SoapBoxSample’s Cannabis Research Featured in MG Magazine

The August 2020 issue of mg magazine features an article co-authored by Adriana Hemans, Director of Demand and Special Projects for SoapBoxSample. In the spring of 2020, two consumer insights companies, SoapBoxSample and KNow Research, joined forces to explore consumer behaviors, needs, and preferences around the gifting and sharing of cannabis products for special occasions, including holidays. They gained rich insights into the category—ones that can provide gifting options at a wide array of holidays and for a variety of recipients. Here they share what they learned about what brands and retailers can do to make their products relevant, appealing, gift-able, and share-able.

Defining A Gift

Throughout the course of the study, we heard many definitions of “gifting” and what constitutes a “gift.” We came across three main cannabis gifting attitudes:

  1. Traditional Gifter: Some define a gift as something presented, typically in a package with a bow. “I got some chocolate-covered cannabis strawberries for Valentine’s Day from my husband,” one participant said. “There weren’t many. I kind of wanted to save them for myself, so he didn’t get any.”
  2. Shared-experience Gifter: Purchasing something to enjoy together was not necessarily a gift, even if the item was purchased with the holiday in mind. Rather, cannabis often can be a component of a shared experience that makes the holiday special. When asked why they wouldn’t consider cannabis a Valentine’s “gift,” one of these gifters clarified: “It’s more routine than a gift, because my husband and I smoke on a regular basis.” For these gifters, experiencing the cannabis gift together is part of the giftgiving experience.
  3. Altruistic Gifter: Some give without an expectation of sharing. Some used cannabis as a “hostess gift,” so the host or hostess could decide whether he or she wanted to share with guests or save the gift for later. Other altruistic gifters gifted with only the recipient’s pleasure in mind. “My friends and I took a road trip and the driver brought some candies for everyone to have, so she kind of gifted us a little bag of hard candies for each of us, for fun,” one participant revealed.

To gain more cannabis gifting insights, download the full issue of mg Magazine.

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The Cannabis Conundrum Continues

By Dan Parcon, VP of Operations, SoapBoxSample

With the US cannabis industry expected to reach $13.6 billion in sales in 2019 and a whopping $66.3 billion by the end of 2025 (Forrester Research, 2019), the growth and adoption of cannabis is laden with challenges at every point in the seed to sale ecosystem. It’s fair to say at this point, the surface has only been scratched.

The rapid growth of the cannabis industry is evidenced by the number of cannabis business events that take place every year across the United States. In maturing markets, gatherings like these are crucial to the evolution of the marketplace. By learning from each other, cannabis business leaders can then draw upon the shared experiences of the community to help them navigate the new era of cannabis. Last month, cannabis thought leaders, business owners, investors, and experts gathered at the National Cannabis Industry Association event in Long Beach, CA. The chatter ranged from legislation to supply-and-demand to branding.

Brands and Dispensaries Face Big Hurdles in Earning Consumer Trust

As expected, there was endless conversation around the vaping controversy. A mishap in an emerging market like cannabis can have immediate and direct implications, and the industry may remain on high alert for the long term. With the real-time and rapid spread of news, and having little control over the narrative, those in the industry have a delicate balancing act to maintain.

“Our research has shown time and again that while consumers are insatiably curious about cannabis products, brands still have a lot of work to do in gaining consumer trust. The current vape crisis is a major setback for the industry, that is likely to impact consumers’ attitudes and behaviors for years to come,” said Jacqueline Rosales, COO of SoapBoxSample.

The idea that bootleg or “backyard” vapes are making their way to consumers, tainting things for those who do things right, puts stakeholders at risk. Lindsay Robinson Executive Director, California Cannabis Industry Association, stated “Counterfeit cartridges with very prominent names are being sold in illicit stores, often times people have a very hard time figuring out what is real and what isn’t real.”

The problem of consumers being distrustful of cannabis products extends beyond vapes and vape cartridges. Cannabis consumers are also wary of accurate labeling of other products, including the flower itself. Recent finding from SoapBoxSample’s CANNApinion poll, a bi-monthly survey of 1,000 US cannabis consumers, revealed that 28% of cannabis consumers say they are not very or not at all confident that the strains they purchase in dispensaries are accurately labeled. Dispensaries and brands face a big challenge in gaining the public’s trust. To move forward as an industry, companies need to assure their customers that their products are safe, legitimate, and accurately labeled.

Dispensaries Should Focus on the Shopping Experience to Build Loyalty

Experience plays a big role in the success of a dispensary. Jennifer Whetzel, Founder of Ladyjane Branding, said, “I’ve talked to a number of people who turned away from going to dispensaries due to their shopping experience.”

