Facebook and Google Are Not So High On Cannabis
Imagine being a publicly-traded or successfully raising millions of capital to begin a startup in the U.S., without hardly any way to market yourselves efficiently.
But this is exactly where we are within the cannabis space — media giants, such as Google, Facebook, and others will not allow the advertising of legal cannabis.
This has to change. With cannabis stocks on the rise and revenue estimates in the billions, it’s time we recognize the robust need to allow cannabis brands to advertise. This is necessary not only for the purposes of increasing sales, but also for providing a platform to educate and deliver factually relevant information to the public and consumers.
The government and the media must find common ground to deliver on a solution. Conversations need to be had in order for consumers to be able to make responsible and informed decisions. Should the uncertainty continue surrounding advertising regulations and compliance, Google, Facebook, and other advertising powerhouses will remain apprehensive about entering this legitimate growing industry otherwise.
In the United States, cannabis is still considered illegal at a Federal level. This has led to many unanswered questions regarding advertising regulations and how to remain compliant. Each state generally has their own set of guidelines with which a company must comply. For example, advertisements in California may contain promotional offers, while in Washington State they cannot.
Businesses must make sure they are not crossing state lines with their messaging, and their target audiences must be of legal age. Although there has been some progress on a state level, the air of uncertainty and caution will endure in advertising as long as cannabis is defined as an illegal drug in the United States.
While cannabis companies continue to paddle through the murky waters of regulations, ad-tech and data are poised to play a major role in guiding those companies and expanding their horizons to market and target effectively. Cannabis companies are eager and enthusiastic to learn that there are highly-credible ad-tech alternatives at their disposal. These ad-tech companies are working with cannabis brands because they are confident that their guidance would both benefit their businesses and ensure they are following regulations.
Ad-tech companies now have the capability to determine how, when, where and who should be targeted for a specific advertisement. With location analytics, the industry can build audiences explicitly targeting a compliant cannabis consumer like never before, while removing the risk of reaching an underage audience. By utilizing the technology, it will allow cannabis companies to have a public voice.
To Read The Rest Of This Article By Josh Segal on Green Entrepreneur
Published: October 30, 2018
Founder & Interim Editor of L.A. Cannabis News