The pandemic and a preference for convenience have certainly changed the way people purchase just about everything, including cannabis. There has been a significant increase in E-commerce and delivery orders for cannabis products in the past couple of years- and these revenue streams are poised to grow bigger as new consumers enter the market. Evidently, cannabis retailers all over North America have been struggling to keep up with delivery demand as they adapt to these changing times, which means the trend is here to stay. And if you don’t offer delivery services at your dispensary, your customers will order from elsewhere.
A cannabis delivery service requires little overhead costs if you already have a brick-and-mortar dispensary location. Of course, transportation and security costs would entail an initial investment, but you will get a high return on it in the long run. With a plethora of cannabis delivery software options available on the market, retailers are spoiled for choice. However, to grow your dispensary business, there are certain must-have features that you can not compromise on. Following are five considerations you must take into account while choosing a cannabis delivery software for your dispensary.
1. Cannabis E-Commerce and Online Ordering
To make cannabis delivery a success, your dispensary must have a well-designed E-commerce platform to not just manage online orders but also help facilitate the logistics needed to deliver cannabis products. Your E-commerce platform must integrate with your point of sale system and the delivery management software to allow for a seamless shopping experience. Some key E-commerce features to consider while choosing a cannabis delivery software suite are:
- Online order placement and delivery documentation
- Customer Identification verification for name and age
- Validation of area codes for legal cannabis delivery
- Dynamic sales tax calculations as per local region
- Integration of marketing tools and loyalty program
With a robust cannabis E-commerce and delivery platform, you will directly connect with your customers and have more control over reaching your desired target market while also staying relevant to consumers who may not be too keen on visiting your cannabis dispensary storefront.
2. GPS Tracking and Fleet Management
The ability to dispatch delivery drivers with the correct order and track cannabis deliveries with GPS are crucial components of delivery software. The platform you choose for cannabis delivery must allow for streamlined route planning, real-time adjustments, obstacle notifications, delivery time, and Live ETA. You should also have the flexibility to choose between the pizza delivery model and the ice cream truck model, depending on your goals and needs, and have complete control over the economics of your delivery areas as per demand and local zoning laws. Optimized delivery management via your chosen platform should allow for the following:
- Geofenced zones for expanded reach
- Reduced fleet mileage and fuel consumption
- Real-time tracking and visibility of vehicles
- Complete control of fleet and inventory allocation
- Modification of delivery routes as needed
With a streamlined fleet, route, and driver management, you will be able to render your cannabis delivery efficiently, even during peak order times, and add to your dispensary revenue.
3. Inventory Management and Analytics
Inventory management is already challenging enough when dealing with perishable products- adding on another layer of cannabis tracking for delivery orders should be a seamless process with your chosen delivery solution. When delivering cannabis products, there’s a high risk of losing or misplacing inventory, which can lead to an investigation by authorities. Hence, detailed real-time tracking and syncing of all inventory amongst your dispensary technology solutions are crucial to ensure compliant reporting with Metrc and a successful dispensary delivery business.
Also, find out if the cannabis delivery management software enables measurement and reporting of your dispensary’s most important KPIs, and how the delivery platform can help you achieve performance success. The analytics obtained from deliveries conducted through the platform should help you in optimizing future deliveries while increasing speed and lowering costs. With a comprehensive centralized inventory management system and robust analytics, you will maximize your dispensary operational efficiency and always stay ahead of the curve.
4. Cannabis Compliance and Traceability
Dispensary owners anyway have to deal with various compliance challenges in the highly-regulated cannabis industry, and expanding into delivery should not be a headache. There are potential risks associated with cannabis products leaving immediate control of the store or cash payments in unfamiliar neighborhoods. A delivery software that is fully compliant with all cannabis laws, syncs seamlessly with government seed-to-sale traceability systems like Metrc, and lets you track your inventory and delivery fleet in real-time is undoubtedly your best choice to mitigate risks and ensure dispensary compliance.
Cannabis retailers need to have a complete understanding of the technology laws applicable to the market they are operating in. Potential infractions could cost you thousands of dollars in fines, or even your cannabis license, so make sure that your chosen delivery software fully integrates with the dispensary POS system, order flows, and payment processes. Proactively investing in tech infrastructure and regulatory safeguards will create a solid foundation for you to grow your dispensary business with cannabis delivery.
5. Integration with POS and Cannabis Tech Ecosystem
Last but most importantly, your cannabis delivery solution must integrate with your tech infrastructure and POS software for efficient fleet management, inventory management, transactions, and payment processing for a quick turnaround. Your retail POS system must offer the flexibility to integrate with whatever delivery solution you choose. With Cova’s cannabis POS and its seamless integrations into an expanding cannabis tech ecosystem, including delivery software like WebJoint, the order automatically pops up with the required documentation for optimized routing and delivery, and the system updates your dispensary inventory once payment is approved and the sale tendered.
In the near future, delivery orders are expected to make up to 40% of the cannabis retail market. This is already being witnessed in mature markets like California, where over 54% of cannabis consumers make purchases exclusively through delivery. Cova’s partnership with WebJoint, America’s largest cannabis delivery-dedicated platform used by over 1/3rd of dispensaries in California, will allow you to create an incredible customer experience, automatically dispatch orders for both in-store pickup and delivery, track inventory, and always stay compliant with local and state regulations.
Embrace Change and Deliver your Best
With the surging demand for legal cannabis products, only dispensaries with the foresight to embrace the new wave of convenience and adopt delivery technology efficiently will succeed if they choose the right technology partners. With Cova and WebJoint, your cannabis dispensary delivery business will add to your profits and always keep you one notch higher than the rest. Click below to get started now.