Social Media Advertising

Paid vs Earned Media: What’s The Deal?

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Consumer brand communications hinges on one core goal: getting in front of the right audience. However, for many businesses, this rarely surpasses the stage of paid media marketing. Could this be due to the fact that many companies feel out of their depth when it comes to strategically navigating the space beyond paid media coverage? An example is the perplexity around common marketing terminology like paid and earned media. So paid vs earned media, what’s the deal?

Although this may seem like semantics to some, the reality is that earned media coverage, specifically from reputable or industry-specific journals, carries unparalleled weight in the eyes of potential clients, partners, and investors. Although this doesn’t negate the power of paid media, businesses can’t afford to cast it in the same bucket and ignore its strategic brilliance.

In this piece, we’re looking at the difference between ‘earned’ and ‘paid’ media and how understanding the unique characteristics of each can help elevate industry visibility, drive growth, and craft compelling narratives that help consumer brands excel over competitors.

What is paid media?

Paid media refers to marketing or advertising forms that companies pay for directly. The exposure is purchased. Although it’s often considered low-hanging fruit, it remains an essential staple of a healthy, balanced PR and content strategy.

One of the key differentiators between paid and earned media is that in paid media, businesses control some elements, including content (which is often still editorially approved). Still, it varies from advertising spots in that there are no variables for targeting or reach criteria. However, because it’s paid content, you know the piece will run. Once approved, it’s guaranteed. Formats include media types such as sponsored posts, native ads, and, sometimes, social influencer campaigns.

This makes it particularly great for establishing a startup brand. Paid media excels in providing context and awareness, especially when running paid ad campaigns alongside sponsored content.

Almost all successful consumer brands have some sort of paid media campaigns and purchase exposure to help reach a wider audience and increase their brand visibility. Today’s readers understand sponsored content; they accept it when the content is good, but they also understand it differs from earned media coverage. Why? Sponsored content lacks one key area: trust.

Enter earned media.

What is earned media?

Earned media is essentially any third-party-generated media coverage, publicity, content, or conversation around your brand (that’s not paid for). Think of earned media as the digital form of ‘word-of-mouth’ marketing, except the conversation comes from significant industry thought leaders and authoritative lenses, making it far more trustworthy than traditional advertising or paid content. Naturally, this can have a considerable impact on your marketing efforts and increase consumer brand recognition.

This type of media coverage refers to the exposure, validation, or recognition a brand receives from an impartial third party. Traditionally, earned media existed in the shape of news outlets or interviews. However, it can come in many forms in today’s landscape, such as thoughtfully crafted press releases, expert commentary, bylined articles, reviews, and media shares.

The catch? Achieving valuable earned media coverage doesn’t happen overnight.

Building brand trust is a marathon, not a sprint. Although you can do short-term PR campaigns based on seasonality or product launches, the most valuable ROI-driven PR comes from consistency.

The value of earned media

Inarguably, earned media creates the highest trust between your brand and your ideal audience. It’s sincere, credible, and authoritative. How? Ultimately, earned media relies heavily on successful narratives to third parties. To do this, businesses must establish credibility, trust, and working relationships with journalists, bloggers, and other third parties – and PR firms make that introduction much easier. However, journalists will need to see brands “do as they say” before they trust the brand enough to include them in a story or write a story about the brand. Needless to say, this doesn’t happen overnight and, despite best efforts, can yield little results without professional guidance and support. Still, this limitation isn’t enough reason to remove the value of earned media from your communications plan.

Although ‘earned media’ requires more work (more consistently) – it doesn’t have to be your job.

Which is why we’re here.

Earning the victory with Avaans media

At Avaans Media, we understand that in a competitive environment, not all businesses have the time and resources to commit to a long-term PR engagement.

That’s why we’ve created PR sprints that boost our clients towards earned media victory.

Think fast-moving tactics and fast results.

Our sought-after PR sprints are specifically designed for businesses in the consumer product space, including CPG and consumer tech, that want us to introduce their products to our deep well of media contacts for earned media opportunities.

Get instant visibility and credibility and start introducing your products to the press with our short-term product PR program.

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The Role of PR for Consumer Products

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The landscape of consumer marketing and PR is perpetually shifting, with the direct-to-consumer (DTC) models marking one of the most significant trends in recent years. This model, particularly within the consumer packaged goods (CPG) sector, has transformed how brands connect with and sell to customers. By bypassing traditional retail channels, DTC CPG companies are reshaping consumer expectations and experiences. Integral to this transformation is the role of public relations.