In more mature markets, the consumer has choices and can go elsewhere or leverage a delivery from their home. The great number of cannabis considerers account for much of the expected growth in the market. While they seek info online, they also rely on the expertise of those in the dispensary. A negative experience may not just lead the customer away from the specific dispensary, but away from even considering cannabis – whether it be for medical or recreational use. Perhaps of even more concern is budtenders and dispensary workers making uninformed recommendations resulting in negative experiences for the users.

SoapBoxSample’s recent CANNApinion Poll revealed that 57% of cannabis consumers say a consistent budtender is extremely or very important while only 30 % say they trust the advice of a budtender when researching products.

Brands and dispensaries must understand the products being sold, what products are trending, and more importantly, what their target audience is searching for. Many times consumers are looking for education and information, and most (66%) feel that they don’t have enough information to make an informed decision (CANNApinion Poll, August, 2019).

Marketing Messages Must Match the Consumer Wants and Needs

“Sometimes our message (of fun) gets a little lost, as being advocates we like to talk about core benefits. Sometimes these products are better for a fun and recreational use and there is no reason to shy away from that as long as we are targeting responsibly.” – Taylor West, Partner Heart and Mind Media.

There are some brands and markets solely focused on the medicinal benefits. Others market to recreational users. In some marketing, there is no delineation. With many scurrying to be first or at least quick to market, it seems traditional business practices around marketing, branding and adverting are being lost.

While there is acknowledgement within the industry about the need to adopt more sophisticated business practices, change is slow. One year ago (October 2018), at the USCC (US Cannabis Conference) in Phoenix, AZ, thought leaders discussed the role consumer research can play in the development of new cannabis products. Kaila Strong, Director of Marketing at Jupiter Research, had this advice for cannabis marketers — “When we’re dealing with wholesalers all the time I think we lose that connection with the consumer. You probably consume, but you shouldn’t assume that you are your consumer.”

The business challenges being discussed at NCIA all boiled down to one constituent – the consumer. There is no “one” cannabis consumer and therefore there is no “one” marketing strategy. Brands must have clarity on why they exist and who they want to sell to – and then hone in on the why to buy. Without direct feedback and insight in the whats and whys cannabis businesses are playing a dangerous game of guts and guesses. While cannabis companies are focused on staying afloat through the current political and regulatory climate, customer experience and consumer trust is everyone’s responsibility across the full ecosystem – from seed-to-sale.

As a consumer insights company committed to helping cannabis brands grow, we’re proud to be a sponsoring member of the NCIA. Our goal is to keep the cannabis industry moving forward through data and insights. To learn more, please visit https://www.soapboxsample.com/cannabis/.

From Sustainability to CBD – The Shopper Shift

By Jacqueline Rosales, COO, SoapBoxSample and icanmakeitbetter

With the global online grocery market predicted to reach $334 billion by 2022 (Forrester Research, 2019), the transformation of legacy grocery and retail practices, products and mindset is shifting rapidly. The industry is seeing new players enter, and take ownership of a full category, or create a whole new product category in a very short time. The threats are coming from all directions, and retail and grocery brands must not lose focus of the consumer drivers.

Sustainable Products are Now Mainstream

“It takes years to transform an industry that has relied on plastic. Grove Collaborative consumer products will be positive for human and environmental health. Grove consumers are all about celebrating the amazing choice people make across the country.”

– Stu Landesberg, Co-Founder & CEO of Grove Collaborative

Consumers are demanding sustainability — and brands are taking notice. Shoppers are more knowledgeable than ever about the environmental impact of the products that they choose and they are concerned about wasteful packaging. For example, an estimated 5 billion cleaning bottles will be thrown away this year alone. Brands who can address these concerns will have a strategic advantage over those who disregard environmental issues.

Grove Collaborative has embodied sustainability in the products they offer and have recently earned a $1 billion dollar valuation, earning the coveted Unicorn Status. The success of brands like Grove Collective, who make sustainability the cornerstone of their branding, proves that sustainability is becoming the new norm.

Brands Should Heed the E-Commerce Model, Even Offline

 “Stores need to replicate the e-commerce model with the right info at the right time… Customer journeys are like spaghetti – starting at one channel and stringing to the end seamlessly.”

– Doug Stratton, Chief Digital Commerce Officer of The Hershey Company

Brands must eliminate friction at every stage of the consumer journey. Consumers want to be able to go to a company website, order a product and choose to pick-it up in-store or have it delivered. During the process they want everything to work seamlessly. If they have a question, they want to be able to call the store, talk to a store clerk about their order, and have them help with the order without any hiccups.

The consumer experience might be the most important factor for building a successful brand. Companies across the grocery and CPG ecosystem need access to reliable customer feedback to gauge the success of their channels. What your consumers like and dislike should be measured and implemented into new products and marketing strategy. Warning, here comes a shameless plug. Partnering with a research firm who understands the grocery and CPG space is a great way to understand every nuance of your customers’ experiences.

