4 Regulations Changes for Dispensaries in California

Dispensaries have long been the kings of cannabis and as things turn up during the regulatory transition period, the BCC is slowly inching towards a final set of rules to adhere by. The competition is hotter than ever. Are you prepared to stay compliant and be one step ahead of the rest of the field?

As a storefront retailer, you have the opportunity to make a lasting impression on customers that come into your dispensary and keep them coming back by curating an irresistible experience each and every time. But, you can only do this if you’re a compliant business

Check out these 4 regulations changes for dispensaries in California!

 

A & M Licenses + Attached Fees

Associated fees to obtain a cannabis retail license in California.

Before July 1, 2018, to service both medicinal and recreational customers, two separate applications were required with the attached fees for each being due at the time of application submission. One of the major changes to this process since July 1 is the ability to submit a single application that encompasses both the medical and recreational market with cost of application not being due until the approval of an application.

This not only simplifies the application process for these looking to service both sides of the market, but allows for a little bit more of economic freedom to take place and a smaller overhead for any potential business owner.

Be sure to specify which category of business—A-U, Medical, or both—you’d like to participate in on your application!

 

Security Personnel Age Requirements

Dispensary security staff must be 21 or older.

The old regulations on security personnel didn’t have a set age limit or qualification for staff. This meant that almost anyone you hired over the age of 18 years old could play a part of your security team.

But those were the good old days; things are different now!

The BCC has ramped these requirements up to a minimum age requirement of 21 years of age and made it mandatory for all security personnel to be licensed/ accredited by the Bureau of Security and Investigative Services.

This is unfortunate for those under the age of 21, but there is something to be said about the level of maturity that comes with life experience and the 3 years of difference in age. As someone 21 and older, you not only are of age to legally consume cannabis (at will) but are capable of dealing with any legal situation that might arise at your dispensary.

After all, you wouldn’t want to leave the security of your business in the hands of someone that is bound to be younger than the majority of your customers, would you? Make sure your dispensary security is adequately aged and fit to perform whatever duty is necessary.

Related: 5 Simple Compliance Violations Dispensaries Don’t Really Think About

 

Cannabis Goods Display Limitations

Cannabis goods displays cannot be sold to consumers in CA dispensaries.

11 months ago, your customer could walk into your dispensary and pick out any jar of cannabis they wanted to smell or touch with the expectation of being sold what was about to be weighed out in front of them. Well, those days are long gone and the BCC has made it very clear that there are display standards to uphold when customers come into your location.

Check out our simple do’s and dont’s for cannabis displays below:

Do:

Ensure that cannabis not used for displays is locked and inaccessible to the general public.

-Display cannabis and report the display as use in METRC.

-Allow customers to smell samples and get hand-on with what they are going to purchase.

-Dispose of all cannabis on display in accordance to regulations.

Don’t:

-Sell cannabis that isn’t pre-packaged.

-Give samples to customers in-store.

-Sell the display package to a customer even if its the last one on shelves—this is a blatant violation and is sure to get a fine tacked onto your monthly expenses.

In a nutshell, cannabis can be displayed insofar as it is not to be offered for retail sales at any point. Cannabis not for display that is intended to be sold should be stored in a way that is not obtainable by the general public.

 

Verifying Customer Age. Every Time.

A-U customers must be 21 years of age or older while medicinal patients can be 18+

Each customer needs to be checked in at the front of your dispensary on each visit. Age requirements are 21+ for recreational users while those holding a valid MMID card can be 18 years of age and older. Appropriate forms of identification are state or government issued forms of identification including driver’s licenses and passports.

Checking in customers is a basic requirement that has been set by the BCC and the importance of this goes beyond just the regulations. Checking in customers works in more ways than just staying compliant. It helps keep track of the amount of foot traffic your dispensary is generating, resulting in an accumulation of wealth in data that should be used to your marketing department’s advantage.

Related: A Definitive Guide to Compliance — California Cannabis Dispensaries

 

The BCC doesn’t play around…

One slight hiccup can send your cannabis business tumbling.

Breaking down the cannabis regulations in California is a lot like trying to keep up with a toddler that is making their mind up at the dinner table—exhausting. Our goal is to provide you with an easy-to-digest list of the essentials that make your business run seamlessly in a time where everyone is struggling to understand the BCC changes.

Related: A Definitive Guide to Compliance — California Cannabis Dispensaries

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Breaking Down CA Cannabis Taxes to Your Customers

Let’s tackle cannabis tax education.

Cannabis taxes don’t have to be confusing! Use this guide to break taxes down in an easy way!

This market looks nothing like what it used to a year ago. The newly regulated California cannabis industry has been through ups and downs with taxes taking a central position in the conversation. Information on recent changes for the entirety of the industry can be found in our Definitive Guide to California Compliance.

Taxation on cannabis goods means that there are “certain sales and cultivation taxes” (BCC) which have been implemented; and we all know Uncle Sam doesn’t let anything slide. This has caused some turmoil for those within the industry and in particular, for consumers. Reports show that after all of the taxes attached to cannabis—state excise, regular, and local business taxes—the black market is thriving more than ever as the result of tax percentages on a spectrum of 25-40%.

It’s not rare for customers to purchase a product and look at the bottom of the receipt to have their jaw drop at the breakdown of the taxes that have been tacked onto their most recent purchase. We all know what comes next—questions about who, what, when, where, why, and how these tax amounts came to be.

Be prepared by gaining a solid understanding of how taxes work (or don’t) in the CA market.

Let’s keep it simple.

 

Adult-Use (A-U) and Medical Tax Differences

The difference between A-U and medicinal taxes varies by city!

Not everyone who purchases cannabis is subject to equal taxes. Medical patients are not required to participate in state taxes, but are required to pay local and excise tax. This means that their total for purchases will be lower than that of a recreational user without proper state-supplied MMIC/MMICP cards.

Related: A Definitive Guide to Compliance — California Cannabis Dispensaries

 

15% California Excise Tax

Excise tax is the state’s mandatory cannabis tax.

Excise tax is collected by distributors from retailers, which retailers then pass onto consumers. To complicate the matter, it isn’t concretely explained as to whether or not this tax should be listed onto the retail price of the product, resulting in confusion when the time to collect money from your customer comes.

The BCC has proposed that the revenue collected from this tax gets put towards cannabis research at UCSD and social equity programs for high-risk areas that have previously been affected by drug use. Law enforcement research with the purpose of developing an accurate way to measure intoxication for drivers and a program that takes environmental cleanup as its subject are among the other places that excise tax dollars are allocated.

8-12% State Sales Tax

Sales tax is only used for non-medicinal transactions.

Generally speaking, the state sales tax is dependent upon your location in California. This tax typically varies from 8-12 percent in some areas and is collected at the time of purchase for Adult-Use (A-U) customers.

MMIC/MMICP patients that adhere with the state’s medicinal program are entirely absolved of this tax category and funds collected for A-U customers are allocated with public safety and local transportation improvements.

