While vending machines themselves are not anything new or exciting, vending machines for cannabis are another story. They are innovative for the cannabis industry and will likely become a new normal due to the benefits they offer dispensaries, budtenders and customers alike.
Kiosks Make Dispensaries Safer
Cannabis vending machines entered the market before the coronavirus but proved themselves a valuable addition. Existing cannabis kiosks played an essential role in keeping people safe by enabling contactless transactions during the pandemic.
Since following legal and security regulations is critical for dispensaries, cannabis kiosks are enabled with high-tech security features. They can check ID’s while some even come equipped with facial recognition. Kiosks like Greenstop don’t allow purchases to go through until a budtender has checked the ID. Greenstop also plans to launch an app that will enable customers to research products and pre-purchase from a mobile device, perfect for the covid-era.
Like most industries, cannabis is becoming increasingly more digital. Online ordering saves a lot of business during social distancing – particularly CBD companies – and helped cannabis dispensaries keep up with influx business during the shutdowns. During the first half of 2020, dispensaries in Colorado saw record breaking sales, totaling $978 million – a 20% increase from last year.
Kiosks Increase Sales
Vending machines act like a self-checkout lane at a grocery or retail store and are ideal for customers who know what they want. By allowing these customers to get their product quickly without having to stand in a long line, the dispensary can drastically increase their sales with kiosks like Grasshopper and more.
Short for “analytics,” Anna came out during covid and can hold more than 2,000 products. A typical set up involves 3-4 units on the sales floor, all fitting into an 8 square-foot track. Even one vending machine can allow a dispensary to sell more products without hiring more budtenders and acquiring more overhead.
Machines like KIOSK reduce wait time up to 50% and increase the average order size by 25%. They also automatically gather data collection, making it easier for the dispensary to make stocking decisions and analyze their sales and trends. Each kiosk comes equipped with back-end integrating to the retailer’s POS and reporting systems. Companies like Grasshopper also act as an ATM and bitcoin kiosk, though they only accept cash, debit, or credit cards.
CBD vending machines like Greenbox are also making appearances in convenience stores. They can boost a company’s sales and increase its brand exposure – a critical element for such an oversaturated marketplace. Designed to be educational, Greenbox has detailed ingredient descriptions and intended effects for each product. After scanning their ID, a robotic arm selects the item from a refrigerated area below and deposits it into a shoot for the customer to grab.
Merely replacing products in a vending machine with joints, edibles, and extracts won’t cut it. The kiosks on the market are much more innovative, complete with educational features, and designed for speed and security. KIOSK, for example, has UL and FCC safety certifications.
With AI-powered brands like anna, the customer cannot select their product without having an anna agent verify their driver’s license and purchase. Like most kiosks, anna comes with a POS system to accept payment. Customers can also complete their purchase with a QR code upon arrival, keeping checkout process to under a minute.
Kiosks Improve Customer Relationships
Waiting in long lines builds frustrations, hurts brand loyalty, and creates impersonal interactions between customers and budtenders – especially for the customers who know what they want.
Letting people get their products more quickly and efficiently allows budtenders to spend more time with new customers, show them different products, educate them, and make them feel comfortable and cared for. Having all these traits are critical for breaking existing stigmas behind cannabis and normalizing it.
Programmers have been unsuccessful in putting empathy in machines so far. Hence, kiosks are not a replacement for a budtender or human personality. Instead, they allow budtenders to provide higher service levels – a significant advantage for an industry where competition depends on knowledge, customer service, and educational content.
Final Thoughts
Cannabis kiosks are a significant step forward towards normalization in the industry. Traditional retail stores have had self-checkout standards for decades, making the cannabis retail model outdated in comparison. But, with innovation and technology, cannabis can be sold compliantly and securely from a machine.
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