Dispensaries provide an accessible and comfortable shopping experience for people aged 21 or over looking to purchase cannabis products.
Dispensaries often employ deli-style selling, with budtenders offering flower in a jar to customers/patients to look at and smell before weighing. Unfortunately, this can slow checkout times considerably while increasing the chance of spillage or overweighing of product.
Location
Location can have a tremendous effect on a dispensary’s success. Not only must it meet state regulations regarding distance from schools and other locations, but customers must be within walking distance for convenient shopping experience. Furthermore, its location should provide secure surroundings with sufficient parking capacity.
Dispensaries typically provide various payment methods. Alongside cash payments, these may include ACH transfers, cryptocurrency transactions and point of banking transactions – increasing average cart sizes by as much as 31%!
Dispensaries require a point-of-sale (POS) system with sales, inventory, reporting and management tools for maximum efficiency and customer experience. Such software can make running their business smoother while improving the overall customer experience.
Atmosphere
An atmosphere at a dispensary can make or break a customer’s experience. The ideal dispensaries have clean and well-lit spaces with welcoming employees and marijuana that customers can smell or touch before purchasing it. Some dispensaries also provide specials that encourage customers to return.
Legal dispensaries must comply with local, county, state and federal laws pertaining to the production and sale of marijuana products, which includes possessing all necessary licensing, permits and insurance policies.
An essential tool in managing inventory, sales and other aspects of business operations for dispensaries is Point-of-Sale (POS) software. Business owners can utilize it to access reports in real-time and make data-driven decisions while managing promotions across multiple locations; creating promotional offers across locations is another benefit that will increase revenues while simultaneously improving customer experiences. Most dispensary POS solutions can be accessed remotely on both desktops and laptops for maximum convenience.
Customer Service
Customer experience is a critical element of dispensary success. Concentrating on this aspect will allow a dispensary to build brand recognition, gain repeat business, and remain competitive within the cannabis industry.
Customer service excellence can also drive organic word-of-mouth marketing. Customers who experience excellent service at your dispensary are likely to recommend it to friends and family, leading them to promote it organically through word-of-mouth advertising.
Customer service success begins with understanding each customer’s individual needs. For instance, if they have a limited budget your team should avoid trying to upsell or cross-sell products to them as this may cause resentment and lead to negative experiences for both parties involved. Instead, your staff should focus on providing educational tools and content which help find products suitable for individual customer needs.
Product Variety
Dispensaries provide consumers with an array of cannabis products, such as flowers, edibles, vape cartridges and concentrate. In addition, these stores may sell accessories like grinders and pipes as well as pre-rolled joints which save them the trouble of rolling their own joints. Wholesalers often provide greater quantities of different brands that dispensaries can resell.
Visual merchandising refers to how dispensaries display their products to attract customers and build loyalty amongst customers. This may involve glass display cases, digital signage or simply designing their store layout in such a way as to appeal to them. Dispensaries must abide by regulations prohibiting any signage visible by those under twenty-one years old.
Price
Dispensary pricing varies dramatically based on state laws and the type of marijuana sold, typically being more costly than street prices due to overhead and sales taxes, yet could offer superior quality or potency compared with what can be found on the street.
Hardware expenses in a dispensary can range from door handles and closers for ADA use to plumbing fixtures, with custom millwork costs such as reception desks, value engineered case work, wall coverings and display fixtures costing between $10,000 and $50,000.
Point-of-sale (POS) software is an essential element of dispensary operations, helping calculate taxes, manage inventory and provide specials or discounts while collecting payment. POS solutions may either be cloud-based or locally installed for ease of access and installation.