As a cornerstone of communication strategies, PR helps DTC CPG brands build an image, communicate with audiences directly, and craft narratives that resonate in a crowded marketplace.

Understanding the nuances of DTC CPG public relations is essential for startups and established brands alike. This blog aims to provide a comprehensive guide to this dynamic field, offering insights into its history, what it entails, the benefits, and current trends, including the recognition of top consumer PR agencies and the impact of accolades like the Inc. Power Partners Awards.

The History and Evolution of Consumer Public Relations

Historically, consumer public relations revolved around garnering media attention for products typically found on retail shelves in various departmental stores. Brands would strive to secure coverage in print media, television, and, more recently, digital platforms to influence consumer behavior. The aim was to boost visibility and credibility through third-party endorsements from the media.

However, over the years, as the DTC model has risen, the focus of consumer product PR has expanded heavily. Now, it’s not just about getting a product mentioned in the online or offline media; it’s more about forging a direct line of communication and trust with consumers, fostering a community around a brand, and using storytelling to differentiate products in a saturated market.

The evolution of PR in the CPG sector is closely linked to the emergence of the DTC model. As technology advanced, it provided an opportunity for brands to sell directly to consumers online, bypassing traditional retail middlemen. This DTC approach offered numerous benefits, including greater control over brand messaging, direct customer feedback, and higher profit margins.

Key Components of Consumer PR

  • Media Relations: Securing coverage in both traditional and new digital media.
  • Influencer Partnerships: Collaborating with influencers to tap into their follower base.
  • Content Marketing: Creating valuable content that resonates with the target audience.
  • Social Management: Engaging and managing the overall brand image on social platforms.
  • Crisis Management: Preparing for and responding to any negative issues or press.

The Role of Public Relations for Consumer Products

The public relations model for DTC CPG brands offers a myriad of benefits, altering how these brands approach marketing and customer engagement. From the control of branding to the nimble response to market shifts, DTC CPG PR paves the way for a more intimate brand-consumer rapport.

Enhanced Brand Control

DTC operations empower brands with unprecedented control over their narrative. This autonomy in branding and messaging ensures that the public image remains undiluted. Direct sales to consumers eliminate intermediaries, granting DTC brands the authority to craft their reputation with precision, aligning every campaign and communication with the brand’s ethos and long-term strategic vision.

Customer Data Insights

The DTC approach facilitates direct communication, yielding rich customer data. This data is the lifeblood of targeted PR campaigns, offering insights into consumer behaviors. Leveraging this information means PR initiatives can be exceptionally tailored, ensuring that every message resonates deeply with the intended audience and increasing campaign efficacy and consumer engagement.

Agility and Flexibility

The agility afforded to DTC CPG companies is unparalleled. They can pivot with alacrity, adapting PR strategies in real time to address market fluctuations or consumer sentiment shifts. This responsiveness is invaluable in maintaining relevance and momentum in the fast-paced CPG landscape, ensuring that PR efforts remain aligned with current trends and customer expectations.

Authentic Customer Relationships

The cornerstone of DTC PR is forging genuine connections with customers. Engaging consumers directly not only personalizes their experience but also cements long-standing relationships for years to come. These authentic interactions are a fundamental component of successful PR, as they foster trust and loyalty, which are critical in converting one-time buyers into lifelong brand advocates.

The Role of Top Consumer PR Agencies

Top consumer PR agencies play a pivotal role in shaping the success of DTC CPG brands. These agencies specialize in understanding consumer behavior and crafting messages that connect with target audiences. They also have the expertise to navigate the digital landscape, where much of the DTC interaction takes place. Moreover, recognition through reputed platforms such as the Inc. Power Partners Awards (IPPA) can catapult a public relations agency to the forefront of the industry.

Consumer Marketing Trends and Influence on PR

As the DTC CPG sector evolves, so do the marketing trends that shape it. PR strategies must adapt to these CPG Marketing Trends to stay effective. Some current trends include the following:

Personalization

In the era of data-driven marketing, personalization has become the linchpin of customer engagement. Brands that harness consumer data to tailor communications see a substantial increase in connection and conversion. Personalized PR campaigns resonate more deeply, resulting in a more meaningful dialogue between brand and consumer and fostering a sense of individual attention.

