Wholesale cannabis operators have become more sophisticated in how they buy and sell wholesale cannabis, and this is especially true for the retailers on the forefront of today’s multibillion-dollar legal cannabis industry. They and other wholesalers increasingly are turning to managed marketplaces to operate more efficiently and profitably. See how Windy City Cannabis uses Leaf Trade to streamline their retail operations in this short video.
What Is a Managed Marketplace?
Managed marketplaces give cannabis wholesalers the ability to use one integrative digital platform to buy and sell wholesale cannabis and ancillary products. These B2B tech platforms give wholesalers the eCommerce benefits of dynamic ordering and the ability to better manage inventory and fulfill orders. Additionally, an ideal managed marketplace will support an array of integrations needed for vital everyday business transactions, too. For example, Leaf Trade’s managed marketplace works seamlessly in support of accounting services such as Sage Intacct and cloud-based QuickenBooks.
Also, Leaf Trade sellers can invoice and be paid directly through the Leaf Trade platform, which allows wholesalers to engage their retailers directly. And the platform’s innovative Leaf Pay tool allows vendors and buyers to pay electronically via ACH and avoid awkward cash payments while remaining industry compliant.
Integrated to Promote Efficiency
A managed marketplace is all about operational efficiency, especially when it comes to managing inventory, fulfilling orders and processing payments. With it, cannabis retailers no longer have to manage orders and payments with inefficient and outdated methods and tools, such as spreadsheets and PDFs. Nor do retailers have to rely on multiple phone calls and email exchanges to set up and place orders. In addition to being inefficient, these and other old-school ways of conducting wholesale cannabis transactions also make it easy for cannabis operators to fall outside of compliance, err in order fulfillment and miss payments.
Why a Managed Marketplace Is Important for Retailers
A managed marketplace means retailers can get shelves stocked more quickly and with the products that consumers want. That’s important because consumers have so many choices in today’s competitive retail space. But a managed marketplace platform helps retailers better understand product and consumer trends by directly connecting retailers with other cannabis wholesalers using the platform. Retailers can, in one place, shop by sellers or brands to learn more about what’s being offered in their specific markets.
A Managed Marketplace is More than Just Cannabis Sales
Wholesale transactions move plant products such as trimmed flower and CBD biomass. But managed marketplaces also connect users with ancillary businesses that offer other kinds of products to expand sales opportunities. For dispensaries, that could be anything from glassware smoking products to promotional and branding services.
Managed-market platforms offer other benefits, too, such as digital tools to help companies grow and scale. Leaf Trade does this through its eCommerce suite of tools, for example, and it also provides the benefits of CRM capabilities while ensuring compliance at all points, something that can pay for itself if it prevents only a few costly delays or violations for noncompliance.