5-15% Cannabis Business Tax

Local governments need a piece of the cake and have made it clear that they need to take home part of the cake. It’s not uncommon for these tax rates to fluctuate between 5-15% depending on the city or country that you are located in. This category of taxation and the amount collected is left entirely up to the local officials.

Related: 5 Effective Ways to Lower Your 280E Taxes by Aviva Spectrum

 

Are taxes going to be this way forever?

The countdown to finalized BCC regulations has started!

We sure hope not! The percentage of taxes currently hurts the legitimate market more than helping it succeed. Running a legal operation that has to compete with the illicit market as a result of taxes has proven to be a difficult task for everyone involved. Consumers don’t want to have to pay taxes upwards of 40% when they can go down the street to an illicit shop and receive the same product for that much less.

In one way, taxes have aided in the allocation of revenue to programs that look out fo rate public’s best interest and with future development of the industry in mind. In another, it has allowed for the illicit market to thrive more than ever.

Explaining the way that these taxes are allocated not only educates your customer on how complicated the regulated cannabis market is, but also helps illustrate the reason that illicit shops are still up and running with a high success rate. Taxation is part of the legitimization of the industry and although more complicated than it needs to be, it’s what we all have to work with at the time being.

Educate your customers, push them to petition for change, and know that everyone is riding the same tax wave that you are!

How have California taxes impacted the way that you do business?

Related: 5 Regulation Changes for California Cannabis Delivery Services

Comment below!

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5 Regulation Changes for California Cannabis Delivery Services

Are you up to date with the latest cannabis delivery service regulations?

The onslaught of cannabis regulation changes has made the market difficult to navigate in a fully compliant way – especially as a cannabis delivery service. If you feel as though there are adjustments being made on a daily basis, you’re in the same boat as the rest of the industry! Lucky for you, we’ve broken down the 5 biggest changes that your delivery service needs to know about in order to stay compliant and be successful!

 

1. Cannabis Delivery Driver Kit Values

 

The initial emergency regulations that were proposed by the Bureau limited the amount of product capable of being transported to a mere $3,000 in retail value. This not only limited the amount of product that a delivery driver could carry in their delivery kit, but resulted in an inefficient way of making deliveries.

The Bureau has since increased the amount from $3,000 to $5,000. This means that the total retail value of the products that your delivery drivers are carrying must not exceed the total amount of $5,000 at any given time. More importantly, is the new regulation which mandates that drivers must not have more than $3000 worth of product in their vehicle without an order being received and processed prior to a driver being dispatched.

This increased limit means that your drivers are able to carry a larger variety of products in their driver kits, freeing up the options that your customers have made available to them. It also means that your drivers can stay out longer to complete transactions with a fully stocked car that doesn’t jeopardize the ability to make deliveries on-the-fly.

Another aspect of cannabis deliveries to consider is the amount of time your staff is allowed to be away from the dispatch location in-between deliveries. Drivers are allotted a 30-minute window in-between drop-offs before having to return to the primary dispatch center.

What we can suggest is keeping to the 30-minute limitation that is allowed for stops in-between deliveries and orders placed.

Stay under the $5,000 limit and you’re good to go!

 

2. Securing Goods for Cannabis Delivery

 

Keep under the required limit for both compliance & safety reasons.We’d be lying if we said that security wasn’t a major concern of the regulated market. Adjusted regulations now mandate that in order to properly secure cannabis goods for your delivery drivers, the goods must be in a locked container within the vehicle and be accessible only to the driver of the vehicle being used to make deliveries.

The Bureau has made it clear that the trunk of the car is to be considered a part of the vehicle that can be used to fulfill this new security requirement. There are no specifications on the type, size, or material of container that can be used.

As a delivery service, it may comfort you to know that there are requirements on vehicle alarm systems and a lack of requirements for any specific lock box to be used. You can rest assured that you have freedom in choice of lock boxes or containers and know that in the case of your vehicle being tampered with, an alarm system will draw attention to it.

Remember: drivers need to use the trunk or a lock box to secure goods and all vehicles must have an alarm system.

 

3. Reporting Sales On-the-Fly with a Live Ledger During Delivery

 Cannabis delivery sales should be reported as they happen for optimal results.[/caption]

Sales should be reported as they happen.

To successfully stay within compliance, all sales must be recorded in-between deliveries that are made by drivers. In addition to this, there must be a live inventory adjustment that takes place in-between sales. This means that after each delivery made, your driver must adjust the digital or physical ledger that is carried with them on every delivery.

The ledger is essentially a document that lists all cannabis products in your driver’s possession at any given time. It must include the type of cannabis product, retail price, brand, CCTT number, and appropriate weight, volume, or number of total pieces per package.

Inventory management and reporting to METRC is a huge concern of the Bureau’s for all sectors of the cannabis industry. Delivery services looking to be effective and in this market for “the long run” should make sure that their employees are trained with the adequate skillset to fulfill the requirement.

It’s as simple as making a delivery, reporting the sale to METRC, and updating the delivery ledger to reflect changes made in real-time inventory. Having a mobile point-of-sale system that automates this definitely works to your advantage.

READ: 5 Questions Customers Will ASk That Your Delivery Service Staff Should Be Able to Answer 

 

4. Real-Time Tracking of Cannabis Delivery Drivers

Tookan makes two-way communication between consumers & delivery service drivers a breeze! Keeping safety in mind, the Bureau has made it a mandatory requirement to be able to locate and track delivery drivers as they are completing their duties. This means that real-time tracking of your drivers has taken an advanced step towards making your delivery service look like the Uber Eats of cannabis.

It also means that with a proper delivery management system, you can communicate in real-time with your drivers and your customers can get an accurate idea of when their product will arrive. In addition to live tracking, dispatch managers must be able to pull up a real-time reflection of the location of each driver as well as the estimated time that each destination is reached. A destination log of each planned drop-off as well as the recorded time with each transaction is one way that deliveries can be made to be more efficient while collecting data that can be used to increase the overall efficiency of your cannabis deliveries.

With a destination log and inventory management system that places a time stamp on everything and can locate your drivers in real-time, you’re sure to keep the Bureau on your side!

 

5. Making Additional Stops Comes with Limitations for Cannabis Delivery Drivers

There’s a penalty for making additional stops!

Your delivery service drivers are allowed to make momentary stops for each of the following: Fuel, Vehicle Repairs, & Rest for any “reasonable” amount of time.

Although the first two are clearly defined, the amount of time allotted for rest is rather murky. Making additional stops for lunch, to visit a friend, or make a delivery that isn’t on your ledger is putting your toes in hot water—don’t do it!

Related: 7 Questions to Ask When Purchasing Software for Your Cannabis Delivery Service

 

Efficient Cannabis Deliveries are Compliant Ones!

Cannabis delivery services race against the clock to satisfy customers!

New delivery service regulations aren’t overly complicated and making necessary adjustments to your operation should take a top priority if you want to become a household name in delivery services available. We’ll do our best to keep you up to speed as these regulations are finalized, but you know just as well as we do that things could change at the flip of a switch!

Keep up-to-date with the changes as they occur and subscribe to our blog below!