Sustainability

Now more than ever, consumers demand transparency and responsibility from brands. A commitment to sustainability is not just ethical but also resonates with the values of a growing eco-conscious audience. Effective PR strategies communicate this commitment, demonstrating a brand’s dedication to sustainable practices and its role in driving positive environmental change.

Technology Utilization

Innovative technology such as Augmented Reality (AR), Virtual Reality (VR), and Artificial Intelligence (AI) are transforming brand experiences. By integrating these technologies, PR campaigns offer immersive experiences. This showcases a brand’s innovation and modernity, creating memorable interactions that can elevate the consumer’s journey and deepen brand affinity.

Community Building

Building a community goes beyond transactional relationships; it cultivates a sense of belonging among consumers. When CPG brands focus on community building, they nurture brand advocates and create a loyal customer base. PR strategies that encourage community engagement contribute to a supportive ecosystem where loyalty is strengthened, and consumer insights are gleaned.

Steps to Build a Successful Consumer PR Strategy

In the fast-paced world of DTC CPG brands, an effective PR strategy is a crucial component for success. It requires careful planning and execution. Here, we outline the fundamental steps necessary to construct a PR strategy that resonates with your audience and amplifies your brand message.

Define Objectives

Setting clear objectives is the compass that guides your PR campaign. Goals should be specific, measurable, achievable, relevant, and time-bound (SMART). This provides direction for all PR activities, ensuring that every effort is aligned with what the brand actually aims to accomplish, whether it’s increasing brand awareness, launching new products, or entering new markets.

Understand the Audience

Grasping the nuances of your target audience is crucial. Believe it or not, this basic understanding goes beyond demographics to psychographics – the interests, behaviors, and preferences that define them. Knowing your audience informs the tone, content, and direction of your PR messaging, ensuring that it resonates on a deeper level and genuinely connects with those you aim to reach.

Craft the Message

A compelling message is the heartbeat of your PR strategy. It should encapsulate your brand values, emphasize your ethos, highlight your unique selling propositions, and speak directly to consumer interests. This message must be consistent across all platforms yet adaptable enough to remain relevant in various contexts and formats, ensuring it engages and inspires action and drives results.

Choose the Right Channels

Selecting appropriate channels is critical to ensuring your message reaches your intended audience. This decision should be informed by where your audience is most receptive to communication. Whether it’s engaging through social media, targeted email campaigns, influencer collaborations, or traditional media outlets, choosing the right channels maximizes the impact of your PR efforts.

Measure and Adapt

The only way to gauge the success of a PR campaign is through diligent measurement. First things first, utilize analytics to track reach, engagement, and conversion. This data provides insights into what’s working and what isn’t, allowing for real-time adjustments. Adapting your strategy based on these metrics ensures continuous improvement and a greater return on your PR investment.

Launching a CPG Startup with Effective PR

Launching a CPG startup in the DTC space requires a robust PR strategy. Therefore, startups must establish a strong brand identity, create buzz around their product launches, and maintain momentum through sustained PR efforts. Key considerations for a CPG startup include:

Budget Efficiency

For a CPG startup, it’s essential to craft a PR strategy that delivers maximum impact without overstretching financial resources. This means identifying cost-effective methods, such as leveraging organic social media reach or securing earned media coverage, to build brand awareness. Efficient budgeting can lead to significant returns on investment, driving growth even with limited funds.

Media Savviness

Gaining media attention is pivotal for a CPG startup. It’s about crafting stories that resonate with journalists and their audiences. With resources often limited, startups must be cunning, using newsworthy angles and timely pitches to break through the noise. Understanding the media landscape is critical to securing coverage that can catapult a brand from obscurity to recognition.

Digital Focus

A digital-first approach is indispensable for a CPG startup looking to make waves in the DTC sector. This involves a strategic presence on social media, content marketing, and influencer partnerships to amplify reach. Focusing on digital allows for detailed targeting and analytics, enabling startups to efficiently reach and engage with the desired audiences and track the success of their campaigns.

