WM Technology, Inc. (MAPS): Marketing Mix Analysis [Dec-2025 Updated]

You're looking at a company trying to navigate a tough, maturing cannabis sector, and frankly, the numbers from late 2025 tell a clear story of trade-offs. As your analyst, I see WM Technology, Inc. (MAPS) leaning hard into its dual-sided platform, maintaining a dominant 'Place' by listing about 80% of US dispensaries, but that strength is being tested. We see the pressure directly in the Price component: the Average Monthly Revenue Per Paying Client actually fell 12% year-over-year to $2,693 in Q3 2025, forcing them to slash sales and marketing personnel costs by 20%. This isn't just noise; it's a strategic pivot under duress. If you want to know exactly how their Product offerings and Promotion spend are adapting to these pricing realities-and what that means for their near-term valuation-dive into the full Marketing Mix breakdown below.

WM Technology, Inc. (MAPS) - Marketing Mix: Product

The product offering from WM Technology, Inc. centers on its dual-sided platform serving both consumers and businesses within the cannabis ecosystem.

Weedmaps marketplace for consumer discovery, ordering, and deals

The core consumer product is the Weedmaps marketplace, which functions as the premier destination for cannabis users to discover and browse products, check daily dispensary deals, and place orders for pick-up or delivery where permitted. This platform is designed to facilitate safe, legal access for consumers. The scale of the business supporting this marketplace can be seen in the client metrics reported through the third quarter of 2025.

Key operational metrics for the marketplace and its paying clients:

• Average monthly paying clients in Q3 2025 was 5,221.
• Average monthly paying clients in Q2 2025 was 5,241.
• Average monthly revenue per paying client in Q3 2025 was $2,693.
• Average monthly revenue per paying client in Q2 2025 was $2,852.

The overall revenue for WM Technology, Inc. in the third quarter ended September 30, 2025, was $42.2 million. For the second quarter ended June 30, 2025, total revenue was $44.8 million.

WM Business suite of B2B eCommerce and compliance software solutions

WM Technology, Inc. provides a set of eCommerce and compliance software solutions aimed at cannabis businesses and brands. These tools are designed to help retailers create business efficiency and manage industry-specific compliance needs. The revenue stream from the Weedmaps for Business solution saw a decrease in the second quarter of 2025 compared to the prior year period.

Advertising solutions, including featured listings and display ads

The platform monetizes through various advertising products. While revenue from Featured and Deal Listings saw a decline, other advertising avenues showed growth. Specifically, revenue from Other Ad Solutions increased year-over-year in Q2 2025.

• Revenue from Featured and Deal Listings fell from $28.4 million in Q2 2024 to $27.1 million in Q2 2025.
• Revenue from Other Ad Solutions increased from $4.1 million to $4.5 million year-over-year in Q2 2025.

New AI/ML capabilities for product catalog data and user experience

WM Technology, Inc. is focused on integrating new capabilities utilizing Artificial Intelligence and Machine Learning to enhance product catalog data management and improve the overall user experience on the platform.

Upcoming launch of 'Hetty,' an online head shop for accessories and glass

The company has plans for the launch of 'Hetty,' which is positioned as an online head shop intended to offer accessories and glass products to consumers.

WM Technology, Inc. (MAPS) - Marketing Mix: Place

WM Technology, Inc.'s 'Place' strategy centers entirely on its digital ecosystem, ensuring its services are accessible across the fragmented US state-legal cannabis landscape. The distribution channel is singular and direct: the Weedmaps website and mobile application, which function as the primary point of transaction and information exchange between consumers, retailers, and brands.

The platform's dominance in the US state-legal markets is a key element of its distribution strength. As of mid-2025, WM Technology, Inc. listed approximately 80% of dispensaries operating legally within US states. This high penetration rate establishes Weedmaps as critical digital infrastructure for the industry.

The company's operational reach is quantified by its client base metrics as of the third quarter ended September 30, 2025:

• Average monthly paying clients reached 5,221.
• This represented an increase from 5,100 in the prior year period.
• The platform supports global digital distribution via its website and mobile app.

The distribution effectiveness, however, must be viewed against evolving client spending patterns. The average monthly revenue per paying client saw a contraction, reflecting industry pressures on retail margins:

Strategic focus is placed on client acquisition within emerging legal geographies. For instance, following legalization in New York, management reported during the Q2 2025 earnings call that the majority of operational retailers in that state were already utilizing the platform. This rapid onboarding in new markets is facilitated by the Software as a Service (SaaS) model, which allows for immediate, scalable access to the marketplace and compliance tools for new and existing retailers and brands.

The physical location supporting this digital distribution network is the corporate headquarters. WM Technology, Inc. is headquartered in Irvine, California. The company's operational framework is designed to support this digital distribution model by accommodating remote and hybrid work arrangements for eligible employees.

• Headquarters location: Irvine, California.
• Operational support structure: Remote and hybrid work capabilities.
• Distribution mechanism: Weedmaps website and mobile application.

