As dispensaries are under increasing pressure to get customers thru their doors, they’re increasingly turning to mobile promotions to drive foot traffic, build customer loyalty and increase lifetime value of their customers. SpringBig has sprung forth as a leader in the loyalty promotions business for dispensaries by providing a turnkey technology platform that is already showing promise for its 110 (and growing quickly) customers
But, dispensaries weren’t always the focus of their business. In fact, they stumbled onto it quite accidentally, only after recognizing that some local dispensaries who were using the platform were among the heaviest users. Fast forward a year later and dispensaries are now their sole focus. And, it’s a pivot that’s starting to pay off nicely for SpringBig, who counts more than 100 dispensaries as customers.
No stranger to the loyalty promotions business, SpringBig was founded by Jeffrey Harris, who also founded, and serves as CEO of InteQ, a Chicago-based player in the customer loyalty space for large consumer brands and retailers like Reebok and Sony. According to Harris, the same kinds of promotions are having a big impact on marijuana dispensary sales.
“On average, the dispensaries are experiencing a 20% lift in sales when using SpringBig as a promotional channel,” explained Harris. “There is no doubt that the most effective way to reach these customers is thru their mobile phones.”
SpringBig is making their technology easily accessible to dispensary owners in several ways. First, all they require is a customer’s phone number (no personal identifying information is needed). Dispensaries also like the pay-for-use model, as no up-front investment is required. Dispensaries simply pay for each txt message they deliver. At pennies or less a message and nearly 100% open rate, it’s proving itself an extremely effective customer touch point. Harris points out that the average customer list for dispensaries is around 2,500, and growing quickly.
The Internet-based (SaaS) platform makes it very easy to upload and store a list, create, launch, and track a campaign. And they support three different types of loyalty campaigns:
Points – accrue points for every dollar spent
Visual Punch Card – buy 10 get one free
Visit Programs – rewarding customers for every visit to the store
SpringBig is starting to integrate directly with dispensary POS systems, providing greater visibility and insights into the promotions. The company is partnering with some of the larger retail systems to deliver even more closely integrated campaign management and tracking. By focusing on strategic partnerships, and investing in product integration, SpringBig believes its real growth is yet to come.
“We’re very partner friendly,” declared Harris. “We help dispensaries enhance customer retention, strengthen brand loyalty and drive incremental customer engagement. We let the partners do what they do best, and the exchange of data helps everyone be more effective,” added Harris.
Whether it be a points system, buy-ten-and-get-one-free punch cards, or repeat visit programs, SpringBig is building loyal customers one txt message at a time.