When marijuana is legalized in Canada this summer, the government plans to sell it in plain packaging that is a single, uniform colour and does not include any graphics or images.
But a recent CIBC report said that despite the lack of flashy packaging, brand loyalty will be an important determinant for consumers, just like it is for alcohol.
“We find the matter of branding to be the biggest question mark of the entire cannabis legalization process,” CIBC said in the report.
Health Canada has proposed marijuana be sold in plain packaging with strict branding limits in order not to glamorize the drug and to deter children from smoking pot.
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