Meet Melinda Adamec, SVP at Gabriel Marketing, an agency specializing in cannabis industry marketing strategy consulting, digital marketing and advertising, SEO, marketing automation, and content development.

First, a little background about Melinda Adamec:

 

Over 20 years of experience in advertising, marketing, and public relations. Recently joined the GMG team to lead GMG’s delivery of client services in marketing strategy. Prior to GMG, I lead OMI Industries’ cannabis market business including serving as brand manager for Cannabolish plant-based smoke odor removers. Before OMI Industries, I held various executive and leadership roles at PR/marketing firm GolinHarris and DBC PR + New Media. Some of my clients included Ace Hardware, AT&T, Blackboard, Hair Cuttery, IAC, Mars, McDonalds, Microsoft, Reuters, Rosetta Stone, U.S. Mint, and U.S. Postal Service. And I am a very proud member of the NCIA’s Marketing & Advertising Committee!

When did you first start working in cannabis?

5 years ago. My first event attended was the WomenGrow conference in Denver. I fell in love with the industry and the people and knew it was a very special opportunity to be part of this community.

Do you sit on any industry boards or associations that you’d like to mention?

NCIA Marketing Committee

What lesson did you learn BEFORE cannabis that’s been most valuable in cannabis?

Relationships are everything. Strong relationships (with co-workers, peers, and customers) can truly make your business. I have stayed connected with so many people I’ve worked for and with over the years, which has resulted in the learning of new opportunities, growing skillsets, support in new endeavors, and help in connecting with others in the industry. Cannabis just reinforced this by 100%.

Is there a particular cannabis project you’d like to highlight?

YES! The NCIA’s Best of 420 Awards, which was produced and launched during the middle of the pandemic. Not only I was so proud to be part of this team that put together a fantastic program within weeks – but so impressed with the brands that brought forth incredibly creative campaigns that highlighted their cannabis businesses using a variety of methods. And I could not be more thrilled to co-chair this subcommittee again this year. Stay tuned for more details about this exciting opportunity to shine a spotlight on some fantastic cannabis businesses!

What’s the biggest misconception cannabis companies have about marketing?

In my opinion – budget. You can do a lot with a small budget. It’s not how much you spend, but how you spend it. The first step is setting specific marketing goals that align with your business goals. Once you have those goals in place, with some creativity and using a customized approach you’d be amazed at the results that can be achieved. It’s not a one-size-fits all solution either. Understanding your market, customer, and how to drive real value takes a creative, omnichannel approach before you’ll see real results.

What were you doing prior to cannabis?

I was focused on increasing brand awareness and sales for a company that made all plant-based odor-removing solutions. 12 years ago natural products were viewed as “not as effective”, so it took a tremendous amount of work to educate consumers and B2B customers about the effectiveness of our products, the health risks of toxic products, and the lack of regulation around these. I like to say we were green before green was cool. So coming from that space into cannabis, educating and amplifying messages was the foundation for everything we did to grow the Cannabolish brand.

In your view, what is the biggest cannabis marketing challenge facing cannabis companies today?

One of the biggest challenges hands down is the restrictions on advertising and promotions. But even more importantly, the gray areas – in particular with consumer goods and social media. Until there are clear regulations and advertising guidelines in place it will continue to be a space that must be navigated carefully and with a team experienced in this space.

What will get easier in cannabis marketing? What will get harder?

In my opinion, once there are Federal regulations in place the marketing world of cannabis will become easier in terms of the navigation. However, more difficult for brands to compete – in particular smaller brands with smaller budgets. But I think that’s where you’ll see some incredibly creative teams rise to the occasion.

What can companies do to ease their digital marketing challenges?

You really need to find someone you trust to help guide you through the ins and outs of branding and marketing in cannabis. It’s not only about understanding the rules and regs, but also what is trusted and valued by consumers in this community. Authenticity and transparency is crucial to earning the trust of your customers.

In your view, what is the most under-rated tool in the digital marketing toolbox for cannabis companies?

Authentic content – social media content, blog content – it’s the best way to communicate with your customers, and share what makes your brand unique.

In your view, what is the most over-rated digital marketing toolbox for cannabis companies?

Big event sponsorships. You don’t need to spend a fortune to be seen and heard.

What’s the BEST piece of advice you give everyone you work with?Listen.

Listen to your customers – even when they are sharing information you may not want to hear. It’s the only way you learn and improve.

What’s your advice for people who want to get into cannabis digital marketing?

Connect with people who have experience in this space. It’s the quickest way to learn about the industry, get advice and understand the nuances. You can really avoid some big mistakes early on by hearing from people who have some level of expertise within the industry.

How can someone contact you, Melinda?

Gabriel Marketing

Thanks for sharing your marketing insights with us today, Melinda.

 

Meet Laura Wilkinson Sinton, Cannabis Dispensary Exert, and Consultant for legal dispensary applicants. Founder of Caligrown.

First, a little background about Laura Wilkinson Sinton:

I live in San Diego with 4 kids and 5 grandkids. My husband is a cancer survivor that honed my cannabis chops, and I am a master composter and sea swimmer.

 

When did you first start working in cannabis?

2015. I got involved in several dispensaries’ marketing operations, as my brother and I owned an alternative rock radio station in Bend, Oregon. Apparently, no one would sell radio advertising to cannabis businesses, and we thought hey, it’s a state-legal business, of course, we can (and we were right). So, that’s how I got started, learning their business model and helping them grow the customer base and promote 4/20 events.

Do you sit on any industry boards or associations that you’d like to mention?

Yes. I am active in the NCIA and serve on the MAC (Marketing and Advertising Committee) and on the NCIA Sustainability Committee. Both are really great groups of professionals, and serving the nascent industry in this capacity has been really rewarding and great networking.

I am also active in the ArcView Women’s Inclusion Network, which has incredible benefits (access to lawyers and accountants and really smart people with experience and business intelligence). The ArcView group is geared towards helping you become successful, which is why the WIN is such a great group full of women with generous spirits. Several small cannabis organizations have cropped up locally, but it’s pretty fragmented and their missions may differ from each other. I am a board member of the local South County Economic Development Council. They promote economic development, and cannabis businesses present that very economic opportunity. It has been very influential in informing elected officials in adopting and allowing commercial cannabis. In California, it’s the individual cities that determine whether or not to allow them. And that last mile” has been really hard to push through in California, as we know.

 

What lesson did you learn BEFORE cannabis that’s been most valuable in cannabis?

In radio, in information security, and in other start-ups I have done, it’s to roll with the punches, plan for the long game, and bring your best self every day. And there are a lot of punches. Anybody who thinks cannabis is a “get rich quick” scheme is [off] the mark.

Is there a particular cannabis project you’d like to highlight?

Yes, a pending application for a micro-business in National City, CA (San Diego). Our location is actually ON a transit stop, 3 stops from the San Diego Convention Center (think Comic-Con!), has 65 parking spaces, and is actually on the Interstate 5 exit (with on AND off-ramps). San Diego area dispensaries have been relegated to industrial areas, car-dependent and tough parking because of overly restrictive land-use policy. You can’t suspend the rules of retail just for cannabis. It has to be accessible, and San Diego county is way behind the rest of California in permitting. There’s a dearth of dispensaries (50, where the economy can support over 570). So cross your fingers for us. We’ll be the first qualified social equity candidates 100% woman-owned entity (majority women of color) in San Diego.

What’s the biggest misconception cannabis companies have about cannabis marketing?

That big social media will come around (Facebook, Instagram, Google). Go elsewhere and stop spinning your wheels and raging against the machine. Not gonna happen.

What were you doing prior to cannabis?

I’ve been an entrepreneur in many places – information security start-ups, precious metals recycling, owning and operating radio stations and media of several types. I’m an entrepreneur at heart, and my husband is a cancer survivor; my mom died from Multiple Sclerosis. Cannabis has been a part of medicine in my family for a while.

In your view, what is the biggest digital marketing challenge facing cannabis companies today?

Misinformation, illicit marketers, breaking out.

What will get easier in cannabis marketing? What will get harder?

Easier? Public awareness of consumption methods. Harder? Nothing. It’s not an easy business now. Too many over-promised and disappointing results. It was oversold by public Canadian companies and private investors. Big plans, delayed delivery. Cannabis was to be legal nationwide by now in every prospectus I reviewed. Like a vacation- bring twice the money and half the clothes.

What can companies do to ease their marketing challenges?

Be patient. Results take time in marketing. Use a mix of media – digital alone will never get it done.

In your view, what is the most under-rated tool in the digital marketing toolbox for cannabis companies?

Creative. It matters more than anything to breakthrough. What do you have today that applies to your audience? Not relevant to YOU – relevant to your customer.

In your view, what is the most over-rated marketing toolbox for cannabis companies?

Digital reliance. It’s really fragmented at this point. And your share of voice matters.

What’s the BEST piece of advice you give everyone you work with?

Meditate daily and enjoy the impermanence in this life. Enjoy every day.

What’s your advice for people who want to get into cannabis marketing?

Be flexible. Leave toxic bosses quickly. Embrace the women in this industry, and lift them up.

How can someone contact you, Laura?

Twitter @laurawilkinsonsinton

Instagram @laurawilkinsonsinton

Thanks for sharing your digital marketing insights with us today, Laura.

 

Meet Michele Ringelberg, CEO of ThrivePop, a digital marketing firm specializing in cannabis. Fast-growing and ambitious brands in cannabis industry work with Michelle and her team to create digital marketing strategies and digital marketing implementation.

First, a little background about Michele Ringelberg:


I have been in the marketing industry since 2000. I have seen a lot of changes in the digital marketing space and the evolution of cannabis marketing has been exciting to watch. Cannabis marketing is challenging and innovative. We have definitely made our mistakes, but have learned from them and are here to teach you what NOT to do! Let me just say, Facebook and Instagram can be unpredictable and difficult when marketing cannabis-related products.

Our team enjoys what we do and has been known to push our clients out of their comfort zone. When we are allowed to try new creative tactics, we can show our clients astounding results!

If your business is ready to grow fast and is seeking help implementing digital marketing strategies that will increase visibility, generate leads, and grow revenue, then we can help.

Let us teach you what we know and create something fabulous together!

 

When did you first start working in cannabis?

2017

 

Do you sit on any industry boards or associations that you’d like to mention?

NCIA Marketing Committee

What lesson did you learn BEFORE cannabis that’s been most valuable in cannabis?

Do what you love and what you are naturally good at and stop trying to please every client request. When I first started we were doing a lot of online applications systems and complex web development programs for companies. My brain just doesn’t work that way. I was trying to do something that I didn’t like and it stressed me out. I am not a developer and don’t pretend to be. I am creative and love marketing, not backend web development. I had a complex project that my developers could not produce, they continued to tell me that they were almost done, but as a non-developer I couldn’t look at the code and tell if they were actually telling me the truth. I had to go to the client and let them know we just don’t have the team to complete this project and I refunded them all of their money. I felt this huge weight lifted once I told the client they would need to find another web company to perform this project. It was very difficult to do and they were not happy, however; it was the right thing to do. It was then that I focused on what I love to do and that is marketing. We chose to not take on any more complex web projects and now we focus on marketing, since doing that our company is growing significantly and I do what I love, helping companies make more money and thrive.

Is there a particular cannabis project you’d like to highlight?

The majority of our clients are B2B. Fohse lighting is one of our clients that I would like to highlight. They came to us with unrealistic goals. They wanted to double their conversions and revenue in one year. I kind of laughed and said, ok, we need to set realistic goals. our contact said, no we are serious, these are realistic goals. They were ready and motivated to grow. They said, let’s do this! They listened to us and for every new opportunity or creative idea we had; they were up for it. We doubled their monthly leads and increased their revenue by 2,332% in two years! It makes a huge difference when you have a client that actually listens to your recommendations and is open to new marketing tactics, and the entire team is on board. They have an amazing sales team that actually uses the tools we have implemented and has done an excellent job converting the leads we have been providing them. Other people in the industry see Fohse marketing and they ask them who does it, and they very willingly tell them ThrivePOP, in fact, I just recently had a prospect call me and they told me that Fohse told them we kick ass! I said, ok, great that is awesome to hear. 

