When the going gets tough, it’s time for the tough to get high-tech…
The coronavirus is shedding light on the need for high-tech retail options across the entire economy.
Cannabis is no exception.
To see what I mean, look no further than Colorado‘s new provisions for online cannabis shopping.
According to Associated Press, the governor of Colorado has issued an emergency order that allows customers to purchase cannabis products online in order to help account for new social distancing requirements.
Although the circumstances are certainly dire, this is a development that has me excited. Unprecedented challenges on a scale like this are the worst times to be stuck in outdated and ineffective ways of doing things.
The cannabis industry shifting to online commerce is a big move in the right direction.
Catching up to High-Tech Industries
Online commerce has taken center stage during this crisis. It’s something I recently covered in my free newsletter, Strategic Tech Investor. (You can click here to check it out.)
Take the e-commerce giant, Amazon.com Inc. Amazon’s stock is currently trading above its price on February 19, when the crisis started to really affect the markets.
And that’s because, once the initial selloff passed, it became clear that online retail was going to be an absolutely indispensable tool for keeping society running while people are forced to avoid each other as much as possible.
Colorado’s state rule that allows cannabis businesses to conduct transactions online demonstrates that the cannabis industry is behaving more and more like a successful modern sector and less like a gray-market sector whose growth is restrained by unclear and outdated regulations.
Next Step: Federal Cannabis Reform
Right now, the United States cannabis industry can’t take advantage of electronic payment innovations because it is subject to strict federal regulations.
[RELATED CONTENT] COVID-19 Is Making a Case for Full Cannabis Legalization
Some cannabis retailers aren’t venturing into online sales at all due to the difficulty of processing payments without running afoul of those regulations.
But moving forward, having to accommodate the cannabis industry to the new, high-tech style of business in reaction to the coronavirus could lead to long-overdue regulatory advancements.
In business, the easier it is to do something, the more likely it is that it will get done. The easier it is to receive and pay for cannabis, the more people will jump on board.
This Colorado order sets a huge precedent.
Cannabis is not just a part of the economy, but an essential part of the new, high-tech economy – and regulations are going to have to catch up to that reality.
That’s why I think this crisis is going to push us closer to cannabis reform at the federal level.
Before federal legalization takes hold, you’re going to want to find out which cannabis companies could deliver you the highest potential gains. I recommend you check out my colleagues’ list of pot stock recommendations right here.
Cheers and good investing,
Michael A. Robinson
Advisory Board Member, National Institute for Cannabis Investors
The CEO of Fire and Flower, Trevor Fencott, is a successful tech entrepreneur. And leveraging that tech background has been more important now than ever before as the company adapts to increased cannabis demand and social distancing requirements with curbside pickup and same-day delivery services. Find out more about how Trevor is using tech during COVID-19 in Don’s exclusive interview…
5 responses to “Cannabis Goes High-Tech to Respond to the Crisis in Colorado”
April 30 2020