Eastlake, Colo., January 9, 2017 – Just two years into the state’s experiment in marijuana legalization for recreational use, Colorado businesses are on track see more than $1.3 billion in revenue from the sale of weed and related products. That’s a whopping 30 percent higher than the $1 billion those businesses took in last year.
One of the difficulties faced by the industry has been the primarily cash only transaction. Employees (or budtenders) end up handling a significant amount of cash. In any retail environment employee theft is the largest loss component for retail. Over $50 billion a year.
Recent self-service innovations have emerged which eliminate the employee from that chain.
“What we’re doing with the kiosks is taking the money straight from the customer’s hands and putting it right into the vaults in our kiosks,” said Cannabis Cash Solutions CEO Andrew Savala. “The marijuana business doesn’t touch the cash at all.”
Malvern, PA-based Crane Payment Innovations is taking a similar tack, providing kiosks that include cash acceptors, bank note recyclers and coin dispensers.
Bassam Estaitieh Director of Business Development – Acquisitions CPI | Crane Payment Innovations
“It seems to be quite an up-and-coming market,” said Bassam Estaitieh, director of business development – acquisitions with CPI. And the next step for marijuana retail may be vending the product.
“I was reading an article recently about a company deploying kiosks to dispense packages of tea,” Estaitieh said. “If a kiosk can dispense tea it could easily dispense marijuana.”
The Kiosk Industry Group is a professional news and marketing association for the kiosk and self-service manufacturers. It is for the benefit of kiosk manufacturers, developers, resources and client companies who are involved in self-service and kiosk systems. News about the industry and by the industry is published on our website when it is relevant to companies that deploy or may deploy automated self-service, or to companies that support those deployers with hardware, software or applications. The Kiosk Industry Group has been active since 1995. Visit https://kioskindustry.org for more information.
GreenSTOP is the world’s first self-service, four user kiosk that allows licensed cannabis providers to serve more customers in less time and customers to seamlessly pick up.
You don’t have to go to an in-person dispensary to pick up marijuana. That is the goal for GreenSTOP, the world’s first self-service four user kiosk that allows licensed cannabis providers to serve more customers in less time and customers to seamlessly pick up. The company’s business model is to license their “Smart Dispensary” platform to dispensaries and charge them a fee to use the platform.
Black Enterprise caught up with co-founder Tim Island to discuss the company’s plans for the kiosk.
The World’s First Four User Self-Service Weed Kiosk Has Arrived was last modified: April 13th, 2018 by Kiosk Industry
SlabbKiosks provides kiosk solutions to a budding industry
SlabbKiosks will be showcasing their payment and cash management solutions at this year’s Marijuana Business Conference. Look for them at booth # 3540 on the MJBizCon exhibition floor in Las Vegas, Nev.
Las Vegas, Nevada (Nov 13, 2017) –SlabbKiosks will showcase self-service payment and cash management kiosk solutions on the exhibit floor of the Marijuana Business Conference at the Las Vegas Convention Center in Nevada, from Nov. 15 – 17, 2017. The event attracts the largest
gathering of cannabis business professionals in the world and includes informative industry-specific sessions and an exhibition of over 650 companies that provide services used in the various segments of the industry.
Slabb provides solutions to an industry that still faces cash handling/management challenges and requires an enhanced store experience for clients. The company’s payment kiosks, will be featured at the Treez.io (4415 and 916) and C4EverSystems (3909) booths at the show. SlabbKiosks will also showcase the Automated Cashier unit – a practical, effective, cash management solution for dispensaries that includes bill payment components provided by Crane Payment Innovations (CPI).
Slabb representatives will be available on the floor to discuss cross-industry solutions and experiences in automated delivery, identity management and account creation and management and their application to the MJ space.
“It’s great being involved in an industry that keeps developing and expanding. We are confident that our solutions will assist many dispensaries to better manage their cash with the option of a fully automated sales process. As with the many other industries we work in, we are always looking to provide solutions that facilitate more efficient and effective systems that ultimately enhance customer service. Something that is more important than ever in this industry”, stated President of SlabbKiosks, Peter te Lintel Hekkert.
