The American retail sector is experiencing a structural shift and redefining how consumer packaged goods brands and retailers approach advertising and marketing. Advanced technologies like artificial intelligence (AI) and the internet of things are fueling the rise of “smart stores,” bridging the gap between online and in-store shopping. From AI-powered shopping assistants and scan-to-shop technology to holographic displays, kiosks, and connected TV (CTV), companies are building retail media networks that create new, trackable advertising opportunities. These innovations provide brands access to more of a retailer’s rich first-party data, enabling precise audience targeting and real-time measurement of ad performance throughout the customer journey.
For dispensaries, this shift represents a way to enhance the shopping experience and offers a lucrative new revenue stream by providing brands an omnichannel advertising platform for connecting with consumers.
Dispensaries may benefit from the rise of retail media networks more than traditional stores. With mainstream advertising channels like Google, Meta, and linear TV still out of reach due to federal restrictions, cannabis retail brands face significant hurdles in traditional marketing. Moreover, state-by-state legalization limits companies to operating only within their local markets, diminishing the need for costly national campaigns. This makes retail media networks an ideal solution by providing hyper-localized advertising options that capably address the industry’s regulatory and geographic challenges.
Cutting-edge tools retailers can leverage to enhance the shopping experience while collecting and utilizing valuable first-party data are just beginning to appear. AI-driven capabilities allow for dynamic, personalized promotions that engage consumers as they shop, fostering stronger connections between shoppers and ads. Brands now can integrate their advertising across retailers’ ecosystems—through e-commerce platforms, mobile apps, and physical stores—while benefiting from digital tracking’s transparent, real-time performance metrics.
AI-powered shopping
Businesses commonly use AI in the form of customer service chatbots or to provide personalized recommendations and improve e-commerce searches, but AI is making its way into the retail setting. Google Shopping made the move with Google Lens, an app that lets you snap a picture of a product and instantly discover where to buy it, compare prices, and check inventory—all in real time.
AI-assisted shopping is particularly useful in the cannabis industry because of the newness of consuming the plant in an edible, beverage, or vape format and the unfortunate relative scarcity of relevant science. Most people grapple with understanding cannabinoids and their benefits, the differences between manufacturing processes, and the dizzying number of strains in the marketplace.
While journaling and product-matching apps have struggled to gain traction as standalone platforms, some developers are finding success now by integrating their software within dispensary ecosystems. This new strategy allows apps to leverage dispensary infrastructure and create a more robust shopper experience.
One standout example is Jointly, an app that has been refining its platform since 2018 by partnering with dispensaries. Jointly enables users to track their cannabis consumption, providing rich data insights into what products and combinations work best for various goals. “We gather consumer insights on what’s effective for users and share that knowledge with others to help guide their product selection,” said Chief Executive Officer David Kooi. By harnessing the data, Jointly offers dispensaries a suite of AI-powered tools, including a virtual budtender for websites and kiosks and a budtender sales assistant, benefiting both the consumer experience and dispensary operations.
Jointly’s virtual budtender lives on the dispensary’s website and acts like an online concierge, helping guide people through the menu or answer questions like “What are your hours? What’s the difference between CBN and CBG? Do you have a parking lot?” Accessible through both websites and in-store kiosks, the virtual budtender can help increase basket sizes by nearly 25 percent, according to Kooi.
Meanwhile, Jointly’s budtender sales assistant supports in-store staff by integrating with point-of-sale systems. The software offers real-time access to product inventory and sales data, helping budtenders provide more precise recommendations. “There are hundreds of SKUs in a store, and it’s unrealistic for staff to be familiar with all of them,” Kooi explained. “It’s a tool to help budtenders match people more precisely with products in their store. Some people just use it as a training tool; a place to ask questions and get answers. Others are starting to use the words ‘professional development’ around it, which I’m pretty excited about.”
