5 Tips for Owning and Operating Successful Cannabis Dispensaries
The cannabis retail landscape has changed. Once regarded as somewhat of a novelty, legalization has allowed cannabis dispensaries to evolve into modern and innovative retail storefronts more akin to an Apple Store than the dark, secretive spaces they used to be. Some, like Shiny Bud, are proving to be leaders in the space, setting an exemplary standard of a contemporary cannabis retail experience.
Shiny Bud is one of Canada’s most successful dispensary chains. They pride themselves on offering customers a premium experience from the moment they enter, from a contemporary and inviting store design to highly trained staff, and of course, premium products.
Co-founder Alex Ledesma joined the cannabis industry when the Canadian government passed the Cannabis Act in 2018. She comes from a forward-thinking family of entrepreneurs, so the move to cannabis was an obvious next step.
“I saw an opportunity to be part of something big in Canada’s history, so we started following the industry, and applied for an application,” said Ledesma.
Shiny Bud opened its first dispensary in Toronto on February 14. Fast forward only a few months, and the company has opened the doors to its fifth location in a small town called Orleans, just outside of Ottawa.
“We have a pretty aggressive rollout,” said Ledesma. “Coming from a quick-service industry, we’re quite comfortable with builds and finding locations. We took our expertise from that and put it into cannabis. And it’s all completely within the family.”
Shiny Bud was awarded 75 dispensary licenses by the Canadian government. The company’s expansion plans include two more Ontario store openings this year, bringing the total number of store openings to seven. And they have no plans to slow down.
“We should be hitting 30 stores by the end of 2021. And we’re planning on maxing out to 75 stores allocated. When we stop to think about it, it can take our breath away.”
The constant march forward of legalization has created an ever-growing interest in dispensary ownership. Below, Ledesma offers up five pieces of advice for those looking to enter the cannabis game.
1. Have a Well-Trained Team That’s Focused on Customer Experience
As the industry is still so young, formal education in cannabis is still relatively scarce amongst prospective employees. For Shiny Bud, this presents an opportunity to reinforce one of their most important business objectives: provide cannabis education and training for their budtenders to pass on to their customers.
“Education is everything because the industry’s so new,” Ledesma said. “We truly believe that we’re an industry where we need to listen to our guests. This is one of the first things we teach our budtenders, along with providing a safe and educational experience for our customers in-store.”
For many customers, the biggest value in going to a dispensary is learning which products are best suited for a specific condition or effect, whether they’re seasoned cannabis consumers or newly curious.
“The goal for budtenders at Shiny Bud is to ensure customers are choosing the right product for them to provide a safe experience both in-store and at home,” Ledesma said.
2. Create a Guest Centric Environment
This goes without saying, but customer service is critical to the success of any retail operation. Ledesma attributes Shiny Bud’s success to the brand’s core vision of providing a “fast and friendly cannabis retail destination.”
“We strive to offer our customers a unique and memorable experience — this has stayed with us since day one,” Ledesma said. “When you walk into any of our Shiny Bud cannabis dispensaries, they’re bright, they’re big, and there’s a lot of education. The budtenders are dressed uniformly, and there’s personality — it’s not what people expect.”
Watching the change in customer demographic has been encouraging to Ledesma, who notes the increase in the 60+ demographic looking to add cannabis to their health and wellness, whether it be recreational, or to aid with a specific ailment.
“As a disclaimer, we always have to tell them that we’re not doctors and we can’t give them medical advice, so to start low and go slow,” Ledesma said. “It’s nice to see people like my mom, my dad, and grandparents come through the door, because you also know you’re helping break down the stigma.”
3. Stock the Best Inventory
With so many quality products now available, choosing which ones to bring to Shiny Bud is quite a lengthy process.
“We carry out a lot of research in terms of what’s new or trending, and what our customers are looking for in each location,” Ledesma said. “I wish I knew consumers’ buying preferences before our initial order was placed. We ended up buying too much!”
“We also use recommendations from our team members, our budtenders, and our customers. A lot of times we bring in representatives of the licensed producers to educate our budtenders about the products we’re selling.”
The three most popular purchases across three Shiny Bud locations are dried flower, vapes, and pre-rolls. “Our most frequently asked question is, ‘what is your highest THC or CBD?’” Ledesma said.
4. Have a Great Location
The age-old proverb of “location, location, location” rings true in the cannabis industry, too. Finding the right real estate is arguably the most important part of retail success. Plus, because of the industry’s prohibition history and the nature of the products being sold, it’s important to find understanding landlords.
“Initially, landlords have said to us, ‘absolutely not, we will not entertain the idea of having a cannabis retailer here,’ so I invite them to take a look at one of our dispensaries so they can see the vision of what and who we are as a company and as an industry.”
5. Ensure Your Cannabis Dispensaries Connect with the Community
Dispensaries are already major focal points in their communities. For Ledesma, giving back and helping break down old stigmas related to cannabis is a top priority.
Shiny Bud is in the process of launching a collaboration with Tsaichedelic to create a line of tie-dyed tees and other merchandise. The proceeds will go towards supporting Cannabis Amnesty projects, like providing legal counsel to get those with criminal records over minor cannabis charges expunged.
