How to Sell to Dispensaries Using Marijuana Business Data: Introduction
Selling to dispensaries can present many challenges including effectively finding and using marijuana business data. There are multiple layers of unseen hurdles that await anyone new selling to the marijuana industry. This series will help people learn how to sell to dispensaries with marijuana business data.
This five-part series will help answer questions like:
How do I select the right sales targets?
How do I understand consumers?
What makes my product unique?
How do I find the right data for me?
What makes my sales path unique?
There are many challenges when selling to dispensaries.
Now, more than ever before, people and businesses are trying to capitalize on the growing marijuana industry. Most are trying to sell goods and services to dispensaries because they are the closest to consumers. As a result, the competition in recreational states is fierce and the competition in medical states requires specialized knowledge. In addition to fierce competition, advanced knowledge of the highly-regulated marijuana industry is required for dispensaries to consider purchasing marijuana products from your organization.
To further complicate sales efforts, dispensaries often have no set purchasing or bidding processes in place making it harder to enter the market. Without countless hours of research and personal observation, gauging the marijuana dispensary market is costly and often ineffective. That is why most vendors entering the marijuana business marketplace try to find data to help shorten their runway to success. However, this pursuit of data can create hurdles as well.
Data is hard to find and sources aren’t dependable.
States require growers, manufacturers, delivery services, transport agents, and dispensaries to keep data on their operations. Unfortunately, this data is complicated, difficult to access, and often not available to the general public. Some states require using a “seed-to-sale” software to track marijuana growth, distribution, and sales. While there are multiple software vendors that provide seed-to-sale software platforms, the average business selling to dispensaries has little or no access to this information.
This issue forces many to seek other data sources. Further, other such data sources suffer from a lack of data standards, are scattered, and are often unreliable. Social media, advertising sites, and discounting sites can misreport information and are sometimes very slow to update. Additionally, trying to find out what and how much product a dispensary sells is almost impossible. All of these issues make gauging the market, planning, and sales execution very difficult. On top of that, getting to know the customers in your market is difficult for sales teams in the marijuana industry as there are very few public sources providing marijuana consumer data. This makes determining the types of customers buying products difficult.
Choosing the right market for you.
Deciding whether or not to pursue the recreational or medical marijuana market is an interesting and challenging choice. Recreational markets have less stringent restrictions on marijuana growers and manufacturers, but there is much more sales competition. Medical marijuana markets are plentiful, but addressing the needs of this market requires another level of skill. In a medical marijuana market, products must be linked to a disease and must be proven to be effective. The opportunity to serve the medical marijuana market is much less competitive, but finding and understanding reputable data is usually not easy.
All that said, it doesn’t have to be hard!
Though the problems can seem daunting, there are ways to make selling to dispensaries with powerful data very easy. Our weekly series “How to Sell to Dispensaries Using Marijuana Business Data” will give you the tools to solve these problems quickly, effectively, and creatively.