Jointly employs machine learning technology, meaning the more the app is used, the more knowledgeable it becomes. “The goal is to collect as much useful data as possible and put it to use for consumers,” said Kooi, who sees a larger convergence of personalization happening in the cannabis industry through marketing and e-commerce tools. “Cannabis is a personal experience, but the shopping experience can be a little impersonal right now. The more personalized we can make it for folks, the better experience they will have.”
A twist on the Jointly app is HashDash, which focuses on matching consumers with strains. Unlike Jointly, which emphasizes product recommendations across a broad range of criteria, HashDash zeroes in on characteristics, using a sophisticated algorithm to direct users to nearby dispensaries carrying specific strains or products with similar cannabinoid and terpene profiles. HashDash also partners with dispensaries and integrates into their point-of-sale systems to provide the same product pairing capabilities.
With a database of more than 5,200 strains and 630,000 data points, HashDash leverages AI and machine learning to refine its matching capabilities based on user interactions. The app also allows users to share their experiences with different strains. For instance, Suzy from New York might report success in alleviating migraines with myrcene-rich OG Kush, guiding others with similar symptoms toward potentially effective options.
Scott Lynch, CEO of HashDash, explained, “Our goal is to help consumers understand cannabis at its most fundamental level: strains, terpenes, and cannabinoids. These are the building blocks for understanding cannabis’s effects, far beyond the outdated sativa-versus-indica categorization.” By educating users about these complexities, HashDash aims to deepen consumers’ knowledge and help them make more informed choices.
In addition to its consumer-facing features, HashDash offers brands a valuable advertising platform. Unlike broader platforms like Weedmaps or Leafly, which sell ad impressions based on cost per thousand, HashDash uses its in-depth consumer preference data to deliver hyper-targeted ads. “The [return on investment] for brands is significantly higher, because we tailor ads to individual consumers’ specific needs and behaviors,” said Lynch. “This level of precision allows brands to connect more effectively with their target audience, driving better engagement and sales.”
Holographic displays: the future of advertising
Holographic displays are making waves in traditional retail as a cutting-edge way to captivate consumers and revolutionize in-store advertising. By offering a visually impressive experience, brands are betting the futuristic displays will be impossible for shoppers to walk by and ignore.
Shawn Landgraf, CEO of holographic display company Holovisn, is piloting the technology in cannabis with a major multistate operator. The program tests whether holographic advertising can drive sales and uses performance data to attract brands to adopt the technology. “Our goal is to prove that holographic displays are more than just eye-catching,” he said. “They can be a powerful sales tool.”
According to Landgraf, the biggest part of his business in traditional sectors is creating “holographic humans” who can interact with consumers. “Using AI capabilities and holographic technology, we put Barbie into a box for our client Disney,” he said. “We wanted people to be able to walk up, have a conversation, see her dance and even drink a [beverage from] Starbucks. These are some of the future capabilities of holographic technology.” Holovisn also created a real-life version of Usher for the performer’s recent world tour so fans could engage with him. Snoop Dogg, are you listening?
One common concern with adopting holographic displays is the perceived high cost. However, Landgraf emphasized Holovisn offers flexible pricing models. “We provide two options: Brands can purchase the holographic equipment outright, or we can deploy the technology at no cost to the dispensary. In the latter case, we collaborate with the dispensary to onboard advertisers, sharing revenue based on the brand’s initial investment,” he said. This flexibility lowers the barrier to entry, making it easier for dispensaries and brands to experiment with holographic advertising. By turning retail spaces into interactive, high-tech environments, holographic displays could offer a significant edge in captivating customers.
Holographic technology has the potential to transform cannabis retail by delivering a unique and memorable shopping experience. As more dispensaries explore the medium, they’ll differentiate themselves and unlock new revenue streams through brand partnerships. If early pilots like Holovisn’s prove successful, we may soon see holographic displays as a standard feature in dispensaries, changing the way products are marketed and sold.
Scan-and-go is one step ahead
The cannabis industry is taking cues from mainstream retail innovations, with scan-and-shop technology leading the charge. Instacart recently debuted a scan-and-pay app that lets grocery shoppers skip the checkout line. BLAZE is pioneering similar technology for cannabis. Scott Roehrick, vice president of e-commerce, explained the company’s system enables customers to walk through a dispensary, scan products to learn more, add items to their cart, and complete the checkout process entirely on their phones.
Roehrick admits the technology, which BLAZE calls Scan to Shop, is slightly ahead of its time for dispensaries since most products are locked within glass display cases or digitally displayed. Early adopters like Airfield Supply Co. in San Jose, California, are leveraging it nonetheless. Airfield CEO Mark Matulich said, “Scan to Shop works well. I wish we had more customers adopting it.” With its open-shelf layout, Airfield allows customers to browse, scan QR codes for detailed product information, and shop at their own pace.

Scan to Shop is making waves at large industry events, according to Roehrick. BLAZE implemented the system at major expos like The Emerald Cup, Hall of Flowers, and Flower Expo, streamlining the often cumbersome purchasing process at vendor booths. Previously, attendees would receive tickets to redeem products at a separate pickup location, leading to long lines and the risk of sold-out items. With Scan to Shop, attendees can scan a product’s QR code, add it to their virtual cart at any point during the event, and check out when they’re ready without worrying the products won’t be available.
The technology is poised to be a game-changer as more public events, such as concerts and state fairs, begin to allow on-site cannabis sales. Event producers can use Scan to Shop to track inventory and streamline transactions across multiple vendors, creating a more efficient and satisfying customer experience.
BLAZE also is building dispensary-branded mobile apps (think Starbucks) to capture sales and incentivize loyal customers who want exclusive deals. For instance, dispensaries can offer app-exclusive deals—such as a special promotion every Friday—while using push notifications to engage directly with their audience. It’s all about meeting customers where they are and keeping them in your ecosystem. Roehrick pointed out, “Choosing the right combination of in-store technology depends on your retail footprint and business goals. It’s about understanding how you want customers to move through the value chain and incentivizing them effectively.”
As cannabis retail continues to evolve, technologies like Scan to Shop and branded mobile apps will play an increasingly crucial role. By making shopping more seamless and personalized, these tools not only enhance the customer experience but also boost dispensaries’ sales and efficiency. Once mainstream retail fully adopts scan-and-go shopping, consumers will come to expect it in dispensaries.
Offsite kiosk partnerships
Offsite kiosk opportunities are emerging for retailers and brands, enabling product delivery through non-cannabis businesses in a compliant and convenient manner. Branded kiosks offer dispensaries expanded name recognition and the chance to tap into new revenue streams through product sales and targeted brand advertisements.
One of the most exciting applications of the technology is within the growing field of cannabis tourism. As more travelers seek plant-friendly accommodations, hotels and vacation rentals will start to cater to this demographic. Platforms like Bud and Breakfast and HiBnB already list marijuana-friendly properties worldwide. By installing kiosks that allow orders on site with delivery or pick-up at a nearby dispensary, such establishments can provide guests with an easy way to explore and purchase products. Properties maintaining a smoke-free ambiance can curate kiosk menus featuring smoke-free products such as topicals, edibles, and beverages. This would allow them to accommodate plant-aware consumers without compromising the comfort of non-smoking guests.
Beyond hotels, attractions like the cultural museum THC NYC are leveraging kiosks to elevate the theme and visitor experience. The delivery kiosk allows patrons to place an order, enjoy the exhibits, and receive a notification when their items are ready for pick-up. A kiosk also can be found in the museum’s fifth-floor lounge and event space, offering guests the convenience of on-site delivery during private events or after a long day of exploring the exhibits.
CTV with shoppable ads
A ShareThrough survey found 60 percent of respondents had purchased products on their phone, computer, or tablet after seeing an ad on TV, and 58 percent said they would use their remote to buy a product or access a coupon if offered.
