile experiences, and taste. This audience expects a premium, designer product in functional packaging.
If you want to open your own head shop, consider how you can elevate the premium customer experience there too.