Operating a successful cannabis dispensary involves navigating complex regulations, managing perishable inventory, and satisfying diverse customer needs. Key to enhancing your dispensary's performance is the strategic use of data analytics. By integrating comprehensive sales and inventory reports, dispensary owners can unlock vital insights that reveal operational strengths and areas for improvement.
Meadow’s cannabis retail software platform is designed to empower cannabis retailers by providing essential reporting tools that delve deep into cannabis data. These insights are crucial for making informed decisions that not only streamline operations but also significantly boost profitability within the cannabis industry.
In this blog post, we will explore the five most critical reporting features available through Meadow and demonstrate how cannabis retailers can use these tools to obtain actionable insights, thereby elevating their business to new heights.
Remember, not leveraging data analytics in the cannabis industry means missing out on opportunities to optimize your operations and enhance your bottom line.
🛒 #1. Product Reports 🛒
The products report plays a pivotal role in managing your dispensary. This detailed breakdown of your product data allows you to easily manage your menu offerings. Use this information to optimize your sales strategy and increase revenue. Access customizable charts directly in Meadow Admin through Product Insights or download a detailed Excel file from our reporting suite. Another key take away from a products report is to audit your inventory for inaccurate shelf price calculations, wholesale cost entries, and compliance maintenance.
🌟 Key Takeaways from the Products Report:
Understand your Range of Products
The products report offers a comprehensive overview of all the products in the system. This means you can review your entire product catalog in one place, without having to switch between different tools or platforms.
This report can also help with omnichannel sales management by providing information about the availability of each product across different sales channels, such as online, in-store, and integrated menus like Weedmaps and Leafly.
The products report includes detailed information about each product, such as THC percentage entries and descriptions, which allows you to have a better understanding of each product and its unique features. You can also use this information to compare and contrast different products, identify gaps in your product offerings, and make informed decisions about product selection and stocking.
Maintain Compliance
The maintenance of compliance is an essential element when it comes to running a cannabis dispensary. The products report helps dispensary owners review the cannabis content entries to ensure that the data contained within it is accurate and aligns with the state's daily sales limits.
In Metrc states, dispensaries are required to comply with daily purchase limits, which vary depending on whether a customer is a recreational customer or medical patient. It is essential to stay knowledgeable about these limits to avoid any potential compliance issues. However, with the built-in safeguards of the Meadow platform, dispensaries do not need to be concerned about surpassing the limits as the platform automatically tracks sales and prevents this from occurring.
Read more: Cannabis Compliance Software
Audit Margins
Ensuring healthy profit margins is crucial for the success of any cannabis dispensary. Use the products report to evaluate whether a product is generating sufficient profit to justify its presence on the shelves. The report displays the cost per unit and current shelf price of each product, allowing you to identify any discrepancies and make informed decisions. To improve your margins, negotiate better prices with suppliers or consider increasing prices if the demand is high.
This report helps you catch any data entry errors by comparing the actual shelf price with what it should be. With all this information available in one place, you can quickly analyze the entire product catalog and identify areas for improvement.
If you need this information quickly, turn to Meadow Admin's Product Velocity or Product Insights features. Product Insights enables you to review your top-performing products based on revenue percentage, while Product Velocity helps you determine when to reorder a product based on its velocity, or selling speed. By leveraging these tools, you can optimize your inventory and maximize your profits, leading to a more successful and profitable cannabis dispensary.
💁 #2. Customer Reports 💁
Meadow’s Point of Sale system includes a robust reporting feature that equips cannabis retailers with the ability to collect and analyze crucial customer data effectively. By consistently monitoring this information, retailers can uncover valuable insights into customer behavior and preferences. This knowledge enables informed decisions that not only boost customer satisfaction but also drive significant revenue growth.
🌟 Key Takeaways from the Customer Export:
Identify your VIP Customers
VIP customers tend to make more frequent purchases and spend more money per transaction than regular customers. Look for customers who make multiple purchases or high-value purchases within a certain period of time with this report. View date of last order, total amount spent, average days between and average order value to identify and reward your most loyal customers.
