What the Cannabis Industry Can Learn From Grocery Stores

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What the Cannabis Industry Can Learn From Grocery Stores
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Cannabis will always be a unique industry and while we can take lessons from mature markets, they’ll need to be adapted to match that uniqueness.

Content created by members of Rolling Stone Culture Council, an invitation-only network of industry professionals who share their insights with our audience.Opinions expressed are solely those of the author and do not reflect the views of Rolling Stone editors or publishers.Content is produced and managed by the Rolling Stone Culture Council, a fee-based, invitation-only membership community, operated by Culture Council, LLC, under license from Rolling Stone Licensing, LLC.

Most cannabis retailers are simply unable to pay their suppliers because their working capital is tied up in inventory. This is rarely due to mal-intent and is often because cannabis is nascent and the market unpredictable. Coupled with a lack of proper business tools, this has contributed to a massive $3.

We must also leverage known solutions that are sensitive to the industry’s specific nuances. In discussing the challenges of the space with our customers, we’ve found forecasting is a root cause of working capital issues and gross margin maximization. To solve the direct pain points around forecasting, incentives and working capital, we launched PoST, or Payment on Sell Through. With PoST, retailers and brands collaborate on their orders based on actual sell-through.

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