Challenges and Opportunities in DTC CPG Public Relations

While consumer PR presents many opportunities, it’s not without its challenges. Some include:

  • Necessity of holistic storytelling that resonates on multiple levels.
  • Imperative for unparalleled customer service that bolsters public perception.
  • Critical need for efficient logistics to fulfill customer expectations.
  • Essential management of customer data to tailor and refine PR efforts.
  • Immense growth opportunities for those who skillfully navigate the PR landscape.
  • Potential for deepened brand affinity through effective communication and engagement.

The Future of DTC CPG PR

The horizon of DTC CPG PR is expected to shimmer with innovation as brands leverage cutting-edge technologies to enhance consumer engagement. Virtual reality (VR) and augmented reality (AR) will transform brand storytelling, offering immersive experiences that could deepen emotional connections with consumers, turning casual browsers into loyal and vocal brand ambassadors.

On the other hand, as data analytics become increasingly sophisticated, DTC CPG PR strategies will likely become more personalized, predictive, and preemptive. PR campaigns will be crafted using insights gleaned from big data, enabling brands to anticipate consumer needs and trends, thereby delivering relevant content that resonates with the target audience at just the right moment.

Finally, sustainability and authenticity will become the cornerstones of future DTC CPG PR efforts. Consumers are gravitating towards brands that not only talk the talk but also walk the walk in terms of ecological and social responsibility. Transparent and genuine public relation narratives that align with a brand’s ethical actions will foster ultimate trust and loyalty in a competitive market.

To conclude, DTC CPG public relations represents a dynamic and integral facet of brand strategy in the modern marketplace. From the strategic insights provided by top consumer PR agencies to the innovations recognized by the Inc. Power Partners Awards, the field is both challenging and rich with opportunity. As CPG marketing trends continue to evolve, so too must the approaches to consumer product PR. At the end of the day, for any notable brand, particularly a CPG startup, navigating this space with a strong and adaptable PR strategy can make all the difference.

Elevate Your DTC CPG Brand with Avaans Media’s Expert PR Services

For emerging industries and hyper-growth companies looking to navigate the complexities of DTC CPG public relations, partnering with an experienced agency can be transformative. Avaans Media stands out as a top-rated, award-winning PR agency with an executive-level team of big thinkers whose eye for detail provides exceptional results. So, what’s stopping you? Contact us today.

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How Much Does a PR Agency Cost?

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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.

 

But what if you’re an ambitious company looking for PR to take you to the next level?

In 2023, PR hourly billing rates looked like this: 

PR Agency CEOs: $439/per hour (up from $417/hour in 2020) 
PR Agency EVPs billed an average of $381/per hour (up from $319 in 2020)
PR Agency Senior Account Execs billed an average of $333/hour (up from $319 in 2021)
PR Agency Account Managers: $257/hour (up from $256/hour in 2020) 

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 on marketing.If you’re looking to dominate, your budget should be higher. 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.

Ambitious startups typically allocate between 12-17% of revenues to marketing.

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.

It’s safe to say that if your PR team has executive PR experience, and your agency spends an average of 45 person-hours per month on your account, your monthly retainer will be around $14,400 per month. It could be less if your team is more junior. If you require more executive hours, your fees could go up. 

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 for PR is the agency itself; the people on the account. This makes sense because, unlike programmatic ad spending (a typical minimum is programmatic spend is $25,000/month), PR agencies rarely have minimum spend or activation fee requirements outside their retainers.

 

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. 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 annually, don’t hire an agency, hire a freelancer.

Odwyer PR’s annual report shows rates increased considerably in 2019, 2020, 2021 and 2023, so if your agency didn’t raise its rates during those year, you’re fortunate, but if you’re shopping, the current rates may come as a surprise; but PR Rates are expected to flatten out in 2024, so while there will be modest increases in 2024, they won’t be the big jumps we saw in the last four years.

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 specializes 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.

 

(sources: Odweyer PR)

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Social Media Influencers: When To Disclose

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Updated FTC Guidance on Influencer Marketing Disclosure

Updated July 13, 2023

 

The FTC’s job is to preserve consumer trust. When the FTC adds clarity to its regulations, the purpose is usually to make the guidelines more clear, and therefore easier to follow.

This is an important announcement if you use influencer marketing or consumer reviews.