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5 Simple Compliance Violations Dispensaries Don’t Really Think About

Practicing a culture of compliance is a quick and easy way to make sure that your license is not put in jeopardy. Keeping compliant in this legalization time period is an adjustment for all and although not easy, is absolutely necessary.

With the public commenting period coming to a close soon, you should be buckling down and getting one step ahead of the game. As if, getting ahead isn’t enough though, stay ahead by avoiding these 5 common compliance issues.

 

Are you selling display products?

Lowell Farms takes sets the standard with their brand displays.

California legalization has made it increasingly difficult to maintain a standard of compliant practices. It’s not uncommon for the display package of a particular item to be the last one in stock. What should be as simple as selling your customer the last of the products available, is actually not so easy!

Selling the display product of anything your dispensary carries is a violation of BCC regulations that can cause you to be fined and puts your license at risk of being suspended. You may want to try hiring an inventory manager that maintains the integrity of your stock so that you never run into a situation where your customer is left disappointed. Make sure your staff is well-informed of this violation so you can continue to operate in a way that satisfies the Bureau and keeps your customers happy!

Let’s be clear— there are to be no displays sold, regardless of how badly your customer wants the product.

Related: A Definitive Guide to Compliance — California Cannabis Dispensaries

 

Are you using electronic inventory management?

Daily sales reports, pending orders, and customer information in one location.

Running a dispensary currently on a temporary license? Don’t worry—it seems like everyone is too! As we wait for METRC to go live, it’s a good idea to start to think about the ways in which you can “get a jump” on practicing good inventory management practices.

Keeping records of all movements of cannabis starting with a change in custody from a brand’s distributor in a room-to-room, sale-by-sale basis is an effective way to roll out good habits. Verifying licenses, shipping manifest information, and making sure that inventory management is taken seriously puts you in a position that protects your shop.

Inventory management is a full-time job and treating it like this as you await the issuance of your permanent license will make things easier by a factor of 10—guaranteed! Furthermore, there are 3 ways that your inventory needs to match up once every 30 days:

1. Physically in your cannabis dispensary storage areas.

2. Within your point-of-sale system.

3. In the California Cannabis Track-and-Trace (CCTT) as it is in accordance with METRC.

Starting early will make your business transition as smoothly as possible when things really go ‘live.’

 

Poor Reporting Habits

WebJoint’s Dashboard gives you data on sales, pending orders, and total revenue.

Time and time again, I hear horror stories being told about failing to implement a satisfactory way of reporting. I’d like to be direct here—cannabis licenses aren’t expensive, so stop acting like reporting shouldn’t take a priority.

This new age of legal cannabis expects a lot from your dispensary as CCTT is being fulfilled with the use of METRC. Reporting sales everyday by hand at the end of the day not only wastes time that you don’t have, but think about what happens when you make an error in your entry. It puts METRC out of balance which then makes you the center of attention; and believe me, it’s not the kind of attention you’ll enjoy.

Investing in a point-of-sale system that automatically integrates with METRC and sends real-time adjustments for sales reports not only eliminates the need for manual labor, but keeps you compliant as a business when the BCC wants on-demand sales & inventory reports.

Put simply: everything that comes in needs to be recorded, everything that leaves your store needs to be recorded, and everything you buy or use for display…you guessed it…needs to be recorded!

 

Are you packaging properly?

STIIIZY is a leader in compliant packaging and a top-notch provider of high-quality products.

If you’ve been in the scene for the entirety of this year, you know exactly why this is an important part of legalization. It’s also easy to understand why this is a common compliance issue in dispensaries and a common source of compliance “tug of war.”

Exit bags are booming in the Nevada marketplace and are being branded for specific companies to use as a way of staying within compliance. In California, it’s no different! Although the latest regulations don’t require child-resistant packaging until 2020, it’s a great idea to get ahead of the game and be prepared for final requirements.

Slap your dispensary name or brand on an exit bag that is opaque and child-resistant that can be re-used by your customers. It not only acts as a tool for compliance, but is essentially a free way to market your brand when customers hang out with people that indulge in cannabis.

As it stands currently, all products in your shop should be lab tested and labeled with the official health warning, California Universal Symbol for cannabis products, and have child-resistant, tamper-evident packaging.

Avoid fines, take your time, and do things right!

 

How do your budtenders identify themselves?

Make it easy for budtenders to be identified with name tags!

If you’ve ever had a conversation with someone and forgotten what their name is or never had the opportunity to confirm their identity then you can relate to how nice it is for identification badges of dispensary employees to be mandated.

Each employee is required to have an identification badge. These badges need to have a color picture, company name, license number, first and last name of the employee, and their individual employee number.

Dimensions of the picture on employee badges need to be at least 1 inch wide x 1.5 inches in height and printed on laminated or plastic coated cards which are worn at all times.

Although a small requirement, it is a mandatory one and not only adheres to compliance, but “ups” the game of your dispensary aesthetic. Engage your customers, make them feel comfortable in your shop, and give them reason to come back!

Related: Customer Service Best Practices for Your Dispensary

 

Compliance is lurking…

Compliance is a 24/7 job that everyone is responsible for upholding.

Few absolutes in this industry exist, but one that certainly does revolves around compliance. At the end of the day, it keeps your dispensary open and keeps the green flowing by having a cannabis shop that can operate properly.

It’s no secret: fines take revenue from your dispensary, bring a negative light to your shop, and can easily be avoided by paying meticulous attention to detail when compliance takes priority.

Related: A Definitive Guide to Compliance — California Cannabis Dispensaries

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California Dispensary Best Practices for Compliance

Compliance is up to you –

Legal cannabis in the state of California has proven to show that there is a large learning curve for all sectors of the industry. Nowadays, first-time & experienced consumers find value in visiting clean, reputable retail locations which are known for having the best products.

What this means for the future of your dispensary, is the ability to impact a larger number of individuals on a daily basis. If your dispensary follows this shift in cannabis consumer behavior, you have the ability to capitalize on the recent trends and promote lifestyle products that influence a change in culture.

An important question to ask yourself during this time of infinite expansion is whether or not your location is fully prepared to handle the flux of customers when taking compliance into consideration.

Infrastructure starts with the hardware you choose to check in patients & manage inventory or make sales, but it doesn’t end there.

We’ve previously discussed the important questions to consider when choosing a POS, but it’s time to consider how revenue and infrastructure go hand-in-hand with the successful operation of your dispensary!

 

How are you keeping your backups?

Cloud-based and physical storage are viable options for protecting your data.

Mandatory video surveillance steps up to the plate when securing your location, but how do you secure your current security program? Cloud drive? Physical hard drive? Both?

The answer to this question can be the difference between staying compliant and falling into the dangerous realm of non-compliance.

What about your physical documents? We’re talking about the entirety of your dispensary records: shipping manifests, request receipts, laboratory testing results, transfer of custody paperwork, certificates of analysis (COA). There’s more— live inventory, sales & purchase orders, METRC reports, permits, insurance paperwork, location diagrams, employee information—you get the point!

