Surfside Raises $4 Million for Cannabis Marketing Tech

Surfside Secures $4 Million Seed Funding to Enhance Cannabis Marketing

Surfside, a data and marketing platform specifically designed for the cannabis industry, has announced the completion of a $4 million seed funding round. This investment was spearheaded by Casa Verde, with managing partner Karan Wadhera slated to join Surfside’s board of directors.

Founders' Expertise

Though a relatively recent entrant to the market, Surfside benefits from the leadership of Jon Lowen and Michael Blanche. Both founders bring significant experience in data and marketing, having previously worked at SITO Mobile, focusing on mobile-based location advertising and marketing solutions.

Bridging the Marketing Gap

The founders have leveraged their prior knowledge to create a platform that delivers enhanced marketing strategies and insights to cannabis businesses.

A significant hurdle for dispensaries and cannabis brands is the inaccessibility of common advertising channels like Facebook and Google. These platforms not only offer broad reach but also provide crucial analytics regarding customer demographics and behavior.

Data-Driven Customer Insights

Surfside aims to address this deficiency by providing businesses with comprehensive customer data. This data is compiled from various sources, including existing databases, publicly available information, and loyalty program data, enabling a deeper understanding of consumer preferences.

The platform constructs detailed customer profiles, analyzing factors such as location, interests, and other relevant details. This allows brands to refine their marketing efforts and target both current and potential customers more effectively.

Full-Service Campaign Management

Surfside extends its services beyond data provision, actively developing marketing campaigns for its clients. Businesses can collaborate directly with marketing specialists to design and implement these initiatives.

Initially, Surfside’s revenue model was based on a percentage of campaign spending.

“We function almost as an extension of a dispensary’s marketing team,” explained Lowen. “Many smaller dispensaries lack the resources to manage campaigns independently or navigate complex software. Our team provides planning, execution, and data optimization. We now aim to empower brands and retailers by granting them ownership of their data, providing consumer insights, and offering the flexibility to activate campaigns independently or with our expert assistance.”

Expanding Revenue Streams with SaaS

This new funding allows Surfside to introduce a subscription-based revenue stream through its data platform. Cannabis businesses can now purchase a SaaS license, granting them direct access to the data and enabling them to develop and execute their own marketing strategies.

Future Growth and Compliance

Surfside envisions the potential for its technology to extend beyond the cannabis sector into other industries. However, the company recognizes a substantial opportunity to grow alongside the rapidly evolving cannabis market.

Furthermore, the complex regulatory environment within the cannabis industry positions Surfside to offer compliance monitoring services, potentially creating an additional revenue stream.

Key Benefits Offered by Surfside:

• Data Analytics: Provides valuable insights into customer behavior.
• Campaign Development: Offers expert assistance in creating and executing marketing campaigns.
• SaaS Platform: Enables businesses to independently manage data and marketing strategies.
• Compliance Monitoring: Assists with navigating the complex regulatory landscape.