To learn more about SlabbKiosks, or kiosk financing options available, visit booth #3540 during the Marijuana Business Conference or go to www.slabbkiosks.com for more information.
Learn more about the Marijuana Business Conference. Use #MJBizCon when tweeting about the
conference.
Automated Cashier Technology from Cannabis Cash Solutions Reduces Shrinkage, Theft
Announcement 11/09/17 — Cash flow in the cannabis industry is a constant and delicate process — from consumer to retailer, from retailer to processor, from processor to grower, etc. But for every successful transaction, a cautious entrepreneur is also aware of the risks, which can include theft (by customers or employees), the miscounting of cash, or even robbery. To combat these issues, Cannabis Cash Solutions offers improvements and augmentations for cash-handling practices in the cannabis space.
Click for full view
Cash handling goes arm-in-arm with security — so by utilizing the latest “smart vault” and automated cashier technology, Cannabis Cash Solutions helps provide entrepreneurs peace of mind with an honest and simple solution: consistency through automation. The company’s automated cashier service is a cash deposit system that transitions the responsibility of cash handling from budtenders (or other industry employees) to an automatic counting and change-dispensing system, similar to a modern supermarket’s self-checkout lane.
“With so many states becoming legal, there are tons of new consumers and, in many cases, they have a lot of questions. So rather than removing that and making it ‘self-service,’ we’re focusing on taking over just the cash-handling,” Andrew, company founder and CEO, said in a phone interview. “We wanted to offer something that preserves the one-on-one experience that you have with a budtender.”
The automatic cashier has three basic functions:
Intake cash from customers into a secure deposit vault.
Accurately calculate and dispense the customer’s required change.
Provide real-time updates tracking the amount of cash inside the unit.
Each step of this process helps to streamline cash flow in a retail setting, remove employee temptation by automating their cash-handling responsibilities, and reduce the threat of robberies by keeping cash secure and largely inaccessible. The automated cashier also frees up valuable time that would have been spent counting cash and removes the chance of a costly, time-consuming miscount.
At the end of the day, or whenever the deposit vault needs to be emptied or cash needs to be transported, an individual with proper clearance — a store manager or security personnel, for example — can access and remove the deposits via specially designed cartridges.
“From the transport standpoint, they like the idea of just being able to look at a report, see how much money is at a location, go in there, pull some cartridges, know that the count is going to match, and then take it back to their counting room,” Andrew said. “That’s opposed to what they deal with today in pretty much every case, where it’s the store’s responsibility to count all the money, they have to bag all the money, they have to tag all the money, then the transport company picks up the money, takes it back to their counting room, has to recount it, and then — if there is any issue in the count — they have to go in and figure it out.”
Cannabis Cash Solutions also offers deposit-only vault services, which are helpful not only in retail locations but also provide peace-of-mind to growers, delivery drivers, or any other individual involved with the constant flow of cash in the cannabis industry.
All vaults are easily operable, Internet-connected and provide real-time reporting. An API is available so that the systems can be integrated with a dispensary’s point-of-sale software.
To learn more about purchasing or leasing a Cannabis Cash Solutions vault or automated cashier, visit CannabisCashSolutions.com or call (559) 761-0883. Help with installation is available by request.
For a demo of the automated cashier system, see the video below. Alternatively, if you are attending MJBizCon in Las Vegas this November 15-17, stop by for an in-person demo at Booth #3540!
Automated Cashier Technology from Cannabis Cash was last modified: November 10th, 2017 by News Editor
Just two years into the state’s experiment in the legalization of marijuana for recreational use, Colorado businesses are on track see more than $1.3 billion in revenue from the sale of weed and related products. That’s a whopping 30 percent higher than the $1 billion those businesses took in last year.