An easy way to protect your business is by making sure you have a backup drive (or two) that routinely stores all of this information in a secure location—how you choose that location, is up to you!

As your dispensary grows, so too should your backup drives. Make sure that each is large enough to hold the full capacity of your business documents. You should be aiming to expand your data storage “arsenal” as your business grows, being sure to retain the necessary documents for specified reporting schedules.

Security is just as much of a virtual objective as it is a physical one so double check that your computers aren’t at risk of being jeopardized in case of a security breach. Routinely changing the passwords to accounts and updating them after an employee has left your business can help keep everything organized and avoid unforeseeable issues.

Be weary of “putting all your eggs in one basket” and create a multi-layered approach to accessing documents. It’d be a shame to stop operations for any period of time due to the loss of data.

 

Is your internet as powerful as it needs to be?

Enterprise-level internet capabilities can help avoid simple issues before they begin.

An increase in customers means an increase in the rate of processing information on sales and reporting to METRC as necessary. Electronic point-of-sale systems do their part in making inventory management and sales more efficient, but ride on the premise of being connected to the internet.

Wireless connectivity for point-of-sale systems are just one half of the equation though.

The second half has to do with video surveillance at your dispensary. Video surveillance must be accessed from a wi-fi source at all times, making it critically important that wi-fi connectivity is ensured. Permanent cameras installed in proper locations keep your dispensary safe and place compliance at the forefront of daily activities, although they do so in a passive way.

Maintaining a live connection to your point-of-sale and video surveillance systems works two-fold:

It keeps you compliant with the ability to ensure practice of proper reporting standards such as METRC reporting.

Connectivity to the internet is what nearly all business operations are rooted in. When’s the last time your dispensary was up and running without the internet? Think about it—your dispensary needs it!

This isn’t brought to your attention to scare you, but instead to illustrate small details that you can examine. Be proactive to growth rather than reactive to failing infrastructure by upgrading your internet services as your business scales.

It might be helpful to research the bandwidth of your internet as you add point-of-sale systems to your location or change the software you are currently using. Enterprise-level infrastructure aids in optimizing your business by being able to support technological features. The increased stacking of tech devices such as video cameras, wireless printers, and point-of-sale systems means that wifi experiences bottlenecks and slows down business.

Related: 5 Simple Compliance Violations Dispensaries Don’t Really Think About

Are you taking advantage of digital payment solutions?

alt thirty six is backed by DASH and offers cryptocurrency payment options.

Yes, you read that right.

Digital payment solutions are currently being introduced to the cannabis industry by way of alt thirty six, a platform that uses the DASH cryptocurrency as a form of solutions to the cash-only issue.

Now before you start heading down the “I’ve heard this/ that about cryptocurrency” route, let’s explain this in the simplest way possible:

DASH is a cryptocurrency that has the capabilities of transferring between parties in an instantaneous way. This means that there is no need to worry about market fluctuation or volatility of the price of DASH. Which also means that you can be sure you’re receiving $100 when you’re being told you are being given $100.

What’s more is that DASH is easy to setup, fast to use, and rides on the blockchain wave—another term you’ve probably heard of recently.

DASH operates as ‘digital cash’ and is incredibly secure. Each transaction is added to a virtual & unchangeable ledger, resulting in being able to “track-and-trace” each and every single dollar that is brought into your dispensary.

Unlike physical cash, cryptocurrency is federally unregulated and can be accessed digitally on just about any mobile device that has internet connectivity, making it a vital asset to cash-only businesses such as canal is dispensaries. The days of having to sit on cash or find a way to store it are slowly disappearing with the ability to use cryptocurrency.

One other cool thing about digital payment solutions like DASH is that there is simply no physical cash involved with each transaction. This makes your dispensary secure by limiting the amount of cash on-hand and reducing the possibility of employee theft (although we’re not saying every employee would do such a thing).

Stand out by offering a fast, secure, and creative way of taking payments for your cannabis goods! It’s sure to get the conversation going!

 

Keep a culture of compliance!

Take a multifaceted approach to protecting your dispensary.

Securing your dispensary as one that actively engages compliance and takes proactive steps to ensure a fluid, frictionless experience for your customers is sure to place you among the best of the best. Keeping a stable enterprise-level infrastructure is one way to stay ahead of unforeseen issues and maintain your operating capabilities.

As a business owner, what are some ways that you like to ensure infrastructure is up-to-date? What are other retail “best practices” that every owner should be aware of? Comment below!

Related: A Definitive Guide to Compliance — California Cannabis Dispensaries

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How to Implement A Customer Loyalty Program for Your Cannabis Delivery

What is Customer Loyalty?

Customer loyalty is one of the most important aspects of building a great cannabis delivery service. It’s a fact that retaining customers is 5x easier than having to search for a new one (Hubspot). Taking advantage of this in creative ways such as the implementation of a rewards program can upgrade your delivery service’s offerings, resulting in conversion to sales!

Cannabis delivery services are changing the way that the industry operates. By providing customers with products in a simplified, efficient way means that customers aren’t inconvenienced when performing their day-to-day activities.

Perhaps one of the oldest tricks in the book—providing customers with an incentive to come back to your business—helps build a bond and reciprocal relationship between customer and delivery service. At the end of the day, creating a rewards program comes down to the type of reward system you want to offer and the emotional enticement that you’re looking to target.

 

How a rewards program makes your business stand out and reinforces customer loyalty –

Your rewards program can make packages fly off shelves.

The slew of businesses that offer the same brands that you offer means that customers have the ability to use whichever delivery service is most convenient. So how do you keep a customer coming back? Using a simple to understand and realistic rewards program that puts the value of your customer’s time at the forefront of their experience!

Staying ahead of the competition is a difficult task in an arena with limited marketshare. Hands down, the driving force to a rewards program is customer satisfaction. Happy customers are sure to tell their friends about a great experience and those friends more times than not, will soon find their way to your businesses. This word-of-mouth marketing is incredibly valuable to your business and should be a target that is aimed for with each interaction.

Reward programs keep the attention on your business as a source of reliable product while giving incentives for customers to return, resulting in a heightened sense of loyalty. Customers buy into a brand or business because of the emotional connection they feel with a given group of personnel and the uniform experience that is provided. This bond, when paired with a seamless experience and customer rewards program maintains your position as a top source for cannabis products.

Related: 7 Questions to Ask When Purchasing Software for Your Cannabis Delivery Service

 

Rewards programs prioritize your customer relationship

Moxie 710 uses WebJoint’s Brand Platform to register customers and shop directly on their website.

Explore the endless benefits of starting a digital points reward system that can be banked by the customer to save up for something of a higher value. Looking to offer tiered rewards? Try a system that can be purchased with various perks at or awards from the start. Looking for exclusivity or a way to engage the customer on a more personal level? Use patient appreciation days or “members only” rewards program that invites your customers to high-end, exclusive events that give value by way of promoting brand interaction with guests and the opportunity to network.

Rewards programs work so long as your customer feels like they are receiving equal value in return for the monetary value they bring to your business.