“Being a woman and a person of color in the cannabis space, I really believe in the fact that it needs to be the same playing fields for everybody,” Ledesma said. “Teaming up with Cannabis Amnesty just felt right.”
With the regulated cannabis market still so new, it’s important that business owners are able to adapt to changes and weather the ever-changing landscape of cannabis and the regulations.
“It’s ever-changing, so we’re constantly learning and growing from it,” Ledesma said. “Regulations are always changing, so being fluid helps a lot.”
Look for Shiny Bud cannabis dispensaries in Canada and keep an eye out for their expansion into America in 2021.
Tyson 2.0 Launches New Mike Bites Cannabis Gummies
Nearly 25 years after he was disqualified from the World Boxing Association Heavyweight Championship for biting his opponent’s ears, Mike Tyson’s Tyson 2.0 cannabis brand has just released ear-shaped edibles, Mike Bites.
The new ear-shaped edibles are complete with a missing chunk where Tyson removed a portion of Evander Holyfield’s cartilage in what became known as The Bite Fight. After Tyson bit off a chunk of Holyfield’s ear, the 1997 match resumed. However, after attempting to snack on Holyfield’s second ear, Tyson was disqualified and his boxing licence was withdrawn. The Nevada State Athletic Commission handed Tyson a a $3 million fine for his actions and he didn’t fight again for over a year.
Mike Bites gummies will be sold at dispensaries in California, Massachusetts and Nevada.
Wiz Khalifa Debuts New Taylor Gang x Stündenglass Collab
Wiz Khalifa and his entertainment company Taylor Gang Ent. have collaborated with Stündenglass, the world’s first gravity-powered infuser, to introduce the iconic gold and black Taylor Gang x Stündenglass.
“I’m honored to have collaborated with long time friend Wiz Khalifa, who is as passionate about this product as I am. Our mutual admiration for Stündenglass made it a natural collaboration,” Stündenglass CEO Chris Folkerts said via a press release.
Taylor Gang x Stündenglass is an authentic collaboration developed after the multi-platinum-selling, Grammy-winning, Golden Globe-nominated Khalifa discovered Stündenglass and began enjoying it regularly as seen on his Instagram.
“I love my Stündenglass, and I’m pumped everyone gets to experience this with me now,” Khalifa.
The infuser features a patented 360-degree gravity system that elicits a powerful and immersive experience. It generates kinetic motion activation via cascading water, opposing airflow technology and the natural force of gravity.
The Taylor Gang gravity bing comes in an exclusive black and gold colorway and features two glass globes on a metal base made of aircraft-grade aluminum, surgical grade stainless steel, and high-quality Teflon seals.
Taylor Gang includes artists Ty Dolla $ign, Juicy J, and Berner among others — the former of which has his own line Stündenglass collab with his Cookies brand.
“We’re very excited to launch the official Taylor Gang x Stündenglass. We use glass in our everyday lives, so it only made sense to team up and create an exclusive Taylor Gang collaboration for the fans,” Taylor Gang said.
No Super Bowl for Brock Ollie
With medicinal marijuana being legal in 37 states and recreational cannabis allowed in 18, we should be seeing commercials for companies, products, and services almost as frequently as commercials for sports betting, which is permitted in 30 states in some form.
However, mainstream cannabis advertising continues to be non-existent, as demonstrated in the recent news that NBC has rejected an ad by cannabis e-commerce and advertising platform Weedmaps from being shown during the Super Bowl LVI event his coming Sunday.
Weedmaps reportedly approached the network late last year about airing a Super Bowl commercial that would be “similar to a PSA,” according to reports. Execs volunteered to present some of their earlier educational-based programming, assuring NBC executives that it would not contain any direct-sell messages, which are still forbidden under federal law.
“The answer was a hard no — they wouldn’t even entertain the conversation,” Weedmaps Chief Operating Officer Juanjo Feijoo told Adweek. “We see ourselves as trying to be trailblazers in the industry and making new inroads where others haven’t gone before in cannabis advertising. So it was disappointing.”
The contentious ad personifies cannabis as Brock Ollie, a head of broccoli, the veggie emoji commonly used as a visual representation of cannabis in marketing. The 30-second ad takes viewers through a day in the life of Brock Ollie, whose superfood identity is in jeopardy as he is repeatedly misidentified as cannabis. The ad offers a lighthearted take on the industry’s issues, such as social media censorship and a lack of clear advertising standards, which limit cannabis-related commercials during nationally televised events like the Super Bowl.
“Despite three quarters of the country having legalized cannabis and the bipartisan enthusiasm we continue to see in support for change at the federal level, the industry continues to face roadblocks that inhibit competition in the legal market and stifle opportunities to educate,” Chris Beals, CEO of Weedmaps said. “There’s an irony in the fact that the biggest night for advertising will feature an array of consumer brands in regulated industries, from beverage alcohol to sports betting, yet legal cannabis retailers, brands and businesses have been boxed out.”
The game between the Cincinnati Bengals and Los Angeles Rams will be played Sunday in L.A.