According to The Brightfield Group, a research firm based out of Tampa, Florida, the Cannabis industry is projected to hit $31.4 Billion by 2021. At the end of 2017 the industry was worth close to $8 Billion and growing aggressively.
Most of that growth, close to 90%, is coming from the United States, which presents unique opportunities and challenges alike to those that want to capitalize in the market. Let's look at some of the challenges and analyze solutions as well.
In its infancy, a lot of the transactions in the cannabis industry were being processed in cash. But as it grew exponentially, this presents a unique set of challenges to business owners and entrepreneurs, given the inherent safety and security concerns that go along handling large amounts of cash. Aside from exposing the operations to theft, it is increasingly challenging to keep accurate accounting records to track leads and promote marketing efforts that would encourage repeat sales from existing customers. Credit cards are not accepted due to presumed liability issues which leaves a giant gap to be filled.
On top of logistical issues handling large amounts of cash, this option becomes exasperated when it's compounded by poor customer service due to long lines, the need to have access to an ATM machine in or close to the premises, not to mention ATM maintenance, servicing and breakdowns.
There is a better solution and it's called Pin-Based Debit Processing. It is not only State Bank sponsored, but it's also insured and approved. Here are some other benefits to Pin-Based Debit Processing:
• Eliminates cash transactions
• Attract and retain customers with more payment options
• Accurate online reporting
• EMV ready. It has the options to accept chip and non-chip cards
• Digital signature capture technology compliant
• Less expensive for customers than ATM fees
• Increases spontaneous spending at the point of sale
The Merchant Club of America is one of the few national vendors that can offer this exclusive service to the industry. Contact us today for more information or if you would like to get started with your very own Pin-Based Debit Processing system.
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