Cannabis consumer demographics have evolved and it has impacted brand strategy.

Cannabis Consumer Demographics and Market Evolution

Author: Joy
Date: November 21, 2024

In a recent Qredible Live webinar, design expert Ian Peterman shared insights about how cannabis consumer demographics have dramatically shifted over the past decade and what this means for industry brands. As founder and CEO of Peterman Design Firm, Peterman brings over 15 years of professional design experience working with companies across various regulated industries, including CBD, cannabis, and food products. His expertise reveals how the cannabis industry is experiencing a fundamental shift in its consumer base, requiring brands to rethink their approach to product development, marketing, and design.

From Niche to Mainstream

"It's a once-in-a-lifetime event to see a whole new industry appear and blossom and grow," notes Peterman. Unlike established sectors such as coal or steel, we're witnessing the real-time evolution of cannabis from a specialized market to a mainstream consumer goods industry. This unprecedented growth presents unique opportunities for brands who understand how to navigate it while posing significant challenges for those still operating under outdated market assumptions.

The Early Cannabis Consumer Profile

A decade ago, cannabis marketing centered exclusively around budtenders and master growers who served as primary influencers. "In the beginning, it was the person, the budtender, the bud masters growing it, it was all centered around them because their demographics were you had to be really into it beforehand," Peterman explains. These early consumers demanded detailed technical knowledge about strains, growing conditions, and product specifications. Marketing focused heavily on comparing new strains to existing ones because consumers needed that frame of reference to make purchasing decisions.

Today's Cannabis Consumer

The modern cannabis consumer represents a dramatic shift from the past. "Now the average consumer of it is not the person who smoked a bunch, it's people that have very corporate jobs, they're parents, they're people that you would never have seen them touch it 10-15 years ago," Peterman observes. These mainstream consumers approach cannabis products with fundamentally different priorities and expectations.

Understanding Modern Consumer Needs

Contemporary cannabis consumers seek straightforward information rather than technical details. As Peterman notes, "They don't care what kind of soil you grew it in, what they want to know is what does it do, what are the benefits, where can I buy it, how much is it, is it cost-effective?" This shift requires brands to completely reimagine their communication strategies and product presentations.

The Technical vs Consumer Divide

Peterman draws an illuminating parallel with the audio industry: "If you look at other markets like audio, there's that level of audio engineer - they've spent 20 years in the space, they went to school for this. If you look at the audio market as a whole, that's like 2%." This comparison highlights how brands must adapt their marketing to reach the broader consumer base while maintaining product quality.

Brand Evolution Requirements

"We have this 98% of the market that wants the Bose speaker - they just buy it, and it connects to their phone and it works," Peterman explains. Similarly, cannabis brands must evolve from technical-focused messaging to consumer-friendly communication. This shift requires careful attention to packaging design, user experience, and clear benefit communication.

Regulatory Navigation and Design

The evolution of consumer demographics coincides with strict regulatory requirements. Brands must balance compliance standards with appealing design elements, including child-resistant packaging, proper labeling, and state-specific regulations, all while maintaining a brand identity that resonates with mainstream consumers.

Market Education and Growth

"We're still in educating some but we're having people where this is our first time still," Peterman notes. The market continues expanding as more states recognize cannabis's economic potential through tax revenue. This ongoing growth drives further normalization and attracts an increasingly diverse consumer base requiring thoughtful education and guidance.

Strategic Adaptation for Success

Success in today's cannabis market requires brands to embrace the shift toward mainstream consumers while maintaining product integrity. Peterman emphasizes that brands must bridge the gap between someone who knows nothing about cannabis products and the experienced user, creating accessible products that appeal to modern consumers without alienating knowledgeable enthusiasts.

Moving Forward

The cannabis industry shows no signs of slowing. As the market matures, brands must stay agile and responsive to changing consumer needs while maintaining compliance and product quality. This balance of accessibility, compliance, and quality will define the successful cannabis brands of tomorrow.
 

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