Those results are similar to what’s being seen in Washington, the second state to go 420-friendly. Washington reached the $1 billion mark in July 2016, just 12 months after the first legal sale of recreational pot.
And that growth is sure to continue, especially as more and more states hop aboard the cannabis train.
But as with any business, a growing customer base brings with it an opportunity to serve those customers with technology. Cannabis and kiosks are proving to be a perfect match.
Growing like a weed
With the results of November’s election, the use of both recreational and medicinal marijuana has been entirely legalized in eight states, with medical marijuana legal in 28 states.
While the approach of the incoming administration in regards to legalized marijuana remains to be seen, it’s likely that the movement has passed the point of no return.
Still, there are some sticky issues associated with the sale of marijuana. First and foremost is that despite it being legal at the state level, federal law still considers marijuana to be a Schedule 1 drug, putting it on the same level with heroin, LSD and ecstasy.
Because federal law prohibits financial institutions from processing payments from the sale of a Schedule 1 drug, for the most part the cannabis industry is an all-cash affair. Credit and debit card transactions just aren’t allowed.
Unfortunately, conducting business on an all-cash basis is fraught with risk. First and foremost is that having large amounts of cash on the premises makes a marijuana business a prime target for a robbery.
In June 2016, for example, a security guard at a suburban Denver dispensary was shot and killed during a robbery attempt. The killing of the guard, former Marine Travis Mason, was the first known on-the-job death at a licensed marijuana business in Colorado.
The same month, a medical marijuana dispensary owner in the Los Angeles area survived a shootout with two would-be robbers wearing masks and armored vests. The owner escaped unharmed, although the robbers were wounded when the owner fired his own weapon.
In addition to the outside threat, dispensary owners also face the potential of internal theft. Despite the amount of money flowing into the pot industry, dispensary workers start at or near the minimum wage. Handling thousands of dollars a day while taking home $10-12 an hour is likely to prove to be an overwhelming temptation for some seeking to supplement their income.
And that’s where the kiosk industry can help.
Fresno, Calif.-based Cannabis Cash Solutions, for example, is providing cash-handling kiosks for marijuana dispensaries that eliminate the need for employees to handle money. In addition, the devices store the cash in a secure vault until pickup by a manager or an armored car service
“What we’re doing with the kiosks is taking the money straight from the customer’s hands and putting it right into the vaults in our kiosks,” said Cannabis Cash Solutions CEO Andrew Savala. “The marijuana business doesn’t touch the cash at all.”
With Cannabis Cash Solutions kiosks, customers come up to the dispensary counter and interact with the dispensary’s “budtender,” who explains the different product choices available. Once the customer has made their choice the budtender directs them to the counter-mounted kiosk, where they insert their cash payment into a bill acceptor and receive their change. The kiosk recycles the cash inserted for use as change, minimizing the need for replenishing the change fund.
“Customers are still able to have that one-one-one interaction with the budtender,” Savala said. “The budtender can still spend as much time with them as they need answering the customer’s questions, they just don’t handle the cash.”
[Editor note – A total of 3.6 million vending machines will be online by 2020. CPI is the leader. Reference.]
And Denver-based ordering and payment platform provider Jane LLC has deployed its kiosks in Oregon, Nevada and Colorado, with plans to expand to California, Alaska and several other states. With Jane’s kiosks, customers can make their choice from a list of products displayed on the device’s touchscreen and pay at the kiosk. The customer then takes the receipt to the pickup counter to receive their purchase.
“We have been received with open arms in some locations, where others shut the door, priding themselves on the theory of ‘one-on-one customer experience, that’s our specialty and we don’t want to lose that.’,” said Karla Guarino, VP of Marketing/Operations with Jane LLC. “Every state has different rules and regulations which all have to be worked through. It’s an ongoing process, but an exciting one!”
Jane also offers a mobile app for iOS and Android devices. With the app, customers place an order via their mobile device and enter their order number at the kiosks when they arrive at the dispensary. Those customers are also issued a receipt to be taken to the counter.