With its interactive features, CTV advertising increases viewer engagement through QR code shopping features. Cannabis-focused channels like Citizen Green TV are capitalizing on this trend, offering real-time interactivity through QR codes that link viewers to exclusive deals, certificates of analysis for lab-tested products, or brand storytelling pages. Plus, with CTV’s video-on-demand capability, viewers can pause to explore brands they’re interested in, making the technology a powerful brand-building tool.
Citizen Green TV even allows shopping, where viewers can hover over products with their remote to add items to a shopping cart for immediate purchase, which they can pick up at the nearest dispensary. Brands also can leverage on-demand printing to sell branded merchandise, adding extra value to their CTV ads. Marketers view QR codes as a “golden ticket” for tracking conversions and measuring success, giving brands a direct path from exposure to action.
Cryptocurrency app Coinbase is a perfect example of how effective QR codes can be. Coinbase featured a QR code with a call to action and a special offer in a one-minute spot during Super Bowl LVI. According to news reports, so many football fans scanned the code that the company’s website crashed as a result of the increased traffic.
Walmart launched its first shoppable CTV ads featuring QR codes during the 2024 Thanksgiving night NFL game, pointing to the growing bridge between digital and retail advertising. NBCUniversal increased its number of advertisers by 40 percent by expanding its programmatic buying and offering performance-based campaigns.
Actor Ryan Reynolds is betting on CTV advertising as the next frontier for marketers. His company, Maximum Effort Marketing, recently was acquired by MNTN, a CTV advertising technology firm. Reynolds serves as chief creative officer and is developing commercial content targeting small businesses that typically shy away from TV advertising because of the cost. Reynolds claims 90 percent of Maximum Effort Marketing’s clients are first-time TV advertisers.
Historically, TV advertisers had to rely on trust that their ads would reach the intended audience, with limited options for tracking effectiveness. Jake Litke, CEO of MediaJel, an adtech platform specializing in the cannabis industry, has developed an attribution platform that gives marketers access to valuable CTV advertising data. “The main pillar of our functionality is the ability for advertisers to see how their ads influence sales through precise tracking data,” he said.
Litke believes the time is ideal for cannabis brands to embrace CTV advertising. “Not only is it an opportunity we’re ready for, but it’s also an uncrowded space for the cannabis industry right now. Your competition will likely be insurance ads and similar content, not other cannabis brands.”
He encourages advertisers to give CTV a try, noting, “There’s a misconception that you need a Super-Bowl-quality ad for CTV, but that’s not necessary. Even basic ads work well on this platform.”
As for budget, Litke advised, “If you’re targeting a specific neighborhood, you don’t need a huge budget. But, typically, you should plan for tens of thousands of dollars to see impactful results.”
North American president of Citizen Green TV, Steve Peterson, agreed CTV is a game-changer. “Integrating ads into streaming video content and delivering them to a targeted, scalable market is the next evolution in cannabis advertising,” he said. “Streaming TV offers cannabis brands access to a wide demographic, making it an untapped platform for standing out in an increasingly competitive market.”
The future of retail media
As the cannabis industry embraces cutting-edge retail technologies, creating a fully connected retail media network is the next frontier. Investing in robust attribution platforms will be crucial for dispensaries to maximize the potential of these innovations. The systems can provide granular insights into the customer journey, from initial engagement with a holographic display or virtual budtender to the final purchase, whether in-store or through scan-to-shop technology.
AI-driven analytics will allow accuracy in measuring return on ad spending, moving beyond vague “sales bumps” to pinpoint which campaigns, touchpoints, or technologies truly drive revenue. In a market where compliance limits traditional advertising, building and optimizing these omnichannel ecosystems is the boost retail businesses need.
The cannabis retail revolution is underway, and those who seize the moment and integrate innovative technology and precise attribution will lead the industry into its next growth phase.
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- Source: https://mgmagazine.com/business/retail-merchandise/the-next-wave-in-cannabis-retail-smart-stores/