How to Make Cannabis Delivery App – Uber for Weed Delivery
How to Make Cannabis Delivery App – Uber for Weed Delivery
Use of Cannabis, Marijuana, or weed as it is popularly known as has increased in recent years. Marijuana has been used in many cultures for centuries for recreational, medicinal, or spiritual means. In recent years, the popularity of Marijuana has increased, as more and more medical benefits of the plants are becoming clear to people.
Many states in the US have already legalized marijuana use for medicinal and recreational purposes. A lot of legal dispensaries have been popping up all over where people can get their Marijuana.
In this technological age, on-demand services have taken hold of the E-commerce space. E-commerce space has attracted the majority of industries to go online at some capacity. More and more businesses are trying to get on the on-demand train to cater to the growing user base that likes the comfort of on-demand services.
It is a lot more convenient for customers to order their marijuana from the comfort of their home, just as they can order any other medicine. So, if you want to be a part of the booming on-demand economy by providing a solution in Cannabis Delivery, this might be your chance.
So, if you’re thinking about taking your business online, or want to know more about how an online Marijuana delivery service works, this is the article for you.
But before we get into that, let’s find out more about the relevance of this plant in today’s on-demand economy.
Potential of Cannabis Industry for the On-Demand Economy
Cannabis, also known as Marijuana, or weed, among other names, is a psychoactive drug that is useful for its recreational and medicinal purposes.
In 2013, Uruguay became the first country to legalize Marijuana for recreational use, and since then, several countries, including Canada, South Africa, and Georgia. In the US, 33 states (and Washington DC) are onboard with the medicinal use of Marijuana, and 11 states (and Washington DC)allow for the recreational use of the plant.
The potential of the Cannabis Industry, especially in the US, seems to have a bright future. Five new states Arizona, Mississippi, Montana, New Jersey, South Dakota, are poised to vote on cannabis legalization during the November 2020 election (in either form), and Nebraska will also have the final hearing on the referendum this fall. Any positive development this way is a good sign for the Cannabis Industry and will mean the expansion of the industry into new markets in the coming years.
There are a lot of challenges still in the way of the Marijuana Industry, such as regulatory challenges, stigmatization of Cannabis, challenges relating to banking and insurance, marketing, and so on. But, with more and more states coming forward to embrace the legal growth of the Cannabis Industry, the Industry can see an increase in its revenue. According to some projections, by 2025, the value of the US Cannabis Industry is going to reach $30 Billion Annually. This interest in the plant is not sudden. Along with the apparent recreational use, the medicinal applications of the plant are also diverse.
- The Cannabinoids present in the Marijuana plant help in altering the pain perception pathways in the brain, which can be extremely helpful for people suffering from Chronic Pain in cases such as Migraines, Arthritis, Endometriosis, and so on.
- It is also prescribed by many professionals to treat many neurological and mental disorders such as Epilepsy, Parkinson’s Disease, PTSD (Post Traumatic Stress Disorder), Tourette’s Syndrome, and anxiety.
- In many cases, people suffering from sleep disorders such as Insomnia have also benefited from the use of Cannabis. It has a relaxing effect, which can ease the patients into sleep.
- CBD or Cannabidiol is useful in easing inflammation and is beneficial in inflammatory conditions such as Rheumatoid arthritis, Crohn’s Disease, and Irritable Bowel Syndrome.
- Over a hundred studies agree that Cannabis use positively affects cancer patients by killing cancerous cells.
There are a lot of other benefits that are attached to Cannabis use. With continued research, a lot more information will come out relating to the various aspects of Cannabis use. With a lot more real research in the matter, the Industry is going to be a significant part of the growing on-demand economy. There are plenty of apps in the market already catering to the On-demand Consumer such as Eaze, Grassp, Nugg, Meadow, Flow kana, etc. If you’re interested in developing such an app for yourself, this is probably the best time to get started.
READY TO LAUNCH YOUR APP?
We’ll be discussing how the business and revenue model for such an app will look like and what you should keep in mind before you invest in making an on-demand app for your Cannabis Business.
Business Models for On-demand Cannabis Delivery
The business model for an on-demand Cannabis delivery app can be threefold.
