In previous articles, we’ve examined topics like controlling costs at your dispensary, and growing your cannabis retail operation with social media; today, we’re going to take a step back and look at some top-level strategic and operational decisions successful cannabis retailers make, and how your organization can use this information to positively impact your bottom line:
1. Make Compliance Your #1 Priority
The single most fundamental law of success in the niche of cannabis retail is that no license equals no business. Therefore, you should make compliance with all laws your number one priority – even over (short-term) profitability or other seemingly equally important concerns. In no other retail setting can simple human error – when it comes to reporting or inventory control –cost you your ability to legally operate, and you should behave accordingly.
2. Focus on Building Successful Systems & Best Practices
Another thing the most successful cannabis retailers have been focusing on for a while now is developing their own set of internal policies and best practices; much has been written online on this subject. Remember - legal cannabis sales are an extremely recent development, and they differ enough from traditional retail that many of the established ways of doing things are either irrelevant, or likely to land you afoul of the authorities when it comes to legal compliance issues. Pay attention to staff management, inventory handling procedures, your sales floor, product processing, security, and every other important aspect of your business and begin codifying your operational policies, and refining them over time.
3. Select the Right Tech for Your Needs
Technology has been a huge boon to those involved in cannabis retail. There are obvious applications for areas like security, but you may be surprised to know that great strides have been made in the development of cannabis inventory management systems and other software. A well-designed dispensary POS system can help your organization cut costs and improve sales at the same time, making a significant impact on your total profitability.
4. Deliver a Superior Customer Experience
The only thing that differentiates you from the many other dispensaries in your area is the experience you deliver to your customers. Anyone can grow cannabis and sellers are willing to vend their flower to whoever pays for it, whether that is you or your competitor down the road. You’ll have to do all you can to build brand loyalty through providing your customers things they can’t get elsewhere; product and flower expertise, great attitudes, and fast transaction times, all while delivering the high-quality goods they expect (but can certainly obtain elsewhere!)
Making these important strategic commitments at the organizational level will do a lot to help you build the kind of cannabis retail organization that can stand the test of time, and remain profitable for many years.
For more information on running a successful dispensary, make sure to subscribe to the Cova blog.