Providing realistic and tangible rewards in order to promote a sense of urgency makes loyalty systems pay for themselves. Think of how useless it would be to create a rewards program with unrealistic expectations and ROI for your customer. Organizing a reward program that is effective comes down to providing value to your customers, loyalty to your delivery service, and bringing in new consumers.

Related: Customer Service Best Practices for Your Dispensary

 

Rewards programs legitimize your brand

Canndescent’s Instagram comments are a point-in-case example of customer loyalty.

A single enjoyable customer experience has the ability to bring in revenue based on word-of-mouth and posting on social media. This plays right into offering an incentive that keeps customers returning to your cannabis business.

Brands that use social media in an effective way that listens to their audience are highly successful. Oftentimes providing fans on Instagram with t-shirts, stickers, hats, and useful branded “swag” allows for your brand to be worn anywhere around the world. The outreach possibilities through social media are limitless!

Word of mouth marketing is an effective tactic and with the ability to post pictures, videos, and reviews on an international platform, customers know what value this has. Loyal customers that refer friends on social media, take word of mouth marketing into their own hands & accesses a much larger audience.

Related: The Do’s and Dont’s of Cannabis Loyalty Programs by Sonia Luna

 

Types of awards that benefit you and takes customer loyalty to a new level

WebJoint’s POS gives you the ability to create rewards programs and customize coupons.

Ultimately, the type of reward system that you establish will be based on more than just a single factor. One of the most important factors is whether or not the program you implement provides reciprocal value between your customers and delivery service. If customers don’t see value in your program, they simply wont use it! Customer satisfaction goes hand-in-hand with value being offered so give your customers something they can’t resist by implementing the following programs!

1. Points Rewards Build on Your Customer’s Loyalty

One of the most common ways of retaining customers and creating loyalty to your delivery service is to offer a points system for purchases made. Like with anything else, there’s a right and a wrong way to implementing this rewards system.

Do:

-Stay compliant and remember laws on giveaways for cannabis goods.

-Make points simple and easy to understand ie. $1 spent = 1 point earned.

-Include swag and branded material as part of available rewards for marketing purposes.

-Update customers on their status with a text message each time they make a purchase.

Don’t:

-Forget to report to METRC.

-Create unrealistic, intangible goals for rewards.

-Change the terms of redeeming points without notifying your customers.

-Allow your customer’s points to go unredeemed!

Points systems rely on a sense of anticipation that is created for the next time a customer purchases product from your delivery service. Give them a subtle reason to continue to use your service over a competitor by offering an effective points rewards system.

2. Tiered Rewards Aim at Variable Offerings

Loyalty rewards programs are grounded in the ability to create a balance of desired product and realistic attainment of the rewards offered. By offering benefits at the early stages of the program, tiered rewards systems depend on the initial “hook” that sets up your customer to return time and time again.

In the cannabis industry, this could mean a product at a discounted amount or an add-on to the purchase order at a reduced fee. A delivery service might be able to offer a tiered rewards system that guarantees product delivery within 30 minutes of ordering, an express method of ordering, or even a unique experience that makes their investment worth more at the start.

This methodology of rewards offered to customers helps provide an initial incentive that is retained as the customer continues to use your delivery service over a competitor.

3. “Members Only Rewards”

As humans, it’s in our nature to gravitate towards things that make us feel good. Rewards make us feel good and so does exclusive membership to businesses that promote a certain degree of stature.

“Members only” rewards programs give you the ability to offer perks such as sneak peeks into new facilities, invites to brand parties and networking events, and perhaps an inside look at the newest developments of your delivery service. Weekend barbecues for members, patient appreciation days, and discounts on brands that you have partnerships with are all ways that “members only” discounts might be effective in generating revenue for your delivery service.

Blow customers’ minds!

Jungle Boys‘ Instagram comments tell you everything you need to know about setting customer loyalty standards.

Loyal customers are bound to recruit new customers and in this way, giving them something of value out of the gate works to your advantage. We’ve listed 3 highly effective methods of offering loyalty programs that are sure to create customer loyalty.

Related: A Definitive Guide to Compliance — California Cannabis Dispensaries

What are some of the unique ways that you’ve retained consumers?

Comment below!

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Hardware Integrity 101 for Your California Cannabis Delivery Service

The ball is in your court –

Selecting the perfect cannabis delivery hardware that your retail location is going to use to process sales is a difficult process. You have to think about the style of labels you’re looking to print, the aesthetic appeal that a cash drawer has, whether you’re going to use a tablet or computer to process sales, and forms of payment that you are going to offer.

The integrity of your hardware is something that you shouldn’t ever have to think twice about. Partnering with correct hardware delves into variables like processing time for transactions, streamlining operations, and ease of onboarding for your staff.

Your cannabis point-of-sale is the workhorse of your cannabis retail location. Not only can your point-of-sale supply you with the necessary reports on individual staff performance, but it can also accurately provide you with raw data on inventory management, sales & compliance reports, and really prove to be one of the most valuable tools in your retail location.

Check out these tips for ensuring that your hardware selection has the integrity that you need to rise to the top as one of the top locations for consumers to get cannabis.

 

Cannabis Delivery Hardware: Tablets

iPads are a popular and dependable choice for tablets!

It’s no question that tablets are by far one of the top choices for retailers to use to run daily operations. The ability to transport a tablet in an easy way that requires minimal effort, makes tablets the clear front-runner in the decision-making process. Not only are tablets easy to transport, but most are also user-friendly and operate in an intuitive way.

Tablets have a minimal approach to the amount of training that needs to take place to make each staff member a “pro” at using the device. Other factors to take into consideration are the amount of memory that your device has readily available as well as the amount of RAM that can be used to multitask and ensure smooth operation.

Make sure that your dispensary is ready to process sales by choosing a tab that works with your point-of-sale and is compatible with the other necessary hardware!

Related: 3 Hiring Mistakes to Avoid for Your Cannabis Dispensary

 

Cannabis Delivery Hardware: Label Makers & Receipt Printers

Starmicronics is a highly sought after label maker company that integrates with WebJoint’s POS.

Label makers & receipt printers are vital tools to keeping operations neatly organized. Organization in a retail location is incredibly important for a multiplicity of reasons. Among the top is the fact that UDID’s for each product need to be made and receipts with particular warnings and tax breakdowns need to leave with each customer.

Not all label makers are created equal and not all may mesh well with the aesthetic identity of your retail location’s branding the way that others do. Maintaining a consistent message with the branding of your retail location can make a world of difference in the approach that your customers. Choosing a label maker and receipt printer that doesn’t stick out like a sore thumb is a small, but close attention to detail that is sure to maintain the vibe of your location.

 

Cannabis Delivery Hardware: Barcode Scanners

Scanners should be capable of reading METRC UDID tags and product labels.

Barcode scanners can be used to scan each batch when it enters your facility, each product as it’s checked into inventory, and again when it is sold to the consumer. In this way, barcode scanners are an essential tool to the successful operation of your dispensary. By producing a simple and intuitive way of making sales, barcode scanners have become the pinnacle of tools, when used with working software, to keep track of all products.

