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Which Is Better for Shoppers—Points-Based or Cash-Back Cannabis Rewards?

December 5, 2024

For long-time dispensary shoppers, rewards programs are no longer a novelty—they’re a regular part of the buying experience. Over time, most customers notice that dispensaries tend to fall into two main reward structures: points-based programs and cash-back programs. Both are designed to reward loyalty, but they work differently and appeal to different shopping habits. Understanding how each system functions can help customers decide which one delivers the most value for their personal needs.

How Points-Based Rewards Work

Points systems are the most common structure in cannabis retail. Shoppers earn points for every dollar spent, and once enough points are accumulated, they can be redeemed for discounts, free items, or special promotions. Programs like those offered by Curaleaf and Trulieve typically use a simple ratio—such as one point per dollar spent—with set redemption tiers.

Points programs often feel rewarding because they encourage ongoing engagement. Members see their balance grow over time, and higher spending can unlock larger discounts or exclusive perks. However, points systems usually come with fine print. Expiration dates, minimum redemption thresholds, and exclusions on certain products can affect the real value of accumulated points.

How Cash-Back Rewards Work

Cash-back programs are more straightforward. Instead of earning abstract points, customers receive a percentage of their purchase back as store credit—often 2% to 10%, depending on the dispensary or promotion. Brands like Beyond Hello and Rise use variations of this model.

The biggest advantage of cash back is transparency. Customers immediately understand what they are earning and how much it’s worth. There’s less guesswork, and redemption is usually simple—apply your balance at checkout. The trade-off is that cash-back percentages are often smaller than the headline savings advertised in points programs.

Which System Is Better?

There’s no universal winner. Points programs tend to benefit frequent shoppers who enjoy saving up rewards and taking advantage of promotional stacking. Cash-back programs are often better for casual or budget-focused shoppers who want immediate, predictable value without tracking points or worrying about expiration.

The best approach for many customers is flexibility. Some shoppers participate in multiple programs and adjust where they shop based on current promotions, bonus-point events, or cash-back offers. Over time, experienced rewards members learn that the real savings come from understanding each program’s rules—not just the reward type.

The Bottom Line

Points and cash back both have clear advantages. Points offer potential for higher rewards with commitment, while cash back delivers simplicity and clarity. The better option depends less on the system itself and more on how well it aligns with a customer’s shopping habits, frequency, and preference for simplicity versus long-term value.

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