WeedWeek business columnist, Dan Mitchell discusses how the pandemic has forced dispensaries to act more like logistics operations than retailers:
“In a conference call with investors last month, [Las Vegas dispensary complex] Planet 13 executives reported that, at $100,000 a day, sales were only half of what they had been before the lockdown. It marked a huge improvement over the $10,000 the store was generating daily in March, but with the pandemic now worsening again, things won’t get back to “normal” for a long time yet.
And even then, “normal” will look very different from before. Among other things, there will be much more emphasis on Internet purchases, deliveries, and curbside pickup than anyone had envisioned before the crisis.”
In other retail news:
- Massachusetts regulators fined MSO Acreage Holdings $250,000 to resolve charges that it sought to control more dispensaries than state law allows. The case had been investigated by the Boston Globe.
- Also in Massachusetts, the state doesn’t know what to do with 619,000 vape cartridges worth $25M, removed from shelves during last year’s VAPI crisis.
- Competition for shelf-space is increasing and so are slotting fees.
- Artist Claire Salvo posted this: