Recently, New Jersey announced that it would make cannabis sales legal. As a result, a lot of cannabis dispensaries are expecting to see more demand. And the only way these companies will be able to handle it is if they prepare accordingly. Cannabis companies need to stay growth-minded if they want to be prepared for increased sales.
In other markets like Illinois, there was a shortage of supply for patients after adult-use was legalized. And this created a serious problem for people with medical cards. Alternative Treatment Centers (ATCs) in New Jersey are required to maintain inventory to meet patient needs. The NJ Regulatory Cannabis Commission reported there were just over 130,000 registered patients with a medical card. And an estimated 800,000 potential recreational cannabis consumers.
What can dispensaries do now, to prepare?
Branch Out to Multiple Suppliers
It is a good idea for cannabis businesses to reach out to multiple suppliers. One of the biggest reasons why cannabis companies struggle is that they do not have enough products to meet the demands of their customers. With increased sales, it is critical for businesses to make sure that they have relationships with suppliers they can trust. That way, they can make sure they have a consistent influx of products that they can provide for their hungry customers.
The New Jersey Cannabis Regulatory Commission will issue four classes of business licenses:
- Grower or Class 1 Cultivator Licenses
- Producer or Class 2 Manufacturer Licenses
- Dispensaries or Class 5 Retailers
- Compliance and Safety Testing Laboratories
Right now, there are no planned limits or caps for recreational (adult-use) dispensary licenses. However, only thirty-seven (37) Cultivator Licenses will be issued. The demand for cannabis products could exceed the supply in NJ. And that means sourcing reliable licensed cultivators will be a priority for dispensary owners.
More Storage Space Needed for Dispensaries
With more product sales, it is also important for companies to invest in storage space. To ensure the quality of the product, it is important for cannabis companies to have storage spaces with the right environmental conditions. Which means dry, secure, and temperature-controlled storage.
This means investing in humidity, temperature, and light control. Because that can impact the quality, potency, and shelf-life of cannabis products. And renting additional commercial space (for retail and storage) can be hard. There are many bylaws and insurance obstacles dispensaries encounter in every state, which makes it more difficult.
Choose Cost-Effective Payment Processing
Finally, companies will be handling a lot more payments, so they need to have a trusted provider like Paybotic. The same thing is true of people who come to a brick-and-mortar store to purchase products. It is important for companies to be able to process a variety of payments as quickly as possible. Particularly for customers who would like to shop online, and arrange pickup at their local dispensary.
Get Ready for an Uptick in Sales
It is good news that a lot of companies will see new revenue from recreational sales. But dispensaries need to make sure they are ready to meet the demand of potential customers. And have efficient, reliable payment processing to expedite sales online, and at the checkout.
