Industry Experