There is no question about it: the cannabis industry is in a tech boom. Thanks to adult-use in Canada and an ever-expanding number of states in the U.S., the cannabis industry is growing like never before. And, unlike traditional retail, the cannabis industry is coming of age in a post-digital transformation world. The industry has an inherent advantage. It gets to build itself utilizing the most modern technological advancements from the ground up, rather than trying to integrate them after-the-fact (ask Sears how that’s going).
At Baker, we take pride in helping license owners step into the digital age through cutting-edge customer relationship management (CRM) software built specifically for the cannabis industry. But customer marketing isn’t the only place seeing innovation in the cannabis market. Here are three trends we’re particularly excited about.
Supply Chain Management
Companies that don’t master the supply chain can quickly lose customers. As we just saw when Canada legalized cannabis, suppliers were immediately overwhelmed with orders and struggled to keep up with demand. The explosive growth of the cannabis industry in a short amount of time has created a necessity for a new type of supply chain management that will help operators adapt to new distribution models. That’s where cannabis is at an advantage—since nearly everything in the industry is new, suppliers can turn to innovative new technologies built for efficiency to revitalize the supply chain. Baker is helping connect the dots throughout the supply chain through expanded integrations, helping business owners make data-driven decisions. Ultimately, dispensaries will be able to use Baker as a single source of truth while maintaining full control over their data. This allows business owners to create a seamless tech ecosystem in which dispensaries can easily transition between various ancillary services.
A solid Point-of-Sale (POS) system should be in every dispensary owner’s arsenal, as it helps with managing inventory, processing cash and other essential functions. A POS system can save a significant amount of time, maximize sales and assist with record keeping and compliance. Baker integrates with a number of major POS software platforms, including Greenbits, MJ Freeway and others. We focus solely on providing comprehensive marketing solutions in our CRM platform, which allows us to be the perfect addition to a dispensary’s POS. You wouldn’t want to rely on your compliance software for your marketing needs, so this focus has allowed us to bring the best solutions to the market. Seed-to-sale software (commonly also known as track-and-trace) such as Trellis also plays a vital role in the industry’s growth. Seed-to-sale solutions track every touch point in the supply chain, from cultivation to POS. This enables dispensary owners to adhere to the highest safety and hygiene standards, maintain compliance with local and state laws, and pay appropriate taxes.
Any traditional consumer company has access to all kinds of data about their products and who is buying them. They know, for example, which cities and states consume the most ice cream and the best selling flavors at the top ice cream chains in the country. This enables both retailers and producers to make more informed decisions about the products they bring to market. That seems basic enough, but it’s not as feasible to do cannabis. Most producers have little information on what products sell, why or to whom. There has been no official system for feedback, which hurts not just producers and retailers, but consumers as well. That, thankfully, has changed. With analytics companies expanding and spreading, more dispensaries are able to access more data, giving a level of insight into consumer preferences that had previously not existed. Baker, for our part, provides dispensaries with real-time analytics capabilities, enabling merchants to access information like their popular products, customer ordering cycles and store visit frequency.
We’re excited about these trends because they show how far cannabis has come in such a short time. In the cannabis space, nearly everything is new—hardly any of these components existed even a few years ago. While this presents a lot of opportunities, it also results in some challenges, as we’re all figuring it out as we go. Not only do new technologies need to connect with one another (instead of building on top of an established platform, like Salesforce) but we all need to continue to adapt as legislation changes and the industry becomes more mature. Here at Baker, we consider ourselves a tech company first and foremost. But we’re also really proud of the fact that we’re built specifically for the cannabis industry, and can’t wait to see what comes next.
Learn more about how the Baker platform helps dispensaries generate more revenue and build relationships with their customers through online ordering, customer loyalty, messaging and analytics. On average, dispensary owners that incorporate Baker see a 40 percent boost in average order size and a full ROI in only 10 weeks.