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Geofencing Marketing for Dispensaries: How It Works and Why It Matters

Geofencing Marketing for Dispensaries: How It Works and Why It Matters

Sticky Card

Friday, June 6, 2025

Smartphone with a geolocation pin hovering over a map, symbolizing geofencing marketing for cannabis dispensaries.
Smartphone with a geolocation pin hovering over a map, symbolizing geofencing marketing for cannabis dispensaries.
Smartphone with a geolocation pin hovering over a map, symbolizing geofencing marketing for cannabis dispensaries.
Smartphone with a geolocation pin hovering over a map, symbolizing geofencing marketing for cannabis dispensaries.

In today’s competitive cannabis retail market, timing and location are everything. The right message at the right place can turn a casual browser into a loyal customer.

That’s where geofencing marketing comes in.

Used by top dispensaries across the U.S. and Canada, geofencing lets you target potential customers based on where they are — whether they’re walking near your store, visiting a competitor, or shopping at a nearby event.

In this guide, we’ll break down what geofencing is, how dispensaries are using it, and why it’s becoming a must-have tool for cannabis marketing in 2025.


What Is Geofencing?

Geofencing is a location-based marketing technique that uses GPS or RFID to create a virtual boundary around a real-world area — like your dispensary, a competitor’s store, or a busy shopping plaza.

When a smartphone user enters or exits that area, it triggers a marketing action. That could be:

  • A push notification

  • A digital ad

  • A special offer via wallet pass or SMS

Unlike traditional ads, geofencing marketing is hyper-targeted and happens in real time — when your potential customers are most likely to act.


How Dispensaries Use Geofencing

Here are some of the most effective ways dispensaries use geofencing to drive traffic and sales:


1. Target Competitor Locations

Set a virtual perimeter around nearby dispensaries. When a customer enters that zone, send a push notification with a better offer or exclusive discount.


2. Boost Foot Traffic with Nearby Promos

Geofence your own location or a few blocks around it. Trigger offers when someone is within walking distance.


3. Promote Events and Launches

Hosting a pop-up, vendor day, or 4/20 event? Set a geofence around the venue and drive traffic to your booth or store.


4. Retarget Past Visitors

Some tools allow you to build custom audiences from those who’ve entered your geofence before — giving you a second chance to engage them with wallet-based push or SMS.


Why Geofencing Works So Well in Cannabis Marketing

The cannabis industry faces strict limitations on advertising via Facebook, Google, and other mainstream platforms.

Geofencing is different:

  • It’s direct — you reach people at the perfect moment.

  • It’s compliant — you choose where and how your message is delivered.

  • It’s personal — your brand shows up based on their location, not guesswork.

Combine geofencing with a wallet loyalty solution like Sticky Cards, and you get the best of both worlds:

  • A branded digital card saved to Apple Wallet or Google Wallet

  • Push notifications sent as soon as a customer enters your zone

  • No SMS fees, no app downloads, and better ROI


How to Set Up Geofencing for Your Dispensary

You don’t need expensive ad tech to get started. With Sticky Cards, geofencing marketing is built right in:

  1. Choose the locations you want to target.

  2. Set up your offer and timing.

  3. Let your push notifications do the rest — sent via wallet loyalty cards, not costly SMS.

Whether you’re using Flowhub, TechPOS, Dutchie, or another POS, Sticky Cards integrates easily to sync customer data and keep your setup simple.


Smarter Marketing Starts with Location

In cannabis retail, proximity = opportunity. Geofencing helps you turn foot traffic into store traffic, and window shoppers into loyal customers.

Stop shouting into the void with generic ads.

Start showing up when and where it matters.

Start Using Geofencing the Smart Way

Turn location into loyalty with real-time push messages triggered by geofencing. No app required.

Turn location into loyalty with real-time push messages triggered by geofencing. No app required.

Turn location into loyalty with real-time push messages triggered by geofencing. No app required.