WM Technology, Inc. (MAPS) - Marketing Mix: Promotion

You're looking at how WM Technology, Inc. (MAPS) communicated its value proposition through late 2025, which is a story of balancing cost control with necessary investment to capture new market share. Honestly, the promotion strategy shows a clear tension: driving new client acquisition while existing clients pull back on spend.

The company definitely leaned into top-of-funnel activities to bring in new businesses, even while tightening the belt elsewhere. We saw this play out in the Q3 2025 results where cost savings were partially offset by higher media spend and event activity to support client acquisition and engagement initiatives. This suggests a deliberate promotional choice to prioritize bringing new, perhaps lower-spending, clients onto the platform to secure future revenue streams.

This focus on acquisition is visible in the client growth numbers, though it comes with a clear trade-off in revenue per user. The strategic focus on client retention and broadening the platform's monetization base is happening against a backdrop of client budget constraints, which is a tough spot for any sales team. Here's the quick math on that dynamic through Q2 and Q3 2025:

What this estimate hides is that the decline in Average Monthly Revenue Per Paying Client is driven by two factors: existing clients in mature markets trimming budgets, and new clients onboarding at lower initial spend levels. The promotional spend is clearly geared toward the latter group, hoping to grow that spend over time.

On the cost side of promotion, WM Technology, Inc. (MAPS) demonstrated significant operational discipline. Cost discipline led to a 20% year-over-year reduction in Q2 2025 sales and marketing personnel costs, reflecting reorganization efforts. This reduction in headcount-related expenses was a major driver of improved profitability, with Q2 Adjusted EBITDA reaching $11.7 million, up 16% year-over-year.

To offset the revenue softness from core listing products, the company actively promoted alternative ad solutions. The use of display advertising revenue, which grew in Q2 2025, partially offset listing declines. For instance, in Q1 2025, Display Advertising grew by $0.8 million year-over-year, showing a successful pivot in promotional inventory. This is a classic example of shifting the promotional mix when the primary offering faces headwinds.

Finally, in terms of shaping the industry narrative, the promotion extends beyond direct sales. WM Technology, Inc. (MAPS) management has emphasized positioning the business for long-term growth by capitalizing on potential regulatory changes in the cannabis space. While specific spending on advocacy for full US legalization and social equity isn't itemized in the financial disclosures, the strategic messaging around long-term positioning is a key component of their forward-looking communications to investors and the industry.

• GAAP Operating Expenses, including cost of revenues, totaled $40.2 million for Q3 2025, a 3% decrease from the prior year period.
• Q2 2025 GAAP Operating Expenses (OpEx) totaled $42.9 million, a decrease of approximately 4% year-over-year.
• Q2 2025 Net Income was $2.2 million, an 81% increase year-over-year.
• The company ended Q3 2025 with $62.6 million in cash, marking its ninth consecutive quarter of positive cash generation.

Finance: draft the Q4 2025 promotional budget allocation plan by next Wednesday.

WM Technology, Inc. (MAPS) - Marketing Mix: Price

The pricing structure for WM Technology, Inc. (MAPS) is fundamentally built around a subscription-based model for its WM Business software, complemented by tiered advertising placements, which include premium options like featured and deal listings.

The direct financial impact of client spending behavior on this structure is evident in the third quarter of 2025 performance metrics. You see the pressure points clearly when you look at the average revenue generated per customer.

The average monthly revenue per paying client saw a significant contraction, decreasing by 12% year-over-year to settle at $2,693 for Q3 2025. This figure compares to $3,043 in the prior year period. This trend of declining per-client spend began earlier, as the Q2 2025 average monthly revenue per paying client was $2,852, down from $3,033 year-over-year.

This pricing erosion is a direct reflection of external market forces impacting your customers' ability to pay for advertising. Management explicitly noted that industry pressures, such as price deflation and ongoing consolidation in core states, compress client operating margins and constrain marketing budgets and discretionary spend.

The impact of these constrained budgets is not uniform across all revenue streams. Advertising placements that offer higher visibility are typically the first to be reduced by clients when budgets tighten. This is clearly reflected in the revenue composition decline:

• Revenue from featured and deal listings, which are the first area clients cut, declined in Q3 2025.
• In the preceding quarter, Q2 2025, revenue from Featured and Deal Listings fell to $27.1 million from $28.4 million year-over-year.

Despite the pressure on per-client spending, the overall client base continued to expand, albeit at a slower rate of monetization. This suggests that while the price per unit of service is under stress, the volume of clients using the platform is still growing, which helps offset some of the ARPU decline.

Here's a quick look at the client base versus the average spend trend for Q3 2025:

What this estimate hides is the specific pricing tiers for the WM Business software itself, as the reported figures are blended across all services. However, the decline in ARPU suggests that either clients are downgrading their subscription tiers, or they are significantly reducing their spend on the variable advertising placements, which are often the most elastic part of the pricing mix. If onboarding takes 14+ days, churn risk rises, which could further impact the realized average price per client in future periods.