Jane’s devices also include EMV compliant card readers that are ready to accept transactions in anticipation of the eventual legalization of credit and debit card transactions for marijuana.
“We have been working very closely with our banking partner to ensure our processes are 100% compliant and ready to accept transactions at any time,” Guarino said.
On the horizon
San Francisco-based cannabis investor network The ArcView Group predicts legal sales to top $22.8 billion by 2020, meaning the opportunities for kiosk deployments are only going to continue to expand, both in the United States and around the world. In addition, the expected growth is driving the development of new solutions for the industry.
Several companies have introduced kiosks that actually dispense marijuana, verifying customers via biometrics. Most of those efforts have struggled, though.
Tempe, Ariz.-based American Green recalled all of its Zazzz cannabis vending machines in December 2015 in response to feedback from dispensary vendors and customers, and is retooling its automated vending program.
And Los Angeles-based vending kiosk provider Medbox rebranded itself as Notis Global in February 2016, shifting its focus to cultivation, production and consulting.
Still, the technology that would be required to dispense packages of marijuana is already being used to dispense other products. There may come a time when marijuana vending kiosks are as commonplace as those renting DVDs.
“I was reading an article recently about a company deploying kiosks to dispense packages of tea,” Estaitieh said. “If a kiosk can dispense tea it could easily dispense marijuana.”
The current struggle for acceptance of those types of kiosks may be due to the fact that they have been primarily located in dispensaries. If a customer is already in a dispensary, they may be inclined to simply go to the counter and talk with a bud tender.
Depending on traffic, though, there may be a day when customers will prefer to use a kiosk for convenience. And as medical marijuana becomes more accepted around the country, pharmacies may look at those types of kiosks as a way to compete with dispensaries.
There also may be opportunities for marijuana-dispensing kiosks outside the United States as other countries seek to cash in on changing attitudes. Jamaica, for example, is in talks on a plan to install cannabis kiosks at airports and seaports as part of a plan to boost government revenues.
Jamaica decriminalized the possession of small amounts of marijuana in 2015 and has legalized the use of medical marijuana, part of a plan to market the Caribbean nation as a destination for “wellness tourism” and the accompanying flow of cash.
“The thought is that if you are coming out of the airport, there is a kiosk that you can go to,” Cannabis Licensing Authority (CLA) Chairman Hyacinth Lightbourne told the Jamaican publication The Gleaner.
“It would primarily be for people who have a prescription and, in effect, you’re doing it for medicinal purposes with a permit from the Ministry of Health,” Lightbourne said. “If they don’t have a prescription, then they can do what we call ‘self-declare,’ and this will allow them [to purchase] two ounces while they are here.”
Despite this progress, most financial services providers still see compliance as a hurdle. Only about 300 of the more than 11,000 banks currently operating in the U.S. work with legal pot vendors.
“Paradoxically, most of the institutions nationwide that offer business to marijuana suppliers are small and very unhealthy; most are the ones desperate for income,” said Lamine Zarrad, founder and CEO of Tokken, a Denver-based blockchain startup.
Tokken sees the marijuana industry’s situation as comparable to other industries, and thus it can apply solutions that other markets use. Tokken uses bitcoin blockchain to peg marijuana transaction information to its blockchain so that banks and regulators have an immutable, time-stamped record. Information about each transaction is hashed and input on the bitcoin blockchain. In this way consumers, businesses, banks, regulators and law enforcement agencies can view the system and ensure there’s no tampering, Zarrad said.
KioWare is writing the software for the marijuana kiosk while California-based Olea Kiosks Inc. is designing and
manufacturing the actual kiosk. Malvern-based Crane Payment Innovations is designing equipment for handling money inside the kiosk.
“I look at it like the kiosks that are coming into the fast food industry now,” said Frank Olea, CEO at Olea. “You place your order yourself on an electric board, and you take the receipt to the front counter where they hand you your food. That’s how it works.”