CBD has a Bright Future

“Be prepared to win, get steamrolled, or become an acquisition target.”­

– Bethany Gomez, Managing Director, Brightfield Group

In the CPG industry, cannabidiol (CBD) has been hyped as the next multi-billion-dollar ingredient. The inclusion of CBD in everyday products has exploded, along with consumer interest. New product development, driven by perceived health benefits, presents massive growth opportunities for CPG brands. Some of the biggest opportunities for CBD infusion are in beauty, beverage and pet products. To be successful in these markets, brands should be willing to experiment, take risks, and invest in research to understand the modern cannabis consumer. Relying on guts and guesses will not work.

“Consumers are intrigued by the availability of new cannabis products. For people who are nervous about the psychoactive effects, CBD-only or CBD-dominant products are a great entry into this category. Meanwhile, companies are approaching the marketplace with CBD products first, because they’re not sure if a product that gets people high is right for their brand. Many companies are still in a test and learn phase,” said Adriana Hemans, Director of Marketing, SoapBoxSample.

Recent findings from SoapBoxSample’s CANNApinion poll show that 10% of U.S. grocery shoppers have consumed food or beverages containing hemp in the past month — and that number is likely to grow rapidly with increasing state legalization. Knowing this, big brands are taking a hard look at how they can capitalize on emerging trends in cannabis. “Larger companies have more to lose, so getting on shelves is easier to do for smaller companies while they wait for the FDA to approve CBD as an additive. The big guys are coming in 18 months when the FDA provides more guidance,” stated Bethany Gomez, Managing Director, Brightfield Group.

Now is an exciting time for the grocery and CPG industry. Sustainability concerns, the growth of the cannabis market, and the need to streamline the consumer journey will transform businesses over the coming years. Brands can gain a competitive advantage by working with a research company that provides thought partnership and consultative approaches. This means going beyond measuring trends, to understand the underlying cultural shifts that drive consumer behavior.

Get in touch to learn more – info@soapboxsample.com.

SoapBoxSample Announces Exciting Partnership with WeedWeek

Industry leaders collaborate to provide research and insights in the cannabis space

WeedWeek, the go-to media company for diverse cannabis news, announced a collaborative partnership with market research firm, SoapBoxSample, creating a council consisting of thought leaders and influencers in the cannabis space. The council will provide insight into the fast-evolving landscape allowing followers to keep their fingers on the pulse of the industry.

SoapBoxSample continues to expand its leadership and position within the cannabis space not only as a research provider, but as a collaborative influencer for brands, ancillary businesses and anyone looking to grow and build a cannabis business or brand.

“It’s so exciting working in a space driven by belief and passion. The opportunity to help businesses survive and thrive in such an explosive industry is not only fulfilling, but exhilarating.” said SoapBoxSample COO,  Jacqueline Rosales. “Every day is something new – a new challenge and a new opportunity. It’s exciting to see the immediate impact of our work helping clients.”

WeedWeek and SoapBoxSample came together on the heels of NECANN, the largest Cannabis Convention on the East Coast with more than 100 speakers, 300 exhibitors and approximately 10,000 attendees. Jacqueline Rosales’ session entitled, “When Patients Become Customers: How Understanding Consumer Types Can Help Your Cannabis Business Survive the Green Rush”, explained how business owners and decision makers can better understand consumer needs and wants through the use of research.

The WeedWeek Council’s responses and ideas will appear in a dedicated section of the WeedWeek newsletter. The council will be comprised of 25-30 people from various backgrounds and expertise in the green space and members are selected based on a competitive application process.

WeedWeek was founded in 2015 by Alex Halperin when he saw a need for a media company covering the many facets of the cannabis industry. Helperin, a successful journalist who has written for Washington Post, LA Times, Huff Post, Hightimes and Business Insider also runs ReCharge Events as well as a podcast. WeedWeek covers politics, law, culture, health and business as they relate to cannabis.

“WeedWeek Council is an exciting new way WeedWeek will share exclusive insights on the green rush with our thousands of readers,” said Alex Halperin.

SoapBoxSample has been actively conducting cannabis research since 2016 and continues to expand its offerings. Most recently, SoapBoxSample launched the CANNApinon poll, a national bi-weekly survey of cannabis consumers whose insights enable industry-specific details on consumer needs and wants for dispensaries, growers, media companies, food and beverage producers, distributors, and the cannabis beauty industry.

WeedWeek and SoapBoxSample are now accepting applications for membership to the WeekWeed Council. For information on how to join, click here.

