$8.5 billion! That’s how much consumers spent on legal marijuana in 2017 in the U.S alone. That number is projected to grow to more than $66 billion by 2025. There is big money in weed but, then again, this was always something that was a matter of public record. The only difference is that, in the past, selling marijuana in most states was illegal. Now, 33 states plus D.C have legalized it for medical use and another 10 have legalized it for recreational use. This is the time to join the industry and make a financial killing. And the way to do that is through the use of a robust marijuana software.
What is marijuana software?
Marijuana Software and the Cannabis Industry
Let’s face it, not everyone is going to be a marijuana grower. As wide and inclusive as the industry is (it includes cultivation, transportation, processing, etc.) there are just not enough niches for everyone interested to join. Even if we could all grow our own cannabis and run our own medical marijuana dispensaries, there are still certain aspects of the market that would need filling in.
This is evidenced by the rapid growth of an entire ecosystem of impressive startups whose main goal is to support the business end of things. You could argue that this is the less sexy area of this industry. We are talking about marijuana software and an assortment of other business offshoots that support the industry:
- Seed to sale software companies.
- Package-design firms.
- Public relations firms.
As the industry grows and more states begin to legalize the use of cannabis, more and more industry players will join the fray and, for the most part, it seems as if these newcomers won’t be directly linked with the production and sale of cannabis but rather with everything else that goes towards making sure that the consumer is not only fully informed but is also fully served.
The Best Marijuana Software to Boost Your Revenue
There are several good reasons why buying and using the best marijuana software is considered something of a necessity within the industry. For starters, it’s a requirement by the governing or regulating bodies for most states.
The current legalized cannabis industry operates under very strict oversight by federal regulators, such as OSHA among many others. Every state that has legalized weed has its own set of laws and regulations that govern the cannabis industry within that state. As such, every industry player must play by the rules or risk hefty fines or even the revocation of their legal marijuana trading license.
This might sound simple enough. After all, most other businesses operate under a specific set of laws and regulations that allow them to keep their licenses. The difference within the cannabis industry is that those laws and regulations are currently changing in real-time. Because the legal cannabis industry is still in its infancy, the governing bodies haven’t yet concluded their investigations on what constitutes comprehensive public safety. As such, regulators keep coming up with new regulations as issues arise. This makes it difficult for law-abiding citizens with cannabis businesses to remain compliant without using the right marijuana software which links to a state-mandated platform such as METRC (an inventory tracking system) or any of the several other options.
How Marijuana Software Can Help Boost Your Revenue
The very first thing you need to consider when choosing a marijuana software that can help boost your revenue is the fact that you need one that is not only easy to use but that is also robust in that it offers you a wide array of modular options to help with customization and it links to METRC. Those three factors will determine how effective your cannabis operation is while running on that software. Here are some ways through which the best cannabis seed to sale software can help boost revenue:
1. It Makes Compliance Easy
While you might not think that this is directly linked to your bottom-line, look at it from a different vantage point: without your license, you wouldn’t have any revenue in the first place.
As already mentioned, the cannabis industry is heavily regulated and the consequences of not abiding by these laws and regulations are as dire as they come. They often include repercussions such as:
- Product recalls: If your products fail scheduled quality analysis tests, you could face the risk of having to recall several batches or maybe even temporarily halt production altogether. You not only lose valuable time but you also lose face and public trust. No one wants to be associated with a brand that has had to recall products due to public safety concerns. That’s why the best seed to sale software tends to have built-in quality control measures that ensure the best possible quality of your cannabis from the moment it hits the ground, throughout the production chain, until it gets to your customer.
- Hefty fines: Regulators know that one of the best ways to send a stern warning to industry players is to place hefty fines on those who do not abide by the established laws and regulations. Having to pay tens of thousands or even millions of dollars in fines not only cuts into revenue but, depending on the weight of the fine, could very well bring your business to a stop.
- Loss of license: This is the big one. If your crimes are too egregious, the regulating body in your state might decide that you do not deserve to sell cannabis and revoke your license. This completely takes away your ability to earn any revenue whatsoever.
The right marijuana software is built to integrate with state-mandated platforms such as METRC. These platforms allow all the different regulators to come together and lay out a comprehensive list of all the laws and regulations that must be followed within that state. Because there are several regulators in each state, all with their own set of rules, having a centralized platform that business owners can link to for real-time updates on regulatory changes is an advantage and one of the most efficient ways to remain compliant.
2. It Ensures Security
One of the biggest issues in the cannabis industry is that it’s difficult to find the right kind of support staff. For starters, regulators want you to hire the best, most trained, qualified and certified individual to work at your grow house as well as dispensaries. These individuals are not very easy to come by and once you find the right one, it’s only a matter of time before they are poached by your competitors.
Another big issue is that most staff members are not as trustworthy as you would like them to be. The fact that the cannabis industry used to operate in the shadows not so long ago means that there are still elements of the industry that operate on the fringes of the law. Legalized medical marijuana can only be sold to people who have medical cards but that doesn’t mean that there aren’t people who still want to get their hands on the stuff. Most states regulate how many ounces you can sell to a single patient every day to limit it to the amount they need. This makes it difficult for them to go and resell their stash.
Unscrupulous staff members could look for ways to circumvent these rules and dip into your inventory to make sales on the side. While they make money, you lose inventory, risking sanctions from regulators who want a complete account of every ounce you have in your dispensary.
The right seed to sale software can help curb this behavior by introducing stringent security measures, such as biometric logins for every member of your staff. This way, you can restrict access to the inventory and always have a record of who moved what and when.
3. It Helps to Keep Your Inventory Organized
To increase your revenue in any field, including the cannabis industry, you need to know what your customers like, what they want, and when they want it. You also need to have more stock than they can handle so they do not end up going to your competitors just because you ran out of inventory. It’s not just about managing what you have in the dispensary, though. It’s also about keeping tabs on what you have in the supply chain.
- What quality of product are you getting?
- Do you have anything new and exciting to add to the market?
- Which one of your products is outselling the rest and how can you replicate that popularity on most of your inventory?
It’s all about trying to figure out how you can get more customers attracted to more of the options that you offer. This is all data that you can get from a robust marijuana software that keeps track of all this information for you.
4. Helps You Create Loyalty Programs
One way to ensure you have a stable stream of income and to have a better chance to upsell to your loyal customers is to have a loyalty program designed just for them. Not only does this help build your reputation as a reliable supplier but it also helps you retain customers for the long term. The traditional way of doing this is to give all your first-time customers a loyalty card that you can subsequently stamp or load with points whenever they buy from you. The associated rewards depend on the kind of program you are running and the efficiency of that program depends on the kind of marijuana software you have installed.
The top marijuana software is not only good for compliance purposes but also for efficiency and, when used correctly, can help you grow your revenue and therefore cannabis business. Give us a call today and let’s get you started on the right path with the right kind of marijuana software.