A wise operator once said, “regulated cannabis is not for the faint of heart”. Actually, a lot of operators have said that. Most operators have at least felt that. Regulated cannabis is a rocky road that is certainly not an easy cash grab as it may appear to the mainstream media. The cannabis industry is dripping in red tape, regulations, and constant changes that force the leaders to be ready to pivot at a moment’s notice. While there are certainly more glamorous industries, there are rarely industries that are full of as much passion and new industry excitement as cannabis right now. Americans in particular are in an opportune position as the market begins to find its’ footing in an overarchingly unstable market and tomorrow’s leaders are being crowned today. But as this new landscape is being uncovered, how are operators establishing their business branches for success tomorrow? How are they identifying the right platforms and software systems to utilize as the foundation for their teams to operate on? Selecting a software for your cannabis operation is nothing to take lightly, and we have the right kind of questions to ask as you explore this tricky territory.
What API Integrations are you Compatible With?
A POS can’t simply be a POS anymore- it has to be able to support your organization past the transaction. That’s where POS API integrations come in. In cannabis, POS systems are what houses live product and due to strict marketing regulations, it can be difficult to convey to customers what products you have in stock before they walk through the doors. To break down that barrier, POS systems have to be able to connect with menu, delivery, and click and collect services such as iHeartJane or Weedmaps. These platforms make it easy to search both inventory at your retail location but also search for their specific favorite products and take the leap to check out your store. These platforms will often display product pictures, dietary and dosage information, and your current prices. This kind of integration will also naturally relieve staff of having to budtend over the phone and free them up to focus on in-store guests. Key API integrations boost your brand visibility, develop customer relationships before their first visit, and make the workload easier on in-store staff. These integrations are absolutely non-negotiable with a POS system.
What Compliance Measures are in Place?
Compliance may be the bane of many operator’s existence, but these guidelines are what keeps regulated cannabis running. Some POS systems may have loose guidelines or settings that need to be hand-set while others come with compliance guiderails already built in. More advanced POS software systems will be ready to essentially plug and play with compliance measures built in to prevent over-selling, under-reporting, or any other accidental measures that could create costly compliance fines or even threaten the operating license. We of course suggest partnering with a POS platform that has done the legwork to protect your organization from potentially show-stopping errors. Within this world, also asking how that platform’s team stays up to date with cannabis updates will also help inform on how in tune with the industry this group may be. Organizations that also offer licensing support or cannabis consulting have to stay up to date on all legislative progress made in the cannabis industry. This kind of knowledge comes with ongoing progress as they will be motivated to drive updates to allow for cannabis regulation changes as they happen. These kind of platforms are pro-active, not reactive, and those are the kind of partners you want to work with.
What is the Transactional Process Like?
Every organization is different and unique customer experience expectations drive different dispensary setups. Some have backend fulfillment, some have budtender fulfillment, and some develop processes that use different elements of all the schools of thought to best serve their guests. While some POS systems don’t allow for backend fulfillment or have limited functionality, finding a POS software that can accommodate different fulfillment models allow for future growth and potential to expedite processes. As we saw with quarantine, some stores had to majorly pivot from in-store sales to being essential, but having to only allow drive-up curbside orders, click and collect, limited menus, drive-thrus, or delivery. While quarantine was a difficult time, it did further reiterate the need to find software solutions that are adaptable to the ongoing changes whether they be for ease of process or be more dire. We would suggest only utilizing POS systems you can trust to be flexible with your business.
What Reporting Capabilities are Available?
While this will not spark the most magical conversation, reporting is absolutely business critical when it comes to picking a POS platform. Reporting will drive business decisions, both internally to drive success and externally to deliver results to stakeholders and the community. There are some POS platforms built entirely on complex reporting systems that deliver great results, but may be complicated to use. There are some POS systems with great user interfaces but difficult reporting that may not update or be available until the business day has been closed. Here’s where you absolutely cannot afford to compromise- reporting has to be accurate and live. Live reporting allows operators to hop in and see exactly how a location is performing in live time. If there is a promotional item, they can track to see when it sells out to take down the promotional materials down and not over-promise on limited time offers. They can see what times of day drive the best sales, what products are moving in what time periods, and even just to the minute sales to best drive labor towards sales goals. Partnering with a POS that can’t drive reporting to keep up with you, it’s best to leave it in the dust.
How Will This Help Me Grow?
At the end of the day, a POS truly has to be more than just a cash box. It has to drive data-based business decisions, it has to be flexible to grow with your business, it has to be able to be a jumping off point to build your brand as an authentic authority in cannabis in your area. That being said, listen to how your POS partners say they will help you grow. There are POS software solutions that have teams available to support your brand expanding into new and existing regulated territories, including licensing support. There are POS systems that go past the transaction and deliver their compliance based software across distribution, cultivation, manufacturing, and more. They can even deliver services outside of the transaction and support marketing, sales, and even finance teams all in one subscription service. Those are the kind of partners to look out for because they will not only want to grow with you, they will be there to support and drive that growth proactively.
We may be biased, but we believe that MJPlatform is that partner for the right cannabis operator. Our comprehensive ERP services make transactions compliant, easy to track, and even easier to process for everyone involved. Our ERP platform is rooted in compliance integrations and our consulting services have countless license wins in nearly every regulated territory in the United States.
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