Keith Farrell

I'm working with a few cannabis companies now and I'm seeing a big difference in mindset from those who anticipated market conditions and those who thought they were just going to make a lot of money really fast.

Cannabis is a new market and that means A LOT of volatility. People hoping to get into new state markets and print money are likely misunderstanding the constraints and have the wrong goals. What cannabis companies in new markets need to do is invest in brand positioning, connect with their communities, and offer real value beyond their competitors. Yes, that likely means operating at lower levels of profit for a number of years. The game now is market position, market share, and survival. Most of these businesses will be gone in five years. Small players will bust, big players will come in. If you're worrying about profits and paying investors, you're being too short-sighted. You want to outlast the companies that are trying to squeeze every ounce of profit out now, establish a trusted brand and an identity with your customers, and then when the supply is growing and prices are falling, you'll have the ability to charge a little more to your loyal customers.

Marketing essentials for small businesses:

1) identify your unique value proposition: What are you offering that sets you apart from your competitors. Price? Quality? Local roots?

2) define your brand: branding is bigger than logos and color schemes (although those are important). It's about your core message to consumers. What will your product do for them? What defines your mission or identity as a business?

3) introduce and reinforce 1 & 2 as often as possible in as many ways as possible to existing and potential customers.

4) use web presence, social media, digital ads, and mass media advertising (6-15% of gross monthly revenue). Track ROI and adjust.

5) stick with it: even the best campaigns will take time to reach their potential.

Business owners are afraid to market because they don't understand marketing and don't want to waste money. As such, they get tempted by social media and digital ads because they provide metrics (how accurate and how meaningful is another story). But the internet isn't an open arena -- it's a hall of locked doors and barriers to reaching your audience. The algorithm controls who sees it and who doesn't. And let's be honest, in the age of AI, fake news, and online scams, does anyone really pay attention to internet ads? I've actually been turned off products from their social media ads.

Now radio ain't what it used to be, for sure. But that's actually a good thing for businesses. Back in the day when radio had the power to make anyone a celebrity, most businesses couldn't afford prominently placed ads. Now it is the largest gathering of public eyes or ears that you can reach without any algorithm or filter designed to limit your reach. It's also extremely localized. But most of all, it's the power of audio. Hearing an authoritative voice tell you, "this car is the one to drive.... This business is the one that cares..." It's powerful. Add music and some nostalgia... That's more potent than any print or digital ad.