What’s the biggest misconception cannabis companies have about digital marketing?

That it is easy, or that it [includes only] being on social media. That is part of it, but not the whole picture.

What were you doing prior to cannabis?

We fell into cannabis. I have been doing marketing since 2000, was a marketing director at a healthcare facility and they merged with another health organization and they eliminated my job. I worked at an IT managed service company, managing the web team and doing marketing for the IT company. I started ThrivePOP in 2017. One of our clients that also serves other industries said they wanted to push their product into the cannabis industry, so that is how we started. I sent one of my employees to MJBizCon to help them with their booth, and learn. Since then, we have just been growing like crazy.

In your view, what is the biggest digital marketing challenge facing cannabis companies today?

The biggest issue regarding marketing for cannabis is social media. You spend all this time growing social profiles and FB, Instagram, etc. can take down your profile with no notification and you can’t ever talk to someone at FB or Insta to see why or get it back. So many clients come to us trying to get their accounts back and it is very difficult.

What will get easier in cannabis digital marketing? What will get harder?

I have noticed more and more competition. Everyone thinks it is an easy thing, and it is not. Just because you are in the cannabis industry doesn’t mean you are stashing money in a safe. It is tough. In our town, there are so many dispensaries popping up and I think people don’t understand how difficult it is to run a company.

Trust me, running a company is HARD, especially in the cannabis industry.

What can companies do to ease their digital marketing challenges?

Be consistent and track your results. If you don’t have time to do it yourself, which most people don’t-outsource it to someone that knows what they are doing and are an expert.

In your view, what is the most under-rated tool in the digital marketing toolbox for cannabis companies?

Industry associations. I try to get my clients to join different cannabis associations and I don’t think they really value that. I have joined a few, and it has really set us apart.

In your view, what is the most over-rated digital marketing toolbox for cannabis companies?

I don’t really think of anything that is over-rated.

What’s the BEST piece of advice you give everyone you work with?

Be consistent and listen to the data. Track your results and be open to changing your plan based on what the data is telling you. Data doesn’t lie, and you don’t want to waste your money on something that isn’t effective.

What’s your advice for people who want to get into cannabis digital marketing?

Join associations to learn about cannabis, join associations, follow people that are knowledgeable, and absorb as much knowledge as possible. Don’t just tell people you understand cannabis marketing if you don’t yet.

How can someone contact you, Michele?

www.thrivepop.com

Facebook/thrivepop

Instagram/thrivepop

 

Thanks for sharing your digital marketing insights with us today, Michele.

 

Maybe you’ve never hired a PR firm before, or maybe it’s been a while and you’re just unsure of what a PR agency costs. Either way, you’re asking yourself, “how much will a PR firm cost me?” Since PR usually falls within the marketing budget, let’s start there.

To grow your position in the marketplace, a good marketing allocation is about 15% of revenue. In 2022, the average marketing budget for B2C brands was 13.7% of revenue, and for B2B brands, it was about 10% of revenue.

So if you’re an average company, and you’re looking to maintain your position, you’re probably spending in the range of 10% of revenue.

If you’re looking to dominate, your budget should be higher. Ambitious startups typically allocate between 12-17%. A typical breakdown might be that 1/3 of the budget is advertising, 1/3 of the budget is content, and 1/3 of the budget is PR. Large international agency budgets can be $380,000 or more annually, while a mid-range agency budget typically clocks in at $156,000-$180,000 annually and a smaller agency budget would be $120,000 per year, a mid-range freelancer could be anywhere from $36,000-$100,000 a year. If you’re a CPG or DTC brand with a marketing spend of under $100,000, then you might consider consumer product PR sprints, which feature micro contracts that align with key buying seasons. Hiring a PR agency is an investment, but considering PR converts ten to 50% better than advertising, PR is indeed a place where the ROI pays off.

 

So what goes into a PR agency’s fees?

 

According to Muck Rack’s 2021 State of PR report, the number one cost to a company to PR is the agency, which makes sense because, unlike programmatic ad spending (a typical minimum is programmatic spend is $25,000/month), PR agencies rarely have a minimum spend or activation fee requirements outside their retainers.