By using these strategies and tools, you can identify VIP customers and tailor your marketing and sales strategies to better engage and retain them. This can ultimately lead to increased revenue and customer satisfaction.
Read more: Showing Your VIP Dispensary Customers the Love They Deserve
Review Customer Demographics
Reviewing customer demographics is important because it allows businesses to gain a better understanding of their customer base, which in turn enables them to make informed decisions about marketing, product purchasing, and customer engagement. By analyzing customer demographics such as age, gender, location, and buying habits, businesses can identify trends and patterns that help them tailor their offerings to better meet the needs and preferences of their customers.
This can lead to increased customer satisfaction, loyalty, and retention, as well as improved revenue growth. Understanding customer demographics can also help businesses identify potential gaps or opportunities in their product offerings, and make strategic decisions about expanding or refining their product lines. Review this in depth using the customer export or at a glance within Meadow’s premium insights feature.
Improve your Marketing Efforts
Meadow’s built-in CRM gathers data from customer profiles, purchase history, buying behaviors and loyalty programs so you can segment audience groups and send targeted marketing campaigns to engage customers and drive sales. With these insights, you can design targeted marketing campaigns that resonate with specific customer groups. By engaging customers with personalized messages and offers, you significantly increase the likelihood of driving sales and enhancing customer loyalty.
Additionally, the CRM’s analytics capabilities help you track the effectiveness of your campaigns, providing valuable feedback that can be used to refine future marketing strategies. Whether you're aiming to attract new customers or retain existing ones, Meadow’s CRM helps you optimize your marketing efforts to achieve better outcomes. This strategic approach ensures that your marketing resources are used efficiently, maximizing your return on investment and solidifying your position in the competitive cannabis market.
🛍️ #3. Inventory Reports 🛍️
Stay on top of your dispensary inventory management with our intuitive reporting system. Easily track your current stock levels and monitor items that are running low. Identify discrepancies, spoilage, or losses that may be impacting your bottom line. Our inventory reports help you optimize your inventory management and increase profitability with package level details.
🌟 Key Takeaways from the Current Inventory Report:
Understanding Sales Trends
Inventory reports can provide a detailed analysis of sales trends over a given period of time. This can help dispensary owners to identify which products are selling well and which ones are not. Based on this information, dispensary owners can make informed decisions about restocking and reordering.
Managing Stock Levels
By analyzing inventory reports, dispensary operators can determine which products are moving quickly and which ones are not. This information can help them to manage stock levels more effectively, ensuring that they always have enough inventory to meet customer demand without overstocking and wasting money.
Reducing Waste
Inventory reports can help dispensary operators to identify products that are not selling well or are nearing their expiration date. This information can help them to take steps to reduce waste by either discounting these products or removing them from their inventory.
Improving Cash Flow
By keeping track of inventory levels and sales trends, dispensary operators can better manage their cash flow. This can help them to avoid overstocking, which ties up valuable capital, and to make informed decisions about when to order new products.
Meeting Customer Demand
Inventory reports can help dispensaries ensure that they always have the products that their customers want in stock. By analyzing sales trends and customer feedback, operators can adjust their inventory to meet changing customer preferences and demands.
Learn more about dispensary inventory management best practices.
📊 #4. Meadow's Premium Insights & Analytics Feature 📊
Meadow’s Insights and Velocity features offer users the ability to access real-time data in the form of embedded graphs and charts without the need to generate a report. This feature provides valuable insights that users can use to make informed decisions quickly and easily. Whether you are a business owner, marketer, or analyst, the Premium Insights feature can help you stay on top of your data, identify trends, and make data-driven decisions to improve your business.
