Dispensaries must adjust to newer e-commerce possibilities such as delivery as cannabis shopping evolves. While it takes time and effort to set up, the delivery may be a game-changer for dispensaries, especially those with a tiny storefront or in an inconvenient location.
If you’re an existing dispensary trying to expand into delivery and reside in a state that permits cannabis delivery and has licenses available, you’re in an excellent position. You’ll only need a permit, one or more corporate vehicles that have been customized, personnel ready to drive for you, and an app that accepts and records delivery orders.
Why Open a Cannabis Mobile Dispensary?
Opening a cannabis delivery business isn’t always easier or less expensive than launching a traditional cannabis shop from scratch in most areas. You’re reaching a whole new group of folks who don’t have the time, are hesitant, or are physically unable to visit your dispensary. However, if you’re prepared to endure the starting expenditures or already own a cannabis store, providing cannabis delivery is a no-brainer.
It makes even more sense in the aftermath of the pandemic when many people have become accustomed to having everything brought to them.
While some in-store buyers prefer delivery, be warned that delivery sales are unlikely to completely replace in-store and online sales because each demographic has unique preferences.
5 Steps To Starting Your Mobile Dispensary
Consider these five steps to take when deciding to start a mobile dispensary:
Licensing
You can start a cannabis delivery service in most states for B2C dispensing or between licensed locations. A cannabis retailer, for example, may deliver to a residence in Oregon. But they must have written permission to do so and may not carry more than $3000 in retail value of marijuana items designated for retail delivery at any time.
Promotion
Cannabis is illegal under federal law, and state governments and internet advertising platforms are imposing stringent restrictions on how businesses may sell their goods.
Google, Facebook, and Twitter all have advertising rules that prohibit the marketing of cannabis sales. Ads advertising “substances that affect the mental state for recreation” are banned under the policy of Google. Twitter also forbids the use of “illegal drugs” and substances that give “legal highs.”
The mention of “illegal, prescription, or recreational drugs” is prohibited on Facebook. Moreover, Instagram and Facebook have removed cannabis-related corporate pages from their platforms.
Vehicles
Most states prohibit you and your workers from using personal vehicles to make deliveries, so if you don’t already have one, you’ll need to purchase at least one commercial vehicle. Most states do not permit strong branding or indication that cannabis goods are present in the vehicle.
Perhaps these regulations can be relaxed once the cannabis black market has faded and there is less risk of individuals stealing cannabis delivery vans and reselling the goods on the street.
Stock
Starting a cannabis delivery business eliminates the need to lease or own a costly storefront to warehouse your product. However, you still want a large, safe, and legally sufficient location to keep everything. Keeping your inventory secure while in storage isn’t the only time you’ll need to consider security.
Make sure you have adequate inventory to satisfy all due orders. Examine the current demand in the area you intend to serve. This can help you figure out how much cannabis is safe to have in stock.
Clients
Many people who utilize cannabis delivery services do so because it is their only alternative, particularly those who suffer to the point that traveling to an actual shop involves a massive effort.
Even if your business makes life easier, you must still register all clients as with any other cannabis business.
Types Of Delivery Methods That You Can Choose
It is critical to develop a delivery business strategy that maximizes the number of deliveries you can make in a given time. Pizza shops, ice cream trucks, and hybrid processes are some typical cannabis delivery methods.
- Pizza-shop delivery: The pizza shop delivery setup looks and performs the same as your typical pizza place. You have a central location (a physical dispensary) where you receive, package, label, and ship cannabis items.
- Ice-cream truck delivery: This is an alternative to the pizza setup, in which a driver carries inventory in their vehicle and makes many deliveries at once.
- Hybrid delivery: This approach combines elements of the pizza shop and ice cream truck processes to best suit your dispensary’s needs.
Final Thoughts
Mobile dispensaries and local deliveries are terrific methods to enhance dispensary income, but it must be done carefully to see a return on investment. Schedule a demo to understand how MFE Insurance can help you start legal cannabis delivery at your store.