PR agency rates increased, and in 2020, the average PR agency CEO billed $417 per hour, while VPs clocked in at $319 per hour and Account Managers billed $256 per hour. The average blended rate was $240 per hour. It’s safe to say that if your PR team has executive PR experience, and your agency spends an average of 10 person-hours per week on your account, your monthly retainer will be around $13,226 per month.

If you require more executive hours, your fees could go up. If you work mostly with a junior team, your rates could go down. Oftentimes, fees are different depending on your strategic objectives. For example, if you want to keep a firm on retainer for a few calls a month, and no proactive media outreach, your annual fees may be considerably less. If you are trying to secure investment or you’re pre IPO, you may find your fees are on the higher end of an agency’s fee structure.

It’s a balance to strike your budget with your goals, but when asked, I always give the same advice to CMO’s and startup founders. In 2020, 45% of companies increased their PR budget. If your budget is $400,000 or more per year, hire an agency that does $20 million+ in revenue. If your budget is $180,000 per year, hire a boutique PR firm, with less than $10 million in revenue. If your budget is $60,000 per year, don’t hire an agency, hire a freelancer.

Odwyer PR’s annual report shows rates increased considerably between 2019 and 2020, so if your agency didn’t raise its rates, you’re fortunate.

Agencies are notoriously reluctant to share minimum retainers, but in 2013, several agency executives did just that with PR Observer, an industry publication.

“To properly scope a client program and assign the proper team support, we feel $15,000 – $17,500 per month is a reasonable starting point.”Anne Green, President & CEO, CooperKatz & Company, Inc.

“Our retainers range from $7,500 – $50,000 or so. Crisis costs are different and generally charged by the hour with a $20,000 minimum.”—Ronn Torossian, Founder & President, 5WPR

“We have some clients that pay us $100,000 or so per year, some clients that pay us more than $100,000 per week, and many clients that pay us $100,000 or so per month.”— Mark Hass, President & CEO, Edelman United States

“Our clients generally pay between $15,000-$30,000 a month depending on the workload.”—Stu Loeser, Founder & President, Stu Loeser & Co.
So what’s typically included in a bespoke retainer rate? Well, again, that may depend on each agency’s specialty. For example, if your agency specialized in digital communications, you may find that social media content creation is included, but media relations are not. But the following services are a good rule of thumb to expect within our typical PR agency retainer:
  • Strategies about how to stand out from your competitors using PR
  • Internal and external communication strategies that match your growth goals.
  • Campaign development and creative activations for marketing opportunities.
  • Media relations, and securing regular media coverage, speaking engagements.
  • KPI and business impact reporting.
  • Copywriting such as press releases, speeches, white papers, and branded journalism.
  • PR crisis planning – but not necessarily crisis management.
  • Partnership strategy and potentially management such as cause, social impact, or purpose-driven PR initiatives.
  • Executive training, including media training, interview prep, and research or executive ghostwriting.
  • Content strategy for video, social media, and inbound leads.
  • Content creation oversight, including social media, photography sessions, and video development.
  • Poll or research development, implementing the poll may or may not be within the agency’s retainer.
  • Peer agency coordination, such as with branding or advertising agencies.
  • PR campaigns that “make the news,” are designed to create word-of-mouth or media opportunities.

For a complete list of what we would include in your PR retainer, reach out to us and tell us more about your business and your goals.

Hiring a PR agency is an investment, but considering PR converts ten to 50% better than advertising, PR is indeed a place where the ROI pays off.

One of the biggest mistakes that consumer packaged goods companies make is assuming that consumers are only interested in shallow, colorful, brightly designed packages. Consumers care about who makes their products and where they come from. Setting yourself apart in the crowded CPG market is about more than making a good visual impression. Loyalty and brand recognition come from carefully curating your image and making a connection with your target audience in a meaningful and positive way.

Hiring a purpose-driven PR firm can help hone your message to consumers. This type of firm can also place your message in strategically valuable media outlets to get a foothold in a competitive marketplace. Navigating these strategic PR campaigns can be labor-intensive. An experienced PR firm can provide the professional support you need for brand growth and visibility. Investing in a PR agency with CPG experience may be the right move for you, especially in today’s economic climate and competition.

