How Cannabis Brands Built Loyalty in the Evolving U.S. Market

Over the past decade, U.S. cannabis has transitioned from a fragmented, underground market into a multi‑billion‑dollar legal industry. With adult‑use cannabis now legal in 24 states (as of 2025), many consumers find themselves navigating a crowded landscape where brand loyalty is evolving fast. As the market matures, cannabis companies are building loyalty through strategies that go far beyond low prices and THC potency.

Early Roots: Transactional Loyalty

In its infancy, cannabis loyalty was simple and transactional—points systems and generic discounts. Customers were drawn primarily by cannabis potency, pricing, and flavor—often switching brands depending on promotional offers and availability. A 2024 report from New Frontier Data noted that only 31 percent of consumers claimed a favorite cannabis brand, and roughly 54 percent switched retailers based on promotions alone.

The Middle Era: Behavioral Loyalty

As dispensaries proliferated, consumers began visiting multiple retailers—on average eight times per year—and typically buying from three different stores. This behavior highlighted the inadequacy of simple transactional tools. Brands responded with behavioral loyalty tactics: CRM systems tracking purchase frequency, tailored discounts, and segmented outreach. Though this represented progress, most customers still hopped between retailers when better value or inventory was available.

The New Frontier: Emotional & Community‑Driven Loyalty

By 2025, the cannabis industry had reached a point where emotional connections and community engagement became central to loyalty strategies. As one consultancy put it, traditional points systems no longer resonate, especially with savvy consumers who seek personalization and authenticity. Leading dispensary chains like The Artist Tree emphasize budtender‑led guidance, weaving loyalty programs into the personalized retail journey so customers feel recognized and informed.

Similar patterns are emerging across the industry: brands incorporate educational content, host curated events, and partner with cultural institutions or wellness experiences to deepen emotional bonds. Authentic storytelling—rooted in mission, design, or community values—strengthens brand resonance beyond the product itself.

Targeted Demographics & Shifting Audiences

Consumer demographics have shifted dramatically. Women aged 19–30 now consume more cannabis than men in the U.S., and over 80 percent of purchasing decisions in the industry are made by women—and marketers are refocusing accordingly. As a result, brands have tailored products like tinctures, edibles, topicals, and beverages that appeal to female consumers seeking wellness, stress relief, and controlled dosing.

Cannabis beverages, in particular, have gained traction. In California between 2024 and 2025, drinks grew by 6 percent while overall flower sales dropped 15 percent. The segment appeals to older consumers, wellness seekers, and those replacing alcohol, reinforcing brand experiences built around lifestyle narratives.

Data & Analytics: Uncovering Loyalty Signals

Access to sophisticated analytics tools has enabled brands to quantify loyalty with precision. For example, Cookies (a well‑known California cannabis brand) learned that 27.2 percent of its customers also purchase competitor brands, while only 9 percent bought exclusively from Cookies. These insights help brands tailor retention strategies, refine messaging, and reinforce loyalty where defections are highest.

Loyalty in 2025: The Loyalty Paradox

Even as loyalty programs improve, the paradox remains: 80 percent of consumers who identify as “loyal” will still defect if presented with better value or convenience elsewhere. Therefore, the latest evolution in loyalty programs emphasizes resilience: building flexible, trust‑based relationships, deeper personalization, omnichannel continuity, and community alignment.

Blueprint for Future Loyalty

According to a 2025 report, dispensaries that prioritize customer experience, retention strategy, and local community connection are most likely to succeed in a saturated retail landscape. The focus now is on:

A compelling value proposition: combining competitive pricing, product quality, transparency on ingredients and effects.
Convenience and service excellence: easy online orders, consistent availability, knowledgeable staff, smooth loyalty redemption.
Personal connection: personalized offers, birthday rewards, education, and tailored content based on consumer preferences/options.

Case Examples: Brands and Community

Innovative brands like Sonder (a queer- and women‑owned company in California) differentiate through cultural authenticity, community storytelling, and mission‑driven imagery—building loyal followings among marginalized communities often ignored by mainstream cannabis brands. On the other hand, larger players such as Curaleaf have built scale through acquisitions (Select, BlueKudu, Grassroots) while integrating loyalty messaging across multiple brands under one umbrella.

In Summary

From price‑driven experimentation to brand devotion grounded in emotional, educational, and community experiences, the evolution of cannabis brand loyalty in the U.S. reflects broader patterns: a shift from transactional economics to meaningful brand‑consumer relationships. As the legal cannabis market approaches $45 billion and surpasses 440,000 full‑time equivalent jobs nationwide in 2025, brands that cultivate authenticity, personalization, and experience will outperform purely promotional approaches—and turn casual consumers into long‑term brand ambassadors.