Is 4/20 still the best day for cannabis retail?

As cannabis retailers across the country brace for the 4/20 cannabis holiday rush, Gibran Washington is preparing for a break.

Instead of luring massive crowds with aggressive discounting and deals, the CEO of Philadelphia-based multistate operator Ethos Cannabis will close his 13 stores in Pennsylvania, Massachusetts and Ohio.

“What we’re trying to do is change the conversation around 4/20 to the plant and the connection people have to it,” Washington told MJBizDaily.

“It’s about the community and culture, and we want to allow our employees to participate in reflection about the plant instead of a rush to doorbuster sales.”

April 20 has traditionally been the legal marijuana industry’s biggest day for retail sales. But as data shows, that’s changing – and with it, an understanding of how retailers can use 4/20 to their best advantage.

From chill vibes to retail rush – the evolution of 4/20

For years, April 20 was the holiday for cannabis fans: a day to share, connect and celebrate the plant in spite of federal and state prohibition.

But after state-level adult-use legalization, big sales, crowded stores and heavy discounts become the focus. Instead of a holiday, retailers treated 4/20 as a shopping event, like Black Friday.

However, the role of the 4/20 holiday has evolved as the cannabis industry matures.

In fact, 4/20 doesn’t rank among the top 10 sales days in at least six states: New York, New Jersey, Massachusetts, Maryland, Ohio and Missouri, according to Massachusetts-based cannabis data analytics platform Lit Alerts.

Retailers in these states see higher sales than 4/20 around Christmas and on Green Wednesday, Lit Alterts found.

In fact, in New Jersey and New York, where annual sales are on track to triple this year from 2024, 4/20 doesn’t even fall within the top 100 sales days over the past year, according to Lit Alerts.

Across the country, retail cannabis sales the week before 4/20 last year were higher than the holiday itself, according to a Sweed analysis of retail data. Retailers reported that nearly 60% of the sales recorded during the total 4/20-period – roughly the 10 days leading up to the cannabis holiday – occurred before April 20.

“While 4/20 can create a surge in demand, you are often under operational pressure to meet that demand on compressed timelines and promotional pricing,” said Corey Keller, co-owner and co-founder of Colorado-based vape and edibles maker Bonanza Cannabis Co.

“We actually just end up breaking even on that side of things.”

Creativity trumps discounts for ancillary businesses

Although ancillary businesses don’t stand to gain as much from the 4/20 holiday as licensed retailers, they still use April as a marketing opportunity.

For example, rather than get lost in the holiday hype, pre-roll machine manufacturer RollPros pulled an April Fool’s prank on its customers by sending an email indicating that Netflix would release an unscripted series about the company called “Roll With It” on 4/20.

The video registered 22,000 views in a day and a half.

“It generated more traffic to our website than we’ve ever had,” RollPros Chief Marketing Officer Jonathan McFarlane said.

“4/20 really is a consumer thing, so it makes sense for retailers and brands to make a big deal.

“But we’re on the B2B side, so our messaging is not targeted toward consumers.”

The April Fool’s prank was more about making sure customers think of RollPros when they need a joint-rolling machine.

“For us, that feels like a way better use of resources and a way more effective campaign compared to what we can do on 4/20,” McFarlane said. “Being top-of-mind for our audience translates into sales.

“We can see people open the emails, watch the videos and six months later, we get an email from them or a call.”

Bringing 4/20 back to its roots – community over commerce

Some cannabis businesses want to make 4/20 less about sales and more about community and education. They’re shifting their focus to helping people connect, learn about the plant and enjoy the day together.

Ethos isn’t alone in its pursuit to bring 4/20 back to its cultural and community roots.

“With the deep commercialization of cannabis, we’re getting a bit away from the culture, community and good times,” said Matthew Janz, director of marketing with Deep Roots Harvest and The Source, which operate several Nevada retail locations.

“I think we need to get back there. We need to create fun. We need to do stuff that makes a legitimately engaging experience with the customer.”

To that end, Deep Roots and The Source, in partnership with Stiiizy, have launched Maryopoly and Cannapoly.

Customers can collect game-style currency through purchases to unlock savings and deals that can be redeemed in-store.

The games are aimed at rewarding customers throughout the month. And creating them was fun for Janz’s marketing team.

“It was a joy for my team to be able to work on something that was so unserious and joy-inducing,” he said.

“It’s about bringing that joy to the customer and to our team.”

Margaret Jackson can be reached at margaret.jackson@mjbizdaily.com.