Delivery- Centric Model
In this model, your role will be that of a delivery partner to the Cannabis providers. If you don’t have the know-how or the resources to be the manufacturer in the Cannabis Business, you can be the delivery partner for Dispensaries or other weed stores and provide delivery services and logistics. In return, you can take a commission on every fulfilled order.
Single Store- Model
If you already own a Cannabis Store, you can choose to build your Cannabis app. This way, you can take your sales to the new heights, without having to compete on an aggregate platform with other Cannabis providers. The orders will come to you directly, and you can prepare and send the order on their way. When it comes to the delivery network, either you or some third party delivery service can handle the delivery.
You can build a platform for users and stores to interact, and you can manage everything else (including delivery).
In this article, we’ll be taking on the Aggregator model. Let’s begin!
When you’re looking to build a network shaped as an app that facilitates smooth purchase and delivery of weed and weed-based products, you have three sections to look after while coming up with a business plan. Let’s find out more about these three sections.
The user base is the essential wheel of your business vehicle, and these are the people who are going to be buying Marijuana online, using their smart devices. Your users may be patients suffering from a variety of medical conditions, or they can be people looking for your offerings for recreational purposes.
These people are your user base, and they’ll be point A of your business plan. Building a User- app using which these users can reach their nearby Cannabis Dispensers is an essential step in developing your on-demand business.
These are the dispensaries that are available in the area who will appear on the app. This group includes dispensaries that do not have their delivery system and want to tap into the on-demand user base. Dispensaries will upload their inventory online through your app, and users can choose from various Marijuana strains and products and enjoy home delivery.
For your on-demand service to work, a dedicated delivery system is essential. That means several drivers who will take the orders, pick them up from the dispensary, and will deliver to the people at their location.
Other than these segments, there is you, the Admin, and you’ll have the Admin app to monitor and manage all of the proceedings happening on various levels of this model.
There is a lot that you’ll be offering through this app. Here are the most noteworthy offerings that an ideal Cannabis delivery app should have.
- The app should offer quick and easy access to nearby Cannabis Dispensaries and other stores that sell Cannabis products to interested users.
- It should provide a reliable and efficient delivery system and optional Advertising Platform for weed dispensaries (and stores that sell weed and other related items).
- The app should give a flexible working structure for able and willing drivers looking for a full- time or part-time job opportunity.
- The app should not be too complicated and should be aesthetically pleasing.
- The browsing, shopping, and paying should be as smooth an experience as possible.
- There should be regular updates to provide users with the best experience possible.
These are a few things that should be in your mind while you’re working with your development team to come up with a user- friendly and efficient app for On-demand Cannabis Delivery.
Feature List – For Weed Delivery App
Now, there are a lot of features that go into an on-demand app. For your Cannabis Delivery app, here are a few features that are a must.
User App Features
Registration/Login portal & Identity Verification
First and foremost, the user app should have the Registration and Login portal for registration and login. Users should be able to login with a variety of ways the user’s Email ID, Phone number, or Social Media accounts such as Facebook, Twitter, etc.
After that, identity verification helps users to verify their status by uploading their doctor’s receipt for medical marijuana. You can use ID.me SDK for that purpose, which is a physician identity verification solution for such apps.
Showcase and Search
The app should have listings from various providers, while the search option should be there so that the users can search for their favorite/ required strains. Numerous filters help users narrow down their options, so they can easily pick the needed product.
A shopping cart feature helps users in collecting their orders and figuring out the total order and delivery charges. This feature makes the shopping process as convenient as possible for the users.
Placing and Canceling an order
After collecting the items, the users will want to place their orders using these features. For user convenience, you can also add a cancel feature in case users need to cancel an order within a specific time- frame.
Placement of an order will require an in-app payment gateway. By integrating a payment gateway into the app, you make the transaction safe and convenient for the users. If you want, you can also keep the cash on delivery option for users.
After placing the order, users want to be informed about their order’s progress. With a GPS tracking option, you can help the users by providing them real-time tracking of their order. By including in-app chat and calling features, you can enable the user- driver interaction for a more efficient process.