The problem is that most companies trying to do this don’t quite understand all of the implications of handling these types of transactions. While Jane built a bunch of kiosks 2 years ago to go after this market, they’re all sitting in a warehouse because the way they tried doing transactions still doesn’t pass muster with the banks. This latest approach of taking cash via a kiosk doesn’t address all of the issues either. One company that I am aware of, GetExpoNow.com, has a much different process which is meeting approval of the banks and regulators. While this article makes the problem and solution seem oh so simple, it is far from that.
Marijuana kiosk – York software company joins team creating a cash-accepting marijuana kiosk for cannabis industry was last modified: February 25th, 2017 by Kiosk Industry
By Craig Keefner Sep 18, 2015: Living in Colorado like I do, it makes a lot of sense for me to do a bit of an update on the budding (or blooming) cannabis industry. Speaking for myself and from what I see Denver has quickly graduated into the big hub status. Only Donald Trump gets as much press (for now).
Typical “teller” configuration here at local cannabis shop. Click to expand to view size
Last week I went into one of the recreational shops to do some research. I live on north side of Denver. I asked about good days and bad days. Average transactions. Payment methods and bills if cash. My estimate for the 100 or so shops in Denver is around $500K per day. That is recreational + medicinal.
In January Colorado got $2M in tax revenues (28.5% rate) from recreational. That includes cigarettes, loose leaf, and edibles.
In the self-service industry today was a new site launch for Cannabis Cash Solutions. CCS provides vault and software integrations for cash management in a recreational marijuana establishment.
Benefits include:
Budtenders never have to handle the cash again
Makes integrating complex cash devices fast and simple
Accept cash and dispense cash and coin
Huge savings on development costs
Reduce integration time down from 9+ months to days
CCS is also offering smart vaults.
Benefits:
Securely accept, dispense and vault your cash
Budtenders never have to handle your cash again
Accept cash and dispense cash and coin
Can be mounted inside your counter for minimal presence or to the ground
Supports Windows, Android, iOS, Linux and more
It’s a simple transaction here requiring just a drivers license. Average transactions are $60 or so?
Legal and banking constraints make it difficult for business to be conducted via credit card (though as much as 50% is…). Cash is king, again.
Another company I’ve been watching is TrustJane. Kiosk services but more than that they are a compliance team for the marijuana businesses. Also you can see TrustJane at the CWCBE in LA this week.
Jane co-founder Jeff Foster will be one of the featured speakers at the 2nd Annual Cannabis World Congress and Business Expo,the leading forum for doing business in one of the fastest growing industries in the United States. If you’re employed in the cannabis industry, a current business owner, interested in starting a cannabis business, provide private equity & investment resources, or provide professional or business services, this is an event you can’t afford to miss. Jane will also be at booth 313. Stop by and say hello.
More on CCS from Andrew Savala:
Our main goal for CCS is to provide secure cash handling for marijuana dispensaries. This is why we’re creating the Cannabis Smart Cash Vault https://www.cannabiscashsolutions.com/service-view/cannabis-smart-cash-vault/ This way the budtenders no longer have to handle the cash because the cannabis smart cash vault will accept the customers payment and dispense change.
We offer a couple payment options where the dispensary can either buy the vault outright our have a subscription based model.
Our software greatly lowers the learning curve for developers wanting to integrate payment devices into their marijuana POS, kiosk or other cannabis related application. The software also doesn’t require the use of our smart cash vault which gives the application developer the freedom to create their own secure enclosure.
KIND is not the only software and/or compliance company to be thinking about cannabis kiosks—Jane and KioWare are two other companies that also want to use automated kiosks as a solution to the cannabis industry’s financial problems. Even Jamaica’s Cannabis Licensing Authority is on the kiosk train and wants to install weed kiosks in Jamaica’s airports. Yet with KIND’s recent partnership with Microsoft to provide cannabis tracking solutions for governments, Dinenberg thinks that KIND definitely has the leg up on competition.