The updated FTC guidance covers:

1) articulating a new principle regarding procuring, suppressing, boosting, organizing, publishing, upvoting, down voting, or editing consumer reviews so as to distort what consumers think of a product; 2) addressing incentivized reviews, reviews by employees and fake negative reviews of a competitor; 3) adding a definition of “clear and conspicuous” and saying that a platform’s built-in disclosure tool might not be an adequate disclosure; 4) changing the definition of “endorsements” to clarify the extent to which it includes fake reviews, virtual influencers, and tags in social media; 5) better explaining the potential liability of advertisers, endorsers, and intermediaries; and 6) highlighting that child-directed advertising is of special concern.

 

 

You can read about the announcement here:

FTC updated guidance on deceptive reviews 

 

May 9, 2017:

Because of continuing conversations with colleagues, brands, and influencers, I wanted to put some guidelines together for based on the FTC’s native advertising guidelines or influencer disclosure.

The FTC has shot some arrows over the bow in the last several years regarding native advertising disclosure, including calling out Warner Bros. and Lord and Taylor.

In both cases, the brand was held liable, not the influencers or content creators, strongly signaling that it’s the brand’s responsibility to ensure disclosure. But, the FTC native advertising guidelines make it clear: ” …the FTC has taken action against other parties who helped create deceptive advertising content – for example, ad agencies and operators of affiliate advertising networks.  Everyone who participates directly or indirectly in creating or presenting native ads should make sure that ads don’t mislead consumers about their commercial nature.”

Basically, no one is off the hook.

As if by magic, the FTC slapped 45 celebrity influencers with warning letters but didn’t forget to include their agents and the brands – in total 90 letters were issued about the FTC native advertising guidelines. It’s safe to say this isn’t going away. It’s always been best practice, but if you didn’t take it seriously before, it’s time to do so now.

My view is this: disclosure and transparency are good for all.

A brand should have no shame about showcasing its products and experiences in a real life scenario. Influencers shouldn’t have shame either, because working with a brand is a badge of honor. It’s a real compliment to a community that a brand values their eyeballs. If you’re ashamed of working with a particular brand or influencer, perhaps you’re working with the wrong partner.

Often times when I have conversations about disclosure with brands and influencers, I get questions like “what if…we do….”

Whether you are a brand or an influencer, if you’re asking questions about how to get around these guidelines, you’re on the wrong track. The guidelines make it very clear: make it obvious to an uneducated viewer that there is a material relationship (basically, anything which might effect the outcome of the endorsement). Influencers are often concerned about “selling out” their community. As an influencer, if you’re making a living from your community with native advertising and you’re not disclosing those relationships, you’re REALLY selling them out.

The Edelman Trust Barometer makes it clear: trust is in crisis. 

Establishing trust and adhering to guidelines is necessary for native advertising and influencer relations to continue. If trust is eroded the FTC guidelines won’t be at fault for the collapse of social native advertising.

So here are the guidelines based on reading hundreds of pages including all of the FTC links provided below.

When do social media influencers need to disclose a relationship with a brand?

Always.

Does this apply to me?

Yes.

Why does it matter?

The FTC says it does.
Consumer trust is important to all of us. 

How do I disclose?

Make it “clear and conspicuous” and leave no doubt.

If you want to read through the FTC’s own words on this:

FTC Native Advertising Guideline Resources

.com Disclosures (2013)

Native Advertising: A Guide For Business

FTC Endorsement Guidelines: What People Are Asking (2015)

The Lord & Taylor Disclosure Case-FTC Blog (2015)

The Warner Bros Disclosure Case-FTC Blog (2015)

Enforcement Policy Statement On Deceptively Formatted Ads (2015)

 

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Michael Rosenfeld Cannabis Advertising Expert

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Meet Michael Rosenfeld VP of Business Development at Cannavu. Michael is a cannabis advertising expert with the marketing chops to back up all his advice.  Michael’s passion for brand building has been a career-long journey that made him into the cannabis industry advertising expert he is today.

 

First, a little background about Michael:

Since my youth, I’ve always loved awesome branding.

I think it started in my skateboarding days when the coolest skaters had the most awesome board designs and shapes. That passion to create visceral experiences guided me to marketing, advertising, and media where over the next 20 years I worked with brands from Apple to SEGA, FOX Sports, MTV, Beats by Dre to the Viceroy Hotel Group, and a ton of action sports labels.
Today I take that passion and experience in integrated media and work with client companies to create smart campaigns that best position them to attract the right customers authentically.
And though I don’t skate anymore, I do love going into skate and surf shops just to see what ‘the cool kids’ are staring at.

