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Commentary

Promo Distributors Should Target Cannabis Market

Election Day ballot measures brought different levels of cannabis legalization to five states – a sign that this niche will only continue to grow.

When it comes to the legal cannabis market, a lot more opportunity appears to be lighting up for promotional products distributors.

Woman holding cannabis leaf

In Election Day ballot measures, voters in Arizona. New Jersey and Montana legalized recreational marijuana use for adults. South Dakotan residents voted in favor of legalizing cannabis for recreational and medical use – the first time a state has approved both such initiatives at once. Meanwhile, Mississippians approved marijuana for medical use.

The wins for weed don’t mean that people can start toking up instantly. Regulatory structures and the like will have to be established, experts say, but the bottom line is that 15 states, along with Washington, D.C. will now have authorized cannabis for adult recreational use. Perhaps even more telling, only seven states remain where cannabis, even if it’s only in the form of CBD oil, is both fully illegal (not allowed in any form for recreational or medical purposes) and not decriminalized.

In short, the writing is on the wall: Legalization is only likely to spread. With that, the size of the cannabis market will grow exponentially.

Consider: The five states that approved marijuana ballot measures on Nov. 3 have a combined population of roughly 21 million. That’s a lot more potential customers for cannabis companies, who will be keen to capture market share as legalization takes hold in the various locales.

Promotional products distributors can play a role in this. For sure, it will be critical to understand each state’s advertising regulations and not run afoul of them. However, there should be ample opportunity for promo pros to provide branded merchandise and other services/solutions to companies that operate in the cannabis niche.

Most basically, companies will need branded apparel/headwear for employees, as well as other swag items that businesses in any niche might provide new hires or as thank you gifts, from tumblers and mugs, to totes, writing instruments and, this being the age of COVID, logoed facemasks. Cannabis brands could also, of course, look to retail or give away apparel and hard good promo products. Additionally, point-of-purchase items, packaging solutions and cannabis accessories like storage jars, grinders, lighters, matches, rolling papers and more are other products distributors could pitch. Here’s a couple more: Trade show signage and giveaways for those events like flying discs; these will be needed whether the shows are virtual or in-person.

Bottom line: Despite some hiccups and roadblocks in recent years, the long-term trajectory of the marijuana market is up – and it’s set to start rising fast. Promo distributors that don’t have personal objections to the business would be wise to start building strong relationships with clients in the niche now. You could well end up high on the lucrative returns.

Christopher Ruvo

Digital News Director; Editor, PromoGram

Chris spearheads ASI Media’s news coverage, leading the creation of daily articles, in-depth feature reports, podcasts and videos that tackle the most important topics in the promo products industry. His writing and multi-media work has earned numerous regional and national awards, including the 2019 and 2022 Neal Awards for “Best Range of Work By A Single Author.”