The cannabis industry is continuing to grow as the stigmas surrounding marijuana lessen and regulations become more lenient.
With a predicted revenue of around $45 billion in 2025, the US cannabis market is anticipated to grow to reach around $50 billion by 2029 with a CAGR (compound annual growth rate) of 2.24%.
That said, as the industry grows, so its competitiveness—leaving those stuck in traditional and slow processes behind.
To gain an edge in this competitive market, dispensaries that have yet to get rid of manual payments, tracking, inventory management, etc. need to take advantage of automated POS (point of sale) software.
On that note, what is point of sale software? POS software is a digital solution that, at its core, processes, tracks, and manages sales. When tailored for the cannabis industry, this software can do so much more.
It can help ensure regulatory compliance, manage inventory, and generate analytics, among other things. While traditionally, dispensary owners had to manually process payments, understand and ensure regulatory adherence, track inventory, etc., most of these time-consuming and complex duties can now be automated with POS software.
Point of sale software for dispensaries often offers more features that owners previously didn’t have access to using more traditional methods. These additional benefits, along with the core functions of POS systems, can help give owners a competitive edge in the market.
One of the biggest hidden benefits of POS software is that it can handle more payment methods. Instead of straight cash, customers can pay with a debit or credit card (depending on what the dispensary sells).
That may not seem like a big deal, but consumers tend to spend MORE, not less, when using credit cards. One study found that buyers spend around 12 to 18% more with credit cards versus cash.
Point of sale software can be linked to both in-store and online sales and can track and enforce customer purchase limits to ensure regulatory compliance. This is especially helpful for staff as manual tracking can become a difficult and tedious process.
Point of sale systems are particularly helpful in tracking and managing inventory. The software can provide real-time data on your inventory, allowing you to avoid out-of-stock scenarios that may just result in a loss of potential profits.
Plus, POS software can provide analytics on what is selling well and help with better forecasting. This is particularly useful when it comes to understanding the market and remaining competitive.
Additional POS system features like customized loyalty programs can help increase customer retention and order size.
Staff management tools are another common but lesser-known feature that serve to:
● Motivate budtenders
● Restrict user access (with custom PINs)
● Protect sensitive data
POS software designed specifically for the cannabis industry can drastically cut down the staff and owner’s workload while also streamlining and automating operations. With the real-time tracking of inventory and transactions, additional payment methods, hidden features, and analytics, point of sale software is a must in a modern and competitive environment.
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