Case Study
Jul 31, 2023
Terpli and The Source: Pioneering AI-Driven Cannabis Retail in Nevada
How Zippy, the Terpli-powered "AI Cannabis Sommelier", is redefining the retail experience at The Source
Challenge: Thriving in Nevada's Competitive Cannabis Market
In Nevada, cannabis retailers confront fierce competition, price compression, and the constant need to distinguish themselves. To prevail in this challenging environment, The Source sought to deliver a distinct, engaging, and personalized experience to its customers. The goal was to stand out, enhance customer loyalty, and increase revenue across their five locations.
The solution: Terpli's cutting-edge AI budtender technology, uniquely personified by The Source as "Zippy, the AI Cannabis Sommelier".
Zippy, backed by Terpli's AI technology, seamlessly integrated with The Source's existing ecommerce, POS, and Alpine IQ Loyalty (AIQ) platforms to provide personalized recommendations (news article). Zippy's unique interaction with customers, leveraging the power of AI, guides them through a wide array of product options, ensuring the perfect match every time. This interaction is not just a sales pitch, it's an immersive customer journey that captures valuable insights, helping The Source truly understand consumer demand.
Results: Boosted Sales, Increased Customer Engagement and Loyalty
The introduction of Zippy proved to be a game-changer, driving remarkable results in the first 90 days:
Sales and Volume Growth: Zippy helped power a 6.5% increase in total sales and volume, contributing significantly to The Source's revenue across their five locations.
Impressive Return on Investment (ROI): Zippy averaged over $37,000 in influenced revenue per month, resulting in a 7.2x ROI after points allocated to AIQ loyalty members. This demonstrated the enormous revenue-generating potential of the AI technology.
Faster Customer Returns and Increased Spending:
Quality Recommendations: Zippy users returned 20% faster and spent 5% more. The Lifetime Value (LTV) of these customers doubled, confirming Zippy's crucial role in driving customer engagement.
Invested Reviewers: When customers left a review, they returned 53% faster and spent 20% more, with a 4x increase in their lifetime value, amplifying the revenue potential for an invested customer-base.
Customer Loyalty: With 350 new loyalty members signing up in three months, the unique AI-driven shopping experience enhanced customer loyalty and repeat business.
Customer Engagement: Zippy facilitated over 6,800 reviews, providing a valuable feedback loop and further optimizing customer experience.
Future Horizons: Continuing the AI-Driven Cannabis Retail Revolution
The Source's success story with Zippy is just the beginning. As we continue to pioneer AI-driven cannabis retail, we're looking forward to implementing further enhancements like personalized edibles recommendations, sponsored products for additional retailer revenue, and utilizing AIQ's advanced analytics capabilities for targeted outreach and customer archetyping.
The impact of Terpli's AI technology, as demonstrated by Zippy, is transformative for the cannabis retail industry. The Source's results in just 90 days illustrate the enormous potential of this technology in creating personalized customer experiences, improving customer loyalty, and driving sales growth.
Challenge: Thriving in Nevada's Competitive Cannabis Market
In Nevada, cannabis retailers confront fierce competition, price compression, and the constant need to distinguish themselves. To prevail in this challenging environment, The Source sought to deliver a distinct, engaging, and personalized experience to its customers. The goal was to stand out, enhance customer loyalty, and increase revenue across their five locations.
The solution: Terpli's cutting-edge AI budtender technology, uniquely personified by The Source as "Zippy, the AI Cannabis Sommelier".
Zippy, backed by Terpli's AI technology, seamlessly integrated with The Source's existing ecommerce, POS, and Alpine IQ Loyalty (AIQ) platforms to provide personalized recommendations (news article). Zippy's unique interaction with customers, leveraging the power of AI, guides them through a wide array of product options, ensuring the perfect match every time. This interaction is not just a sales pitch, it's an immersive customer journey that captures valuable insights, helping The Source truly understand consumer demand.
Results: Boosted Sales, Increased Customer Engagement and Loyalty
The introduction of Zippy proved to be a game-changer, driving remarkable results in the first 90 days:
Sales and Volume Growth: Zippy helped power a 6.5% increase in total sales and volume, contributing significantly to The Source's revenue across their five locations.
Impressive Return on Investment (ROI): Zippy averaged over $37,000 in influenced revenue per month, resulting in a 7.2x ROI after points allocated to AIQ loyalty members. This demonstrated the enormous revenue-generating potential of the AI technology.