What are CPGs?

CPG, or consumer packaged goods, are products that are consumed by customers regularly and require routine replacement. These types of goods generally have a short shelf life. CPGs include food items, clothing, makeup, cosmetic products, and household goods. The market may feel dominated by big-name brands with extensive marketing teams at their disposal. However, now is the right time for emerging brands to take advantage of PR to increase their brand awareness and visibility.

CPGs and Consumers

Consumer packaged goods companies are one of the largest manufacturing employers in the U.S. The industry itself contributes nearly $2 trillion to U.S. gross domestic product and generates $1.1 trillion in labor income. What does this mean for the industry itself? It means the industry is not only profitable but also highly competitive. Brands are consistently competing for the attention and the hard-earned dollars of everyday Americans. When store shelves are saturated with products, brand recognition becomes an important factor in relation to consumer buying habits.

Consumers buy brands they recognize and trust. This relationship between the brand and the consumer does not happen overnight. It develops over time through carefully crafted messages aimed at the right audience. Once a consumer develops brand awareness, they are more inclined to continue buying the product they know the most about. Good companies will continue to foster their relationship with consumers by the following approaches:

  • Staying in touch with their needs
  • Managing expectations
  • Generating targeted messages aimed at increasing consumer loyalty

Companies can adapt and market towards their target consumer base by keeping a finger on the pulse of consumer awareness and buying habits.

How PR Can Help CPG Companies

Any economy can experience supply chain issues, rising costs, and product shortages. These issues rarely leave a positive impression on the consumer. The rise of social media has shown us that misinformation or negative sentiments can quickly sour an individual’s image of a brand or company. As misinformation spreads, so do negative consumer responses. Now more than ever, companies need to take a proactive approach to communicate with consumers. PR firms can help CPG companies achieve their communication goals by leveraging their influence with media outlets and crafting stories that positively resonate with their audience.

Public relations agencies specialize in helping their clients generate and distribute information about their business. Public relations is sometimes lumped under the marketing umbrella. While the two share similar goals, they are not the same. Public relations agencies know how to leverage free media, which does not cost a company anything to distribute, unlike paid ads or spots.

PR firms can be crucial in helping CPG companies create purpose-driven, helping to increase brand recognition. Brand recognition helps companies stand out from the crowd and sets them apart from their competition. PR firms can also assist with story placement in local news, newspapers, magazines, and national news organizations, letting customers know that you are out there in the marketplace. With strategic PR campaigns, brand awareness grows and can translate into more sales. With continued PR saturation, what was once brand recognition turns into brand loyalty. One-time customers turn into repeat customers, and sales may continue to rise.

Another benefit of using a PR firm for free media is credibility. Consumers know that when a company pays money for a commercial, billboard, or web banner, they are looking at a carefully crafted image designed to get them to spend their money on the product. PR agencies work strategically to place stories in free media. Free media adds an air of credibility to a company because the company did not directly pay to get its message to the consumer. For example, a story airing on a local news station about a company’s recent good deeds in the community can give the company both brand recognition and credibility.

A skilled public relations firm with experience in the consumer packaged goods industry should be able to help you reach your goals by:

  • Increasing visibility and credibility
  • Increasing brand recognition and brand awareness
  • Strengthening customer relationships and building brand loyalty
  • Generating positive word of mouth
  • Building community relationships
  • Reducing repetitional risk
  • Meeting consumers communication needs

Strategically crafted public relations campaigns can help a CPG company connect with its target audience in more meaningful ways. Building an emotional connection between a consumer and a company is powerful. This connection can eventually translate into more sales and more repeat business for your CPG company.

During difficult times, the first thing that companies often cut from their budgets is marketing or PR. Right now, PR and marketing are the last elements of business that should be on the chopping block. The time is ripe to get your message out to invested consumers desiring authentic and sincere communication. Take this opportunity to connect with your consumer base on a deeper, more intentional level and see how it translates into a better consumer-client relationship.

If you are interested in what a PR agency can do for your CPG business, now is the perfect time to explore your options.