Even the Weed Industry Isn’t Safe From Automation was last modified: January 7th, 2017 by Kiosk Industry
What is believed to be the first age- and identity-verifying legal marijuana-vending machine in the U.S. has been launched in Colorado. The Zazzz Automated Marijuana Vending Machine has been installed by American …
Payteller, a leading provider of financial services kiosks, announced today the release date for their SSK (Secure Services Kiosk), a unit programmed for the specific needs of medicinal and recreational marijuana…
Cash handling, banking and financial services are among the greatest challenges facing the cannabis business. Navigating complex federal and state regulations in order to access ordinary banking services is not in the purview of the average dispensary owner, said Jeff Foster, CEO of Payteller.
Payteller Kiosk Solves Banking and Compliance Issues for Marijuana Dispensaries was last modified: January 7th, 2017 by News Editor
Before long these things are going to serve up a DVD along with a slice of pizza and a coke to go with everything. I am not sure about Bitcoin. The units look to be renderings.
World’s First Marijuana Vending Machine Accepts Bitcoin was last modified: January 7th, 2017 by Kiosk Industry
The potential of facial-recognition biometrics is huge and new marijuana-dispensing kiosks could push it into the mainstream. But a look at the iPhone’s biometric efforts could signal the path forward — and some side roads to avoid.
Recently the Cannabis World Congress and Business Expo was held in Los Angeles. We have some pictures of the show but also a quick interview with David Ellerstein, CEO of Jane, one of the leading cannabis compliance companies today.
Here is his feedback on the show.
What was your overall impression of the show?
To date, the Cannabis World Congress and Business Expo in Los Angeles was the best show we have attended. It was a well-planned show by the folks at CWCBE, with constant Exhibit Hall flow and very informative speakers. The attendees were comprised of a diverse group across all business segments and demonstrated real business acumen and sophistication, which to me further signals the maturing of the industry.
What was the biggest trend or hot topic being discussed?
The hottest topic being discussed was the just announced wide-ranging proposals for the regulating of the California medical marijuana industry. This will pave the way for California voters to legalize the recreational use of marijuana during the 2016 elections. California has long been characterized as the “Wild West” of cannabis, so this legalization and legitimization of the business and industry was needed and will generate hundreds of millions or more in tax revenues for the state.
Regulation Issues For Marijuana Cannabis
Legal alternative to “organic”. Organic Cannabis Association of Denver could begin certifying cannabis as pesticide-free this fall in 2015. One standards group is Clean Green. Based in Crescent City, Calif., Clean Green has certified more than 100 cannabis grow operations, processors and collectives in the western U.S. All active certifications are listed online. Denver Post article 9/2715
For More Information
Vinnie Fiordelisi, Sr. Director, Corporate Communications and Public Relations, (954) 873-4954, vinnie@trustjane.com
CWCB Expo – link – Cannabis World Congress and Business Expo
Sleep aids which do not contain any THC include Mary’s Medicinals which utilize Cannabidiol. The 2×2 transdermal patches are precisely dosed to 10mg or 20mg. Eliminating more dangerous alternatives like Ambien. More information.
Marijuana kiosks – Wrap on CWCBE was last modified: January 7th, 2017 by News Editor
The effort to legalize marijuana for medicinal or recreational usage has been long, but it is finally bearing fruit. Marijuana is legal for recreational use in Oregon, Washington, Alaska, Colorado and the District of Columbia.
However, banks refuse to deal with the marijuana industry because cannabis remains on the federal list of banned substances, and acquiring and processing payments for it could put a bank at risk for AML/KYC prosecution. As a result, legal marijuana businesses cannot accept debit or credit cards.
Cash-only status can be a security liability for businesses. However, some vendors are offering kiosk solutions to the payment problem.
Comments: They probably do not list the armored services. The normal ones cannot be used due to lack of insurance so a whole other group of self-insured cash carriers is evolving. The Jane kiosks are accepting cash and the models would seem to justify a cash recycling solution to further mitigate cash handling. Craig with Kiosk Industry Group.