🌟 Key Takeaways from Meadow’s Premium Insights feature:
Identify your Most Profitable Brands
See breakdown of your brands with revenue, cost and margin calculations. Toggle between revenue in $, order count, unit count, margin %, % of orders, cost of products sold, and average sales price for products from the brand.
See a Detailed Breakdown of Product Category Performance Over Time
Toggle between percent of revenue, revenue in $, order count, unit count, margin %, percentage of orders, cost of products sold, and average sales price for products from category.
Forecast What Products to Purchase and When
Using Inventory Velocity you can see which products are selling best, which are sitting on the shelf, and when you should re-order (or not). How many units of a product do you sell on an average day? That's its velocity. Once you know that, you can track inventory to make sure you have the right quantity of each product on hand: too little and you'll run out; too much means money sitting on the shelf. Review upcoming reorder dates of your top performing products to stay ahead and never let those products sell out. Additionally review what products are sitting with far reaching purchase dates.
💰 #5. Sales Reports 💰
The Orders Report is the most robust report available from Meadow. Get a comprehensive view of your business's financial health with this report. Monitor your cash flow, analyze the relationship between sales and costs, and predict future sales.
Our reporting system includes relevant parameters such as revenue, expenses, profit margins, and sales trends. Use this data to generate valuable insights and make informed decisions that optimize your sales and maximize profitability. Regularly reviewing this report is crucial for business owners and managers who want to stay ahead of the curve in the cannabis industry.
🌟 Key Takeaways from the Orders Report:
Verify your Financial Stability
The Orders Report provides valuable insights into your business's health and financial stability. Revenue and profit margin are key indicators of financial stability for retail businesses. High revenue indicates substantial sales, while high profit margin shows efficient cost management and healthy profits.
Read More: Money Management: Cannabis Dispensary Cash Flow & Financing Strategies
Calculate Gross Margin
Gross margin is the difference between revenue generated from sales and the cost of goods sold. It's a crucial metric for measuring product profitability in retail businesses. The Orders Report allows you to track gross margin and optimize product pricing and inventory management.
Value of Customer Transactions
Another important metric for retail businesses is Average Transaction Value (ATV). It measures the average value of each customer transaction and reveals purchasing behavior. By tracking ATV in the Orders Report, you can adjust your pricing and promotion strategies to increase sales and customer loyalty.
Track Business Growth
Conducting regular financial analysis using key performance indicators (KPIs) helps you track business growth. KPIs such as revenue growth, profit margin, customer acquisition cost, customer lifetime value, website traffic, and conversion rates provide valuable insights into your business's performance. By tracking these metrics regularly, you can identify trends and opportunities for improvement.
Staff Appropriately
The Orders Reports can help you schedule shifts more efficiently by tracking order volume per hour by day of the week, related averages and trends. This helps you schedule shifts ensuring that you have enough staff on hand during busy times and reducing labor costs during slower periods. By looking at order frequency over a specified period of time, businesses can accurately schedule shifts for their employees in order to meet customer demand during those peak times while reducing overhead by eliminating unneeded labor costs.
Discount Reporting
To ensure the success of your discounts and promotions at your dispensary, it's essential to monitor their impact on revenue and profitability continuously. By tracking this information, you can evaluate the effectiveness of your discount strategies and make necessary adjustments to optimize their impact.
Additionally, if a brand will reimburse you for a promotion, you can use the Orders Report to calculate the credit you'll receive for your next order. With this information, you can make informed decisions and develop effective promotional strategies that boost sales and increase customer loyalty.
In conclusion,
Cannabis dispensary owners may have some differences to traditional retail stores, but they share the same ultimate goals – delivering a superb shopping experience and increasing their profits. To help them accomplish that, investing in comprehensive cannabis software is paramount. Not all programs are created equal though; when looking for one with POS reporting features you should look out for things like key metrics tracking capabilities and data manipulation abilities. Doing so can boost your company's efficiency while helping make sure customers keep coming back again and again.
Learn more about How Dispensaries Can Turn Data into More Revenue