Faster Customer Returns and Increased Spending:
Quality Recommendations: Zippy users returned 20% faster and spent 5% more. The Lifetime Value (LTV) of these customers doubled, confirming Zippy's crucial role in driving customer engagement.
Invested Reviewers: When customers left a review, they returned 53% faster and spent 20% more, with a 4x increase in their lifetime value, amplifying the revenue potential for an invested customer-base.
Customer Loyalty: With 350 new loyalty members signing up in three months, the unique AI-driven shopping experience enhanced customer loyalty and repeat business.
Customer Engagement: Zippy facilitated over 6,800 reviews, providing a valuable feedback loop and further optimizing customer experience.
Future Horizons: Continuing the AI-Driven Cannabis Retail Revolution
The Source's success story with Zippy is just the beginning. As we continue to pioneer AI-driven cannabis retail, we're looking forward to implementing further enhancements like personalized edibles recommendations, sponsored products for additional retailer revenue, and utilizing AIQ's advanced analytics capabilities for targeted outreach and customer archetyping.
The impact of Terpli's AI technology, as demonstrated by Zippy, is transformative for the cannabis retail industry. The Source's results in just 90 days illustrate the enormous potential of this technology in creating personalized customer experiences, improving customer loyalty, and driving sales growth.
Challenge: Thriving in Nevada's Competitive Cannabis Market
In Nevada, cannabis retailers confront fierce competition, price compression, and the constant need to distinguish themselves. To prevail in this challenging environment, The Source sought to deliver a distinct, engaging, and personalized experience to its customers. The goal was to stand out, enhance customer loyalty, and increase revenue across their five locations.
The solution: Terpli's cutting-edge AI budtender technology, uniquely personified by The Source as "Zippy, the AI Cannabis Sommelier".
Zippy, backed by Terpli's AI technology, seamlessly integrated with The Source's existing ecommerce, POS, and Alpine IQ Loyalty (AIQ) platforms to provide personalized recommendations (news article). Zippy's unique interaction with customers, leveraging the power of AI, guides them through a wide array of product options, ensuring the perfect match every time. This interaction is not just a sales pitch, it's an immersive customer journey that captures valuable insights, helping The Source truly understand consumer demand.
Results: Boosted Sales, Increased Customer Engagement and Loyalty
The introduction of Zippy proved to be a game-changer, driving remarkable results in the first 90 days:
Sales and Volume Growth: Zippy helped power a 6.5% increase in total sales and volume, contributing significantly to The Source's revenue across their five locations.
Impressive Return on Investment (ROI): Zippy averaged over $37,000 in influenced revenue per month, resulting in a 7.2x ROI after points allocated to AIQ loyalty members. This demonstrated the enormous revenue-generating potential of the AI technology.
Faster Customer Returns and Increased Spending:
Quality Recommendations: Zippy users returned 20% faster and spent 5% more. The Lifetime Value (LTV) of these customers doubled, confirming Zippy's crucial role in driving customer engagement.
Invested Reviewers: When customers left a review, they returned 53% faster and spent 20% more, with a 4x increase in their lifetime value, amplifying the revenue potential for an invested customer-base.
Customer Loyalty: With 350 new loyalty members signing up in three months, the unique AI-driven shopping experience enhanced customer loyalty and repeat business.
Customer Engagement: Zippy facilitated over 6,800 reviews, providing a valuable feedback loop and further optimizing customer experience.
Future Horizons: Continuing the AI-Driven Cannabis Retail Revolution
The Source's success story with Zippy is just the beginning. As we continue to pioneer AI-driven cannabis retail, we're looking forward to implementing further enhancements like personalized edibles recommendations, sponsored products for additional retailer revenue, and utilizing AIQ's advanced analytics capabilities for targeted outreach and customer archetyping.
The impact of Terpli's AI technology, as demonstrated by Zippy, is transformative for the cannabis retail industry. The Source's results in just 90 days illustrate the enormous potential of this technology in creating personalized customer experiences, improving customer loyalty, and driving sales growth.
Chris Thompson
Director of Ecommerce, The Source
Working with Terpli has been fantastic! Our customers love getting custom AI product recommendations, especially being able to filter products by terpenes. In a world where every company is trying to stay ahead, Terpli is helping us bring the power of AI to our customers.