To learn more about SoapBoxSample’s cannabis offering, visit SoapBoxSample.com/cannabis

About WeedWeek: Founded by award winning journalist Alex Halperin, WeedWeek’s free newsletters aggregate the latest developments in cannabis politics, business, health and science, law and culture. And the podcast features interviews with the most interesting voices in the space. Smart, credible and free, WeedWeek is the best way to keep up with the green rush. Subscribe at WeedWeek.net.[/vc_column_text][/vc_column][/vc_row]

SoapBoxSample Launches the CANNApinion Poll — A Cannabis Consumer Feedback Offering

To meet the growing needs of cannabis businesses, SoapBoxSample launches bi-monthly poll of cannabis consumers

SoapBoxSample announces its newest research solution for cannabis businesses, the CANNApinion Poll. With the rapid growth of the cannabis marketplace nationwide, brands need reliable consumer feedback to thrive in a crowded market. The CANNApinion Poll meets this need by providing a platform for the cannabis industry to ask their target audience relevant questions, allowing them to discover emerging  trends and areas of growth opportunity.

“As we’ve seen with other emerging industries, the brands who understand consumer segments and how to market to them are the ones who will become legacy brands. The CANNApinion Poll is a way for brands to gain direct access to their target market, and understand the why behind consumer purchasing habits,” said Jacqueline Rosales, SoapBoxSample COO.

Market experts predict that cannabis brands will soon compete for finite retail space in prime locations. Dispensaries and delivery services will be forced to make choices about their inventory. The CANNApinion Poll will help brands respond quickly to the needs of their customers, ensuring that their products are the ones that stay on the shelves.

A new wave of the CANNApinion Poll runs every two weeks to allow clients to get timely answers to their most urgent business questions. With each new wave, clients are given the opportunity to submit questions as they look to gain actionable insights into growing pains and growth barriers that are present within the cannabis consumer experience. Each wave consists of 8-10 questions to ensure cannabis consumers are actively engaged within the poll and contribute robust data. Clients can submit multiple choice questions, open-ended questions, and display product images or videos.

The CANNApinion Poll is the first cannabis-specific service within SoapBoxSample’s portfolio of products. SoapBoxSample is an early thought leader embracing the cannabis space, and has been actively conducting cannabis research since 2016. Clients rely on SoapBoxSample to develop new products, crowdsource ideas, test ads and branding, test products and concepts, track consumer habits online, and gather in-the-moment feedback.

Emerging Thought Leadership from USCC Reveals Urgent Need for Consumer Research in the Cannabis Space

SoapBoxSample Announces the Launch of a New Cannabis Consumer Research Service

As competition heats up in the cannabis market, what factors will determine whether brands can survive “the green rush”?  One clear takeaway emerged from thought leaders at the US Cannabis Conference (USCC) in Phoenix last week – know your customers; they may not be who you think they are.

Business owners, investors and experts gathered at the USCC for an event focused on the new era of cannabis. SoapBoxSample led a session in partnership with Jupiter Research and ProGrowTech titled, “Will You Survive the Green Rush?” The session focused on how consumer research can help companies get the right message to the right audience at the right time. At the start of the session, Jacqueline Rosales, SoapBoxSample COO, took questions from the audience that were sent out to respondents in real time, providing attendees with immediate feedback from real consumers.

SoapBoxSample presented data collected from cannabis consumers – much of what they uncovered contrasted with current assumptions. One example was the startling statistic that while 1/3 of cannabis consumers are purchasing in dispensaries, only 12% trust dispensary employees as a source of information about new products. Companies that distribute their products in dispensaries left the event with a clear directive that opportunities to educate consumers are being left on the table.

To demonstrate their commitment to cannabis research and their passion for the cannabis industry, SoapBoxSample announced the launch of their new product — a bi-weekly survey of cannabis consumers built around the research needs of growing cannabis businesses. Clients will be able to tap into a custom-built resource, ask questions, and access insights – all at a low cost.

Kaila Strong, Dir. of Marketing for Jupiter Research, a vaporizer technology company, urged business leaders to take a more conscious approach in their marketing. “This type of research is useful for product testing, product development, allocation of budget and also our own internal understanding,” said Kaila. “The golden rule of marketing is that you don’t assume that you are your consumer.”

Andrew Myers, CEO of ProGrowTech, a company that builds high-end lighting solutions for large-scale grow operations emphasized the importance of research for his company as they move into direct-to-consumer sales and unveil new products for 2019.

Brands that are able to gather feedback from their customers in order to improve their products and marketing are the ones that will survive and emerge as leaders in the industry. “People are invested in this space because they believe in it, and they’re passionate about it,” said Jacqueline Rosales.

Read Another Cannabis News Release – Age, Gender Play a Role in Cannabis Consumer Habits