On top of this fact, barcode scanners minimize the amount of manual labor that has to be done to enter UDIDs of each product by hand. This means that here is a reduction in the amount of potential errors that can be made by a staff member. As the BCC begins to check in on licensed dispensaries, it’s critical to have a neatly organized set of data to present that is free of errors. Errors mean penalties and penalties put your business at risk for closure. METRC requires that a UDID is put on each product from seed-to-sale—don’t miss out on the

Make sure that your barcode scanners are not only top-of-the-line, but are compatible with the point-of-sale that you are using.

 

Digital Payment Options

alt thirty six gives consumers the option to use cryptocurrency instead of cash, debit & credit cards.

The cash-only days of cannabis purchasing are over. This isn’t to say that debit cards and credit cards are the only method of offering cashless payment options. In fact, using debit and credit cards through payment processing isn’t suggested. Stories of accounts being frozen and assets being held by the bank of choice run rampant throughout the industry. So what’s the preferred method? Using cryptocurrency.

Cryptocurrency is unregulated by the federal government, meaning that all transactions appear on a bank statement as a purchasing of cryptocurrency. Being capable of bypassing federal regulations allows for efficient transactions to take place while minimizing the amount of cash that has to be used to make cannabis purchases. The cash-only cannabis industry suffers in terms of safety and efficiency.

Alt thirty six, a cryptocurrency platform that uses DASH as a payment option has taken the initiative in offering cash alternatives for the cannabis industry. Unlike Bitcoin which is subject to market fluctuation and volatility, DASH transfer almost immediately from Fiat to crypto and then back into fiat after the merchant has processed a sale. This immediate transaction gives customers the option to use emerging technology and eliminate the hassle of being restricted only to cash.

Using cryptocurrency allows for businesses to bypass the stringent federal regulations on centralized banking that is currently running rampant throughout the industry. In this way, cryptocurrency not only gives your business the ability to capitalize on efficient forms of payment options but takes your branding to the “next level.”

Choose Wisely!

The hardware you choose to incorporate into daily operations shouldn’t add stress to the way that you process sales. The integrity of the hardware that you choose in your retail location should be able to streamline operations and maintain an easy-to-use attitude for your business. This means that you oftentimes “get what you pay for” and choosing cheap hardware can jeopardize your ability to make sales from time-to-time. Do your research, choose hardware with good reviews, and take the time to learn the ins and outs of the chosen technology so as to use it in an optimal way!

Related: A Definitive Guide to Compliance — California Cannabis Dispensaries

What are some of the companies and models of hardware that you use to run your retail operation?

Comment Below!

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4 Obligations of a California Cannabis Delivery Service Inventory Manager

Compliance isn’t easy, but it’s a cannabis inventory manager’s main responsibility –

Getting a cannabis business license is an exciting time for any potential business owner. Although exciting, thinking of the amount of revenue that your business is going to generate can cause you to lose sight of some of the risks that need to be mitigated throughout day-to-day operations. This is where a cannabis inventory manager comes in.

Your staff is the backbone of your business and hiring a a top-notch staff capable of wearing many hats is vital. Recruiting more-than-qualified employees such as dispatch manager, delivery driver, and cannabis inventory managers is the new norm and can save your business from a whirlwind of potential fines and legal trouble.

 

Non-compliance WILL kill your business

WebJoint is METRC Certified and capable of sending the necessary reports to stay compliant.

Compliance isn’t a simple task in any industry, with cannabis being no different. We’ve previously covered the importance of maintaining a culture of compliance and while nothing has changed, we’d like to add a little bit more to the importance of staying compliant. Regulations seem to change on a daily basis and while the METRC system that is required for seed-to-sale tracking isn’t “live” yet, things are more complicated than ever.

Maintaining a proper inventory helps profit margins stay in the positive and ensure that stock isn’t running in abundance, creating a problem for keeping the product without having moved what was on your premises previously.

This is the cannabis industry—it’s regulated and regulated in some weird ways—be a part of the change in a way that protects your customer and business.

Related: A Definitive Guide to Compliance — California Cannabis Dispensaries

 

Give your customers a variety in every category.

Customers may not know exactly what they want – Moxie 710 gives them options based on their needs by partnering with WebJoint.

Keeping up with the latest retail trends isn’t easy—but as a cannabis inventory manager, it’s entirely necessary. Creating an open line of communication with your delivery drivers and “front of the house” staff to see what products are trending will give you a better of idea of what needs to be stocked and how frequently.

Staying one step ahead of the game starts with being able to provide your customers with the flower, concentrate, edible, tincture, and topical brands they want. Losing revenue due to not having a product available not only makes you lose a sale, but could potentially be an overall deal breaker for your customer, forcing them to find the product they want elsewhere.

We think it’s better to be one step ahead of the game and talk to your staff about the most recent trending products from top-notch brands in the industry. Who else, besides your staff knows about the recent trends?

Stay on it!

Related: 7 Questions to Ask When Purchasing Software for Your Cannabis Delivery Service

 

Use point-of-sale data to keep inventory trends on point!

Dispensary data can influence inventory decisions and brand selection for ultimate success.

Data from your delivery service point-of-sale should be your best friend when making decisions on how frequently to re-stock your shelves. Your point-of-sale can provide you with a full history of patient purchases, revealing habits that deserve increased attention. Being able to effectively communicate with your distributors and layout a plan for the next couple of deliveries helps nip a problem in the butt before it has the opportunity to begin. By using data and detailed sales reports, you can organize driver kits with pinpoint accuracy, never missing out on an opportunity to service a customer.

Accurate point-of-sale numbers help to make sure that you aren’t stocking up on too much product, either! Consumer patterns change quickly and if you are stocking an overabundance of a product that isn’t part of the latest trend, you are forced to move this product at a rate that is lower than what you initially projected.

Use the data points provided by your POS to maintain the proper level of inventory and continue to satisfy the wants of your customers.

Related: 5 Simple Compliance Violations Dispensaries Don’t Think About

 

A cannabis inventory manager must be organized!

Manual data tracking is a thing of the past. Choose a POS that does this digitally!

Let’s put this into a cannabis situation: there’s organized and then there’s “the BCC is knocking” organized.

If you can’t keep your inventory room organized, how do you expect to keep your business on the right track? As an inventory manager, setting an example for the rest of your staff should be a top priority. What should be a no-brainer is actually one of the most common mistakes that takes place in cannabis businesses—keeping stock rooms organized.

Keeping a clean and well-organized inventory room is an absolute must for those looking to be on top and push the boundaries of “norms” in terms of inventory management. Aim to be the cleanest, well-organized delivery service that the BCC has ever seen.

Losing inventory or misplacing it is subject to investigation from the BCC, which can land your business in a position to deal with fines and potential suspension. The BCC takes inventory management very seriously and is arguably one of its top priorities. METRC-integration not only allows for the track-and-trace of every product, but in reporting to METRC, requires for any discrepancy of inventory to have a justifying reason behind it.

Avoid the possibilities of losing product or misplacing it by doing routine storage maintenance and inventory reconciliation. A proactive attitude can go a long way and keep your delivery service’s head above water.

 

Audit! Audit! Audit!

BCC audits with organized reports are quick and painless.

Compliance is a matter of being on top of the ball and making sure that you do everything in your power to maintain the appropriate culture in your workplace. This includes making sure that you are completing mandatory inventory adjustments and reconciliation when they need to occur. It also means that you should double-check all of the necessary security measures, hardware maintenance, and staff knowledge base as regulations are being finalized.

Auditing your stock is one way of staying compliant with the other falling on the shoulders of your staff to maintain a culture of compliance.

Related: Overview of 2018 Cannabis Delivery Regulations, Taxes by Aviva Spectrum

Proactive auditing and enlisting your staff to lend a hand can be a crucial difference in the way that your day-to-day operations take place. Your staff should be capable of more than performing the role of being a delivery driver—they ought to do so in a compliant way. This means making sure that they know to double check their shipping manifests, delivery routes, driver kits, and having all of the necessary paperwork to keep them legal while on the job. After all, audits for all aspects of compliance are critical.

 

Cannabis inventory managers are essential!

WebJoint’s inventory management is easy to read and intuitive to use.

The job of an inventory manager is certainly no easy task and while the industry is still adjusting to regulations changes, it’s no surprise that having an inventory manager and compliance officer has become the new norm.

From making sure that inventory is neatly organized to maintaining the integrity of your delivery service staff, the job of an inventory manager requires pinpoint attention to detail. Responsibilities of an inventory manager go far beyond just making sure that you have the right inventory when you need it and encompasses a certain level of proficiency in being organized while holding your staff to a level of performance that is sure to make your delivery service stand out against the competition.

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4 Signs You’re Using the Wrong Cannabis Point-of-Sale for Your Delivery

Every cannabis point-of-sale software is different.

There are many different cannabis point-of-sale software systems out on the market right now. Each comes with its own advantages and disadvantages depending on the type of retail business you operate. 

Your cannabis point-of-sale system is the technological foundation for your business, so this is a big decision you need to get right. 

Ask yourself, are you a delivery service? Yes. Is there a chance you are using a dispensary point-of-sale software for your delivery operation? Yes. Is that a problem? Absolutely.

Cannabis delivery services have unique pain points, requiring solutions that are often missing in your typical dispensary point-of-sale system. 

If you’re using a point-of-sale system that exhibits these 4 signs, it’s time to switch to a cannabis delivery point-of-sale software system.

Related: 7 Questions to Ask When Purchasing Software for Your Cannabis Delivery Service

I. Your cannabis point-of-sale lacks a METRC integration!

cannabis delivery software - metrc integration

METRC is the chosen platform for California’s CCTT.

METRC is the State of California’s seed-to-sale, track-and-trace system. All businesses in the cannabis industry need to utilize METRC in order to track seeds, clones, individual cannabis products, and batches from the time in which they are conceived to the time in which a consumer buys them. Your point-of-sale system should automatically report to METRC. This means that partnering with a point-of-sale that lacks METRC certification and does not have the capabilities of automatically tracking batches as they enter your inventory is not maximizing the potential of your business.

Let’s be clear here—keeping a culture of compliance is everything in a regulated market. METRC integration is absolutely necessary. Without METRC integration, the State of California‘s Bureau of Cannabis Control has no way of ensuring that you are keeping track of all sales and has no way of acknowledging that your product has been laboratory tested per BCC regulations. Make sure that when you are partnering with a point-of-sale system, that METRC certification is fulfilled.

Related: A Definitive Guide to Compliance – California Dispensaries 

II. Your cannabis point-of-sale is not capable of automatic delivery dispatching.

Two-communication and automated dispatch is made easy by using our Fleet App.

Delivery services are mandated per the BCC to have automated GPS location on each and every single delivery vehicle that is utilized within the business. What this means is that all drivers must be able to be tracked in real-time and the location of each driver to be recorded as deliveries are completed. That’s not only to keep you compliant, but is an accurate way to ensure that the safety of your drivers and customers is well taken care of. The cannabis industry is certainly a dangerous one considering the fact that cash is the only method of payment that is technically allowed currently.

With the lack of central banking systems available for the cannabis industry in the state of California, delivery services are forced to not only accept large amounts of cash from consumers but also carry this large amount of cash with them throughout the duration of their delivery. 

Making sure that you partner with a point-of-sale system that keeps you up-to-date with your dispatch limitations and dispatch requirements could make a world of difference to the success of your cannabis delivery service.

Related: 4 Things to Look for in a Cannabis Accounting Firm

III. Your cannabis point-of-sale lacks proper delivery inventory management – big problem!

A sleek & intuitive back-end makes inventory management a breeze!

Poor inventory management is one way to make sure that your California cannabis delivery service fails to operate at its maximum potential. Inventory management is the most important aspect of delivery service success.

Not only must you manage your inventory across your facilities, you need to manage the inventory across all of your delivery drivers! This is a recipe for disaster — if you have 10 drivers on the field and you need to manage all the inventory they carry in their driver kits simultaneously, you’re bound to make an error. (An error that can cost you tons of cash in compliance violations, by the way.) 

As a cannabis delivery service, make sure the point-of-sale software you choose supports the following with regard to inventory management:

  • Driver Kit Management & Templates
  • The Centralized Inventory Model (Pizza Delivery Model)
  • The Kit Model (Ice Cream Truck Model)
  • Hybrid Model 
  • Splitting/Moving Packages
  • Vehicle Management
  • Comprehensive Inventory Reconciliation

All these tools are essential to ensure you’re accurately tracking each and every product that flows through your operation. Being able to account for all of your inventory and produce inventory reports on demand is crucial, especially when state authorities audit your business. If your existing point-of-sale is lacking these tools, you will experience bottlenecks and slower delivery times. 

Related: 4 Obligations of a California Cannabis Delivery Service Inventory Manager

IV. Your cannabis point-of-sale has confusing & inaccurate sales reports!

Sales reports don’t have to complicate your California cannabis delivery service.

What’s the point of partnering with a point-of-sale system if you are not getting the mandatory analytics and necessary tools that are needed to successfully run your business in an optimal way? With this being said, it’s ultimately up to you as to which analytics and metrics are the most important to track for your California cannabis delivery service, but basic reports such as daily sales reports, tax reports, inventory & staff management, and performance reports and number of customers Serviced on a daily basis, are all examples of reports that can shift and optimize the operations of your delivery service.

Partnering with a point-of-sale system that automatically generates these reports for you at the click of a button instead of manually entering CSV data eliminates the possibility of costly errors. Make sure that your point-of-sale system can generate these reports and offer various options for illustrated reports. Such illustrations and forms of reports include, but are not limited to: bar graphs, pie charts, and bell curves. These reports should be easy to understand, aesthetically pleasing and ultimately give you any in-depth look at your day-to-day operations.