Ratings and Reviews
Ratings and Reviews are an indispensable part of the application, using which users can review and rate the products, as well as delivery experience. It gives your platform more credibility, whereas other users can benefit from this section as well.
You can add more features as per your vision on top of these essential features to make your user app unique and appealing to your target audience.
Features for Cannabis Dispensaries/stores
The basic app features for Weed Dispensaries are as follows.
Login and Registration
It is an essential feature for users as well as drivers. Using this, the dispensaries can register for an account and then log in to access their profile.
This feature is also a crucial part of the seller’s app, and here, they can upload their details, provide their legal permits, and so on. Here the store owners can upload images, edit information about the store such as address details, history, etc.
Here is where the sellers can upload their product details, such as product category, price, along with the appropriate references, such as images. Dispensary owners can also be able to update the availability status of the various products.
A feature allowing the Sellers to oversee the fulfilled, canceled, and scheduled orders, and keep track of payments should be in the app.
With this, users can keep their affairs in order.
Now, let’s see about the driver’s app.
Driver’s app Features
Registration and Login
It will remain the same in each case. Using this, the drivers will be able to register for log in to their account.
Here, the drivers will be able to input their details, such as their name, personal information, bank details, profile picture, and so on.
Tasks and notifications
With this feature, drivers will be able to see their tasks, details of the buyer, and set order status. Various notifications also help the drivers stay on top of everything.
Maps and Navigation (GPS integration)
With these features, the overall efficiency of the driver increases as they can locate the address for the customers easily on the screen and even save time following the most efficient route.
Admin Panel Features
The Admin Panel is there to help you oversee the whole operation. There are quite a few essential features that should be there in your admin app, such as-
Here is where you can see everything that’s going on in real-time. Everything, from the number of active orders to the driver’s delivering, to the total amount of transactions happening on the platform, and more, you can see using the DashBoard feature.
You can keep track of each order that comes in, orders ready for dispatch, en- route, as well as delivered orders. Drivers can update you here on the order status, and you can also see the payment status.
Everything relating to the users, you can examine in this section of the Panel. From new user requests to providing verified users access to the products, tracking user order history, and managing notifications, here is where it all happens.
You can also manage the products uploaded by different sellers on your platform. You can edit product details and images, manage product categories, and even delete products if required.
These are a few of the primary features that your apps should have, along with other features that you might like to add to your unique platform.
Figuring out a profitable Revenue model that is consistently profitable and open to growth is the goal. Here are a few pointers-
Delivery Fee and Commission
As a business, you can earn revenue by placing commissions on the Sellers who are using your platform to reach new customers and using your delivery chain. On the customer front, you can charge them delivery fees for connecting them with their preferred stores, making the transaction smooth and quick.
Many on-demand platforms offer advertising services as a way to boost their revenue. You can offer advertising services to interested stores and dispensaries wanting to promote their products. In return, you can charge a commission for providing space on the platform.
You can also start a membership plan, which users can buy to avail various offers and advantages with their shopping. Users can enjoy benefits such as decreased delivery charge, or no delivery charge, special membership offers, and other similar incentives with the membership.
To make up for costs, you can hike up prices. For example, in case of increased demand, you can hike up the prices to ease the delivery network and make up for the lost business.
It is a general overview of the revenue possibilities for your On-demand Cannabis delivery service. You can bring even more revenue to your business if you can come up with additional revenue streams.
Now, before you jump into commissioning an On-Demand Cannabis Delivery App, here are some things you should keep in mind.
Steps to make Uber for Cannabis Delivery App
Know Your Market, and the Legalities
Before you even think of opening up an On-demand Cannabis Delivery Service, you should find out if the market that you’re getting into allows for Cannabis sale- purchase or not. Although the future looks bright for legalized Marijuana, but right now, there are plenty of restrictions on the plant, and you should take care of the legal aspects of the business before getting into the arena. That means getting all the necessary licenses and permits from the Government.
Along with that, you should also figure out the demand in the market in which you’re setting up shop. You don’t want to be swatting flies online!
Deciding on the Business & Revenue Model
You have quite a few options when it comes to On-demand Cannabis Delivery. Between delivery specific, single store, or aggregator model, you can choose the one that suits your needs the best. You can also come up with the best Revenue plan for yourself accordingly.
The cost of developing an app can be a lot for you to handle on your own. By the time your prototype is complete, you should be reaching out to interested parties and Angel investors to fund your venture. But, for this to be fruitful, you’ll need a detailed business and revenue plan, and quite an impressive prototype.
Developing the App
It is going to be quite a process, and there are a lot of things that you should mind while you’re in the development process.
- Get a rough idea ready before you consult a professional, and let them know what you want out of your application. Discuss the idea properly before you move on to wireframing and building a prototype.
- Make sure your idea has a unique flavor of your own, to make your app a unique solution. Test the prototype thoroughly, and get advice from people you trust to make sure you have a great app.
- Make sure to build a presence across platforms to engage more users. Uphold the platform standards, and remember to bring your flavor to the mix. Don’t compromise on the quality, and keep testing the app to make it better at each step.
- Build an online presence for your app. From Social media platforms to the blogosphere, and other media, let people know what you’re up to at all the crucial moments.
- After launch, keep up the appearances, analysis metrics, and go through feedback to make the necessary changes to evolve your app in the right direction.
Managing the app
After the app is ready, and the business is up running, you can focus on managing the app. Using various analytical tools, you can come up with ways to improve app performance and implement those changes in the future.
Efficiency Boost (Updates)
One of the most important things to focus on when you’re undertaking such a project is efficiency. From the ordering process to delivery, each wheel of your vehicle should run smoothly. From flawless GPS Tracking to instant notifications, and quick payments, and refunds, all parts should be smooth and not clunky.
You can acquire new tools and assets to assist the evolution of your on-demand service to keep up with the changing on-demand economy.
How much does it cost to make a cannabis delivery app
Estimating the cost of such an app is difficult since there is so much moving pace, and each idea adds or subtracts a little or more from the general equation. However, if we’re talking in broad terms, an On-demand Cannabis Delivery service can cost you anywhere from $50K US to $150K US (or more).
The cost of your app development depends on your development team, your market, the features you’ll be incorporating in your app, platforms for which you’ll be developing the app, and other similar factors. You can talk to your development team to get an even closer estimate of developing your app.
Here is an overview of the number of hours required to create an Uber for cannabis delivery
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In recent years, quite a few steps have been taken by many countries to remove the ban on the selling and consumption Marijuana plant. That, along with the recent boost in the E-commerce space, and the dawn of on-demand services, has proved to be a blessing for Cannabis Entrepreneurs wanting to build on this opportunity.
However, there are still a lot of things to consider. Determining the market, procuring the right licenses and taking care of all the legal aspects, finding the right developers, and honing in on a unique and desirable solution for the masses; there’s a lot that goes into the making of a successful On-Demand Cannabis Delivery Service.
So, when you’re thinking of starting such a business, you should first inform yourself about each aspect of the business so you can grow and keep growing!
First and Foremost, find out every legal aspect of the business and check if your state allows for it. Then, you should select an appropriate business model for your app and contact trustworthy and competent developers for your project. Make sure that you’re eligible for opening up a weed business by going through the state rules regarding the same.
Yes, there is a lot of potential in the growing cannabis industry, especially when more and more states are making it a legal business opportunity for their residents. The Cannabis Industry is estimated to reach $30 billion of annual profit by 2025 in the US alone.
It can cost you anywhere from $30,000 USD to $150,000 USD (and more), depending on a variety of factors such as location, the complexity of the app, developers working on the app, and so on. It can take anywhere from four to six months for the app development process to be complete.
Apps like Eaze, Nugg, Grassp, etc. are some of the famous On-demand weed- delivery apps in the market right now.
No, you can’t ship weed across states. The US postal service does not allow the shipment of Marijuana (recreational or medical) in any way.
You should at least be 18 or older to start your Marijuana dispensary, store, or delivery business. Also, you should have a clean criminal background. State legalities regarding Cannabis can vary, so you should check your state rules regarding the same before starting anything.