Inventory

A 24% tax for wholesale cannabis went into effect in Michigan on January 1. Retailers quickly adjusted to the mechanics of the new tax. The bigger challenge has been understanding how it changes day to day inventory planning and cash flow management.

Margins are the lifeblood of cannabis retail, but only if you are measuring the right numbers. By focusing on true net profit and using brand, category and SKU level data to guide discounts, vendor negotiations, and ordering, retailers can transform profitability from a guessing game into a growth strategy.

Instead of chasing ratios that are nicely sortable in a spreadsheet, retailers should focus on KPIs they can improve through easy to deploy tactics. Here are the five we recommend, and why they matter.

Discounting is everywhere. From weekly promos to loyalty perks, brands and retailers alike throw discounts at products to keep velocity high. But how do you track what it’s actually costing you?

Let us be very clear: Your spreadsheet isn’t solving your inventory problems. It's a band aid when you need surgery.