V. You can’t Geofence or create delivery zones.

What is Geofencing? Why does it matter to delivery services? Well, geofencing is being able to draw a digital zone on a map. It matters to delivery services because, with geofencing, you can create custom drawn delivery zones. This allows your drivers to be especially efficient. Implementing delivery zones makes for incredible customer experience as well. With zones, the products your customers see on your website are always available for immediate delivery.

Having the ability to produce delivery zones streamlines delivery logistics. You’ll always know who is assigned where and your point-of-sale will always know which driver to send the order to. This is a huge time saver for your business. You can expect to double your operational efficiency with the automation benefits of this kind of feature. Be sure your existing point-of-sale has this feature. Otherwise, it’s time to switch!

It’s ultimately up to you!

Choosing a point-of-sale partner to use for your California cannabis delivery service is no easy task. If you are partnered up with a delivery service point-of-sale that doesn’t include the features listed above, you might want to reconsider the method in which you are processing sales. It’s important to note that all-in-one cannabis solutions for delivery services do exist. WebJoint is one of those solutions. 

Still wondering why you should switch? 

Find your answers here.

Related: The Future of Cannabis Banking by Aviva Spectrum

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5 Questions Customers Will Ask Your Cannabis Delivery Service Staff

Spread your knowledge with your cannabis delivery staff –

A new customer’s first time using a cannabis delivery service can be overwhelming. There is a huge variety of available products, different methods of growing, and quality factors to consider when buying products. New customers might use your website to search for interesting products and end up with questions. Delivering a satisfactory answer can make a world of difference in the customer’s experience. All customers should be taken care of with clear attention and given the best information to make educated purchases of cannabis. An informed answer that is constructed with the customer’s best interest in mind lays the foundation for an important understanding of how cannabis works. Make sure your cannabis delivery staff is ready to answer the following 5 questions!
 

Your cannabis delivery staff should know how you are sourcing your products.

Henry’s Original takes transparency to new heights.

Some customers care more than others about where cannabis products come from. These mindful customers may just be curious about more information on what they are buying, who grew their plant material, where it was grown, and techniques used to make sure that what they are purchasing is both safe and effective. Being capable of explaining a company’s ethos or core values can really bring value to your customer’s experience. You should have the knowledge on this and your cannabis delivery staff should be able to clearly explain how your company sources product. This shows that you as a business not only cares about your customers, but also helps consumers understand why a product is best for them. Pointing out organic products that are grown in small-batch farms might appeal to a more mindful customer whereas mass-produced and popular strains might appeal to those looking at the scale of the industry. A stark juxtaposition gives your clients the ability to gather an idea of just how many aspects of cannabis there are to consider! Perhaps, it might be an interesting “homework” assignment to give to your delivery drivers or in-house support staff to task them with due diligence on the products. But in doing so, this includes the backstory of brands and the core values that brands feel are important to spread. Not only do brands appreciate the due diligence, but your customers are sure to appreciate an experience that takes their questions into attentive consideration. Being knowledgeable about the core values of a company help make a sale and take the customer’s interest into consideration.

 

 

What are THC and CBD ratios?

The major difference between THC and CBD is a critically important piece of information that can make or break the decision-making process for customers. Explaining that THC is the active molecule that creates psychoactivity while CBD is known to be used for its medicinal benefits is a must! At the end of the day, cannabis is a substance that has been historically put into context in negative ways. Riding this wave and flipping the script starts with educating the customers on the advantages or disadvantages of using THC and CBD-dominant products. Explaining how THC and CBD work in combination with one another educates your customer and opens the discussion to the effects of varying ratios. Not everyone is looking for psychoactivity and being able to explain THC and CBD ratios is a unique way of laying out the options! Here’s something to think about—how bad would a customer’s experience bet they’re looking for CBD and are misguided to consume THC products by a rep of your company?

 

Is this going to get me high?

This incredibly common question for cannabis delivery staff. This is oftentimes a main concern for people that want to experience cannabis the “right way.” Time and time again, people have a story about being too high after not using cannabis in the proper way and having a negative experience that has produced some hesitance. Take the time to explain that cannabis should be used slowly to begin with, slowly increasing doses as needed. This protects your customer and is a way of preserving the integrity of your cannabis delivery service while giving necessary education on potency, dosages, mg, etc. Simply breaking down the fact that products vary in THC content is a way that can provide a framework for your customers to work with. For those looking to avoid a large psychoactive effect, products with low THC levels might be the way to go! Customers should understand the experience they are going to get from each product and your staff should focus on making suggestions based on the needs of each client. Related: 5 Regulation Changes for California Cannabis Delivery Services

 

What is that pine smell? Terpenes in a nutshell.

The first thing your customer will do is smell flower – educate them on what makes that smell special.

The first thing that people do when handed a cannabis product like flower is put it to their nose and inhale. Oftentimes pointing out familiar smells such as pine or lemon, customers talk about terpenes without realizing they are essential to cannabis. So spread the beans on terpenes! Giving your customers a base level of understanding terpenes not only provides a fun fact that they can take to their friends, but paves the way to an enjoyable purchasing experience in the present and future. In the world of cannabis, terpenes are everything. Terpenes are complicated so a good way of providing information on them is to offer handouts and graphic illustrations that break down the information slowly. Give your customer a terpene hand out and be prepared to follow up the discussion the next time they place an order!

 

How do I consume this?

Kiva Confections is known for their wide variety of infused chocolates, gummies, and mints!

With a variety of delivery methods offered to the community by brands in the cannabis industry, each with a different focus and effect, it’s easy to understand how a consumer can be confused about the method of consumption that is needed for each product to be effective. The various methods such as inhalation, ingestion, topical, and sublingual are all aspects of cannabis consumption that your budtenders should be well-versed in. There is a huge amount of customers that look to use cannabis for its comparability to a health & wellness supplement, but are worried about testing positive on a drug test. The answer to this question can be a tricky one and unless you can guarantee an answer that you are confident is sure to maintain the customer’s best interest, shouldn’t be used to influence a sale. A customer’s livelihood and job is oftentimes the source of this question as some simply can’t afford to fail an employment drug test. One way of answering this question might be to acknowledge the fact that cannabis products come in different formulations and with different amounts of THC and CBD. Some trace amounts of THC are known to fly “below the radar” while CBD isn’t typically what is tested for in drug tests. Giving autonomy to your customer and providing an honest answer that admits to the possibilities of testing positive is perhaps the best way to go abut answering this question. Customers should feel like they understand this possibility and make choices based on the information you give them.Education for your cannabis delivery staff really matters.

James Henry SF takes pride in being a thought leader in the cannabis industry.

Your employees are oftentimes the only source of information that customers have on cannabis. Staff needs to be able to answer these questions in a satisfactory way. Educating someone on cannabis is a marathon, not a sprint. This is important to point out to your customers as people in this industry are constantly learning something new and collaborating to share information with one another. Years’ worth of accumulated knowledge simply can’t be given to customers in a single visit so provide them with the necessary resources to gain information on the topic as they wish!

Related: A Definitive Guide to Compliance — California Cannabis Dispensaries What are some of the common questions we missed? Comment below!

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