How to Design a Customer Loyalty Program That Actually Keeps Cannabis Customers Coming Back

In cannabis retail, building loyalty isn’t easy—and keeping it is even harder. With fierce competition, constant price wars, and increasingly discerning consumers, dispensaries must do more than offer discounts to win repeat business. So, how do you design a customer loyalty program that actually works?

Sandra Bergman, Founder of ESBE, has helped dispensaries across 14 states optimize their loyalty strategy. Her team has built loyalty ecosystems that connect with customers at more than 20 touchpoints throughout their journey—delivering up to a 50X ROI. The key? Intention, simplicity, and strategy.

Here are Sandra’s most effective tips for designing a dispensary loyalty program that builds real retention, deeper relationships, and sustainable growth.

1. Keep the Rewards Structure Simple—But Meaningful

One of the most common mistakes dispensaries make is overcomplicating their loyalty program. Too many tiers, too many exclusions, or unclear redemption rules all lead to one thing: confusion.

Instead, design a program that’s easy to understand and naturally encourages progression. Sandra recommends keeping it to no more than five reward levels. Three to five well-structured tiers offer clarity while motivating customers to move up.

Avoid flat rewards like “5% back on everything” across 10 different levels. That structure doesn’t create a sense of excitement or exclusivity. Instead, make each level feel like a step forward—with tangible, increasing value at each milestone.

Examples:

• Level 1: $5 reward after 3 visits
• Level 2: 10% off select products + birthday gift
• Level 3: Invite to exclusive product drops or events

The key is to balance accessibility with aspiration. Make it rewarding to engage early, but desirable to keep climbing.

2. Go Beyond Transactions: Offer More Ways to Earn

Rewarding purchases is expected. But if that’s the only way to earn points, your customers may disengage between visits. To create real loyalty, offer value for all interactions with your brand—not just sales.

A few ideas:

• Referrals: Let customers earn points or discounts by bringing in friends.
• Community support: Offer bonus points for charitable donations or volunteering.
• Engagement: Reward product reviews, app downloads, survey completions, or even social shares.

The more opportunities customers have to participate, the more they feel connected. And the more they engage, the more your brand becomes part of their routine.

3. Use Experiential Rewards to Stand Out

Discounts have a ceiling. Experiences, on the other hand, build emotional resonance.

Experiential rewards create a connection that goes beyond transactions. Whether it’s a backstage pass to a local concert, a seat at an infused dinner event, or early access to a product drop, customers remember how you made them feel.

Look for ways to collaborate with local businesses, community events, or sports teams. These partnerships:

• Strengthen your brand’s community presence
• Attract customers who care about local culture
• Offer exclusive perks that competitors can’t match

As Sandra says: *”People remember experiences. And when they associate those experiences with your brand, they’re more likely to stay loyal.”

4. Personalize Campaigns for Every Stage of the Customer Journey

Many dispensaries rely on static loyalty tactics: welcome emails, birthday rewards, and occasional win-back discounts.

That’s a start—but it barely scratches the surface.

To design a loyalty program that drives real retention, you need personalized campaigns at key customer milestones. Think about the journey:

• First-time shopper
• Second or third visit
• 6-month anniversary
• Customer has gone quiet for 60+ days

Each stage is an opportunity to send timely, relevant messages that drive repeat visits and deeper engagement. With Alpine IQ and ESBE, these messages can be fully automated and behavior-triggered.

Examples:

• “Thanks for your third visit! Here are 100 bonus points and our staff’s top pick for your next try.”
• “It’s been a while! Your 500 points are still waiting. Here’s something new to check out.”

The beauty? These campaigns run in the background—but feel like 1:1 communication.

5. Prioritize Seamless, On-the-Go Loyalty Access

The best loyalty program in the world won’t perform if it’s hard to use.

Modern customers want to track, redeem, and engage on their terms—which means your loyalty program needs to work on mobile.

By integrating Alpine IQ with a custom dispensary app, your customers can:

• Track points in real-time
• Get push notifications for exclusive offers
• Discover events, new arrivals, or referral bonuses
• Redeem rewards directly through the app

This reduces friction and puts your program directly in their pocket. Plus, app users tend to be more loyal and higher spending than non-app customers.

Bonus: Test, Optimize, and Iterate

Loyalty isn’t a “set it and forget it” strategy.

Designing the program is just step one. From there, you need to analyze behavior, watch redemption trends, and continuously optimize.

Some questions to ask regularly:

• Which rewards are getting redeemed most (or least)?
• Are certain reward tiers being ignored?
• Are SMS messages or emails driving more engagement?
• Is the timing of automated campaigns aligned with actual shopping patterns?

ESBE handles this analysis for clients as part of their full loyalty management service—ensuring that campaigns evolve based on real data, not assumptions.

Why ESBE Is the Loyalty Partner Dispensaries Trust

There are plenty of cannabis loyalty tools out there. But tools alone aren’t strategy.

ESBE combines deep industry knowledge with powerful software like Alpine IQ to help dispensaries:

• Design loyalty programs from scratch
• Customize reward structures based on customer behavior
• Launch automated campaigns tied to 20+ lifecycle touchpoints
• Deliver smooth mobile experiences that increase retention
• Optimize over time for consistent growth

Sandra and the team understand what actually moves the needle—because they’ve seen it in practice across hundreds of campaigns.

Final Thoughts: Design With the Customer in Mind

So if you’re wondering how to design a customer loyalty program that works…

Start with simplicity. Add in strategic personalization. Incorporate emotional, experience-based rewards. And make it easy to engage from anywhere.

Because when loyalty is built intentionally—and delivered seamlessly—it becomes more than a program. It becomes a relationship.

Want expert help designing your dispensary’s loyalty program from the ground up?

📢 Contact ESBE to unlock the full power of loyalty marketing.