In today’s cannabis industry, dispensaries and delivery platforms face a delicate balancing act: delighting customers with seamless service while protecting their sensitive data. Yet, many cannabis apps still lean on SMS to deliver updates, confirmations, and loyalty information—despite mounting evidence that text messaging is one of the least secure communication channels available. For an industry already grappling with complex regulations and a cash-heavy customer base, continuing to rely on SMS poses unnecessary security and compliance risks.

SMS, by design, is an unencrypted protocol. Messages are transmitted in plain text over carrier networks, leaving them exposed to interception at multiple points—whether through malicious cell tower spoofing, insider threats at telecom providers, or simple misdelivery. This means details like order numbers, pick-up times, or addresses shared via SMS can be captured by third parties without much technical effort.

Even worse, cannabis apps that use SMS for authentication codes or account recovery are exposing their customers to SIM swap fraud. In these attacks, criminals convince a mobile carrier to transfer a victim’s phone number to a SIM card in their possession. Once the switch is complete, attackers can intercept any SMS-based codes, effectively hijacking accounts with minimal resistance. Considering the personal and financial stakes involved in cannabis transactions, this type of compromise can quickly spiral into identity theft or financial loss.

Moreover, the cannabis market is particularly vulnerable to phishing via text—or “smishing.” Fraudsters often send fake SMS messages posing as a cannabis retailer or delivery service, prompting customers to click links leading to malicious websites or to reveal personal data. Because SMS has no built-in way to validate the sender’s identity, customers are left guessing whether a message is legitimate, undermining their trust in the business and opening doors to scams.

Unlike SMS, secure in-app messaging offers robust safeguards. Messages can be encrypted end-to-end, ensuring that only the intended user and the app’s secure backend can read their contents. Access can be gated by secure login, two-factor authentication, or biometrics, making it far harder for bad actors to hijack conversations or steal information. With in-app messaging, cannabis businesses also gain full control over branding and message timing, creating a cohesive, professional communication experience without relying on third-party carriers.

For notifications that must reach outside the app, email—when implemented properly—provides a safer alternative than SMS. Modern email services support encryption during transit, while security features like SPF, DKIM, and DMARC can confirm that messages come from an authorized sender, helping customers spot fakes.

Additionally, relying on in-app or secure email channels supports regulatory compliance. Privacy laws in many medical cannabis markets require patient data to be handled securely; sending unencrypted messages over SMS can violate these standards, risking fines or loss of license. By investing in secure communication infrastructure, cannabis apps demonstrate a proactive commitment to customer privacy and regulatory integrity.

Ultimately, SMS may seem convenient, but for cannabis apps serious about security, privacy, and building trust, it’s a relic of the past. Embracing secure, encrypted messaging options not only reduces the risk of data breaches and scams, but also aligns businesses with industry best practices—creating a safer, more reliable experience for every customer.