The longstanding public demand to deschedule cannabis, moving it from a Schedule I to a Schedule III substance, has finally been met. The Attorney General’s descheduling proposal that was announced on April 30th, 2024 is the green light the cannabis industry was waiting for, and the ripple effects on businesses are already visible. Descheduling seems like an imminent reality now, and the businesses that are ready for it will stand to gain a massive competitive advantage.
Descheduling, Digital Marketing, and You
Currently, marijuana is classified as a Schedule I drug under the Controlled Substances Act, indicating a high potential for abuse and no accepted medical use. The proposed reclassification to Schedule III would signal its suitability for medical use and lead to wider commercial acceptance. Here’s what that means for you.
- Ad Budgets: Businesses engaged in the trade of Schedule I substances cannot write off their marketing expenses during tax season. Once cannabis has been descheduled, retailers, processors, and other cannabis enterprises will have increased financial headroom, unlocking access to better advertising opportunities through bigger budgets.
- Ecommerce Opportunities: Reducing red tape and advertising restrictions will have significant implications for shipping and other aspects of online sales. Businesses will be able to tap into ecommerce for immense growth. For instance, retailers could leverage popular ecommerce platforms to improve their reach and simplify the sales and delivery of their products.
- Enhanced Advertising: Relaxing the rules and regulations surrounding cannabis could also result in major social media platforms adjusting their position on cannabis-related content. This change could mean that cannabis businesses will be able to use platforms like Instagram to connect directly with a broader audience, using more direct messaging and a wider range of digital marketing strategies.
- Brand Development: Better access to crucial platforms allows businesses to develop their brand effectively. Businesses that move quickly will be able to differentiate themselves from the competition using various strategies, from posting educational and informative content to collaborating with popular influencers to engage audiences.
- Improved Analytics and Marketing Tools: We will likely see an increasing emphasis on tech and analytics as more cannabis businesses make the most of the new ecommerce and social media opportunities. This could range from brand-new analytics tools for cannabis retailers and processors to bespoke WordPress plugins and themes.
It is important to note that while this announcement is a big moment for the industry, it is only one of many steps in the rescheduling process. It will likely end up being several months to a year before a final ruling is issued and we see the impact from this roll out.
Make The First Move
The descheduling of cannabis is going to completely change the way businesses operate going forward. By adapting early, you’ll have the chance to build your online presence and scale quickly with the power of major ecommerce, advertising, and social media platforms.
Coalition Technologies is here to help you adapt seamlessly to the changing industry landscape.
- Find New Audiences: With nearly fifteen years of experience building cannabis brands from the ground up with ROI-driven email marketing and proven SEO strategies, we’re the agency that defines industry trends.
- Leverage The Power of Analytics: As a data-driven digital marketing agency, we use a wide range of analytics tools to help clients navigate the changing industry and boost their conversions.
- Powered by Experts: Our experience working with some of the biggest players in the cannabis industry allows us to get faster results. Reap the benefits of descheduling with expert insights.
