Most businesses experienced major disruptions with the onset of the COVID-19. Foot traffic all but dropped off and sales declined. However, cannabis businesses experienced a massive increase in sales during the pandemic, despite lockdowns in many regions of the United States, with some areas experiencing spikes in revenue north of 20%. So why are cannabis businesses seeing a surge in sales while other industries are struggling to tread water?
Cannabis Businesses Are Staying Ahead of Market Shifts
Other industries and businesses are still coming to grips with a marketplace where foot traffic if minimal or nonexistent. The cannabis industry – or at least those cannabis businesses that have experienced major spikes in revenue during the pandemic – quickly made the shift to the digital sphere once the pandemic was in full effect. Additionally, cannabis dispensaries were classified as essential businesses in nearly all of the states where marijuana use has been legalized. Taking cannabis operations online removed the health risks to employees and customers. People could view products and interact with knowledgeable salespeople without having to don PPE and go out in the world.
The Payment Hurdle
Cash-only transactions certainly caused concern for both cannabis business owners and customers alike. Cash transactions were proven to be one of the main ways COVID-19 is transmitted, and since most cannabis businesses operated with cash-only transactions, this presented a big challenge. Fortunately, electronic checks, cashless ATMs for curbside pick-up, and e-commerce options for online purchases allowed cannabis businesses to switch to contactless operations to minimize health risks to employees and customers. In short, cannabis businesses were a step ahead of other industries, and are now reaping the rewards in revenue, growth, and brand visibility.
Making a Change
If you want to move your cannabis operations online and boost your revenue, or if you want to explore e-commerce and cashless payment options, reach out to the team at Topnotch Payment Solutions. We work with cannabis businesses of all types to provide solutions tailored to their needs. In the age of COVID-19, Topnotch Payment Solutions is helping cannabis businesses maintain and expand operations while minimizing health risks. Contact our offices today to start exploring your options.