What were you doing prior to cannabis?

I have been in advertising and media for 20 years, working as a lead strategist and head of sales for agencies serving brands in fashion, action sports, entertainment, hospitality, and consumer tech.
As an agency owner and consultant, I love working with brands (and the people that guide them) to improve their chances for success.

When did you first start working in cannabis?

Since going to college up in San Francisco in the early 90s you can say Ive worked on-and-off in cannabis. But I officially began in this new legal-cannabis generation in 2019 when I became the Head of Sales and Strategy for CannaVu, at the time, the largest digital ad platform serving cannabis and CBD marketers.

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

Not currently.
Formerly Strategic Advisor to ALTRD.TV, and Industry Council member of WeedWeek.

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

Building a brand that people love takes time and effort. The authenticity of a ‘core’ brand can’t be bought, it must be lived, and earned.
With the meteoric rise and interest in the cannabis industry countless companies have entered the market, and too many of them rush to market without understanding how important building a brand really is, and how much work is really required.

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

I’m really excited about the new technology we’re bringing to the category that revolves around dispensary visitor data. Being able to identify traits of customers that visit one dispensary over another and how to market each type with accuracy.
These insights will enable us to build audience segments we can then market to with more intent and authenticity.

 

What’s the biggest misconception cannabis companies have about branding, advertising, marketing, PR, and social media?

The biggest misconception, or rather, misstep, by many brands is thinking that if you build it (or grow it) they will come and that advertising/media is not important in building brand awareness.
Cannabis has evolved from a retail sales experience to an industry that requires a digital presence, so it is very important to have a strong digital experience and support it w a digital media strategy to help create awareness, and sales. As customers become more interested and research brands and dispensaries before they purchase, they are being hit with competing brands advertising. Make sure you’re playing at the same level to capture those hearts and minds as they surf the web looking for the new product.

 

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

One of the biggest challenges for brands in cannabis is the lack of ‘traditional’ methods to advertise and be discovered. We are unable to buy Facebook ads, or PPC/SEM, or run fun direct social media programs without the potential of being flagged and removed from the platform. So we are forced to put together campaigns that don’t have the level of targeting and scale non-regulated industries have the luxury to use.
This, coupled with state-by-state differences in compliance makes for confusion amongst brands and their advertising partners.

What will get easier in cannabis marketing/branding/pr, what will get harder?

Things become easier as brands mature, and marketers learn to navigate w the tools available, as advertising platforms merge to offer integrated solutions that capture customers at awareness and reconnect w them down the ‘funnel’ to purchase creating predictable ROAS.
However, compliance, competition, education, market maturity, or lack thereof will still mean that brands have headwinds to deal with when wanting to run effective campaigns to grow and scale.

What can companies do to alleviate their branding/marketing/PR/advertising challenges?

As the industry matures, working with experienced and knowledgeable branding, advertising, and PR partners will be key to success.

 

In your view, what is the most underrated tool in the branding/marketing/advertising/PR toolbox for cannabis companies?

The most underrated tool is Retargeting.
Companies spend a lot of money to drive customers to a site, social tactics, PR, dis[play advertising, email marketing, but very few are implementing a retargeting line to drive them back.
Lest then a 1% of customers buy in the first site visit. You need to re-message them to remind them you exist and come back to your site.
Another underrated tool is building your SEO. People naturally go to ‘search,’ yet not all companies are versed in best use-case seo tactics.

In your view, what is the most over-rated tool in the branding/marketing/advertising/PR toolbox for cannabis companies?

Social Media, namely Instagram.
Spending time creating content to get banned, or shadow banned.
Looking at vanity metrics to see engagement, but do these customers actually live in your area? Are they destined to buy? Social is so transient that very few brands are making money w social media posts.

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

Know your market, your competitors, your true customers, and then work with someone that truly knows how to build a plan to help you grow sales and awareness based on your stage and position in the market.

What’s your advice for people who want to get into cannabis marketing/advertising/pr/branding?

Learn from people that have done this before so you know what you can do, and then do it better.

 

Thanks, Michael, you really are a cannabis advertising expert.

How can people get in touch with you?

My personal site
My business site
My LinkedIn

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Melinda Adamec of Gabriel Marketing Group

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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.

 

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