The legality of cannabis continues to grow throughout the United States, while its total legality in Canada has allowed the industry to flourish. As great as the industry’s growth is for the consumer, many people want to know the basics of launching their cannabis brand and how to sell to dispensaries.
Cannabis entrepreneurs of all backgrounds are searching for a magical way to get what they’re passionate about on shelves. Unfortunately, this process can be daunting for many, with most not knowing where to begin, even if they have an established cannabis brand. As a result, below will highlight the basics of selling to dispensaries and what you should know.
What is Selling to a Dispensary?
Think of selling to a dispensary as you would with any product to a store. A brand or business needs to establish itself and pass specific regulations for their product to get into an actual store. Those same rules apply to a dispensary where cannabis businesses across the spectrum attempt to sell their products to dispensaries.
Cannabis cultivators, commercial growers, edible bakeries, concentrate manufacturers, and countless other cannabis businesses fall under this spectrum. There are many ways for a business to sell to a dispensary, with it mainly depending on the product’s use, quality, and company’s ability to pitch.
The Cannabis Cultivator and Dispensary
Generally speaking, cannabis growers and hemp farmers are viewed as cannabis cultivators. Cannabis cultivators can either develop the plant or become large enough to supply nearby cannabis dispensaries. Anyone who grows cannabis is referred to as a cannabis cultivator.
Professional cultivators are authorized and qualified to direct the development and creation of cannabis for dispensaries. The product is filled in secure greenhouses or stockrooms going from limited size to a few thousand feet in development floor space.
Even though marijuana is a moderately simple plant to develop, developing quality pot is more challenging than most realize. Responsibilities regarding cultivators don’t stop at development and creation, where they might incorporate a variety of other tasks.
Proficient and effective cultivators are specialists in marijuana and see every subtlety in developing and handling a reliable product.
How Do You Sell to a Dispensary?
Usually, cannabis brands that need to know the process of selling to a dispensary are smaller and just starting. If this is the case with you, don’t worry. Cannabis buyer is the position you need to search for when selling your products to a dispensary.
Depending on the dispensary, this is either a full-time job for larger dispensaries or is someone who comes in once a month. Every dispensary operates differently, meaning there isn’t a one-size-fits-all approach to how you can discover who does what.
Generally speaking, buyers usually set up a phone meeting first, and if it goes well, they will set up an in-person meeting when they’re available. While doing this, ensure that you verify who you’re speaking to is legit, which can be done by speaking to people at the dispensary beforehand.
A good rule of thumb is to call the dispensary during a time when they’re not extremely busy. Don’t wait in line to waste the budtender’s time during busy hours, so always try to do it when they’re available. Remember that budtenders aren’t meant to solicit from potential suppliers, so don’t be surprised if some are ruder than others.
Besides calling or going into the dispensary when they’re not busy, consider visiting the dispensary’s website to find an email you can contact. You can also check LinkedIn to search for a cannabis buying business. Either way, keep a list handy, so you know who you’re contacting and what you need.
Who Do You Sell to at a Dispensary?
As noted, a cannabis buyer is a person you reach out to when selling to a dispensary. That specific title can vary depending on the dispensary, with some dispensary owners handling all sales. Large dispensaries usually have a full-time employee with this role but realize this isn’t always the case.
Besides knowing who you’re selling to, be aware of when a dispensary accepts new products. Though most dispensaries are willing to hear an offer, this isn’t always the case. If a dispensary recently made a significant deal with a cultivator, they may not have the capital to make another deal.
Getting Dispensaries to Trust Your Brand
The how to sell to dispensaries process centers around the idea of getting others to trust your brand. If you’re reading this article, you more than likely don’t know a lot about this world. Maybe you’re lucky and have a business partner who can point you in the right direction or someone with experience.
Still, what can you do to get yourself on track if you don’t? Think of selling your product to a dispensary as a job interview. You want that specific dispensary to take the potential risk in working with you, so you’ll need to give them something worth believing in.
Good rules to follow are to dress appropriately, be well-suited for any meetings, have an online presence with a trusted website, and be informative and professional. Taking these steps can ensure that the dispensaries you hope to work with are someone they should consider working with.
Creating a Proposal
The phrase proposal can mean many things. If you’re referring to a plan for getting your product on shelves, then yes, that is necessary. If you’re thinking of it in the more literal sense of what you’re willing to offer to a dispensary, that depends on the situation.
A full-blown proposal may not be necessary if you start meeting with smaller dispensaries. Regardless, having a pitch in mind can help no matter the situation. The pitch is more or less what you’re offering, your history and experience, and why that dispensary should consider you.
Either way, talk to the dispensary beforehand and discuss if they’d like a formal proposal from you or not. If it’s more laid back, try not to worry about it as much besides your usual pitch. If the dispensary requires a more detailed formal proposal, you better ensure you’re prepared.
The Necessity Of Free Products
The best and most important way for a dispensary to consider your cannabis products has to do with free samples. As old-fashioned as it might sound, consider providing some samples of your cannabis products (as long as it’s legal).
Though every dispensary varies with its buying practices, it’s easy to assume that those that made it to its shelf are products they enjoy and approve of. The samples are also a great way to show off your brand and demonstrate what you have to offer.
Regardless of your opinion on branding and how you can utilize it to your advantage, understand its importance. Free products are essential for demonstrating the potential in your brand and getting a dispensary on board with growing your business.
It’s challenging to determine what you should share with a cannabis buyer. The initial introduction should include what you’re offering, your history, and some basic background information. However, make sure you’re prepared for any additional questions they may have so you’re ready with whatever they may throw at you (cannabinoid and terpene profiles, nutritional information, sales, process, etc.). Don’t overshare unless you must.
How Much Do You Make Selling to Dispensaries?
There is a broad spectrum to how much someone makes selling to dispensaries like anything else. Expert growers who have been in the game for several years easily make over $100,000 a year, while more novice growers may take a bit to reach half of that. There is a lot of money in the industry; it just takes a while to get there.
Need Help? Consider Client Verge
Client verge helps cannabis businesses of all levels understand their objectives, focusing on a viable business that you can be proud of. Instead of stressing over taking care of every aspect of your business all alone, you’ll have us directing a clear route with ideal choices available for you.
An inventive exhibiting effort is critical to building a viable dispensary or cannabis business. Most importantly, you’ll require an approved and experienced promoting organization driving your online mission. That’s where Client Verge comes in to help. We’re here to do everything we can for you and can’t wait to hear about your cannabis effort.
Some of our essential services include:
- Social Media Management
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We appreciate you taking the time to read our look at our in-depth guide. Though the legality and questions tied to cannabis may seem like the most vital area, understanding how to sell the product is a measure no cannabis business should overlook.
Regardless, we love nothing more than assisting you with advertising and marketing your online or retail cannabis, CBD, or hemp business. We offer advanced publicizing efforts and social media management to ensure you get the most out of your cannabis endeavor. Feel free to contact us here to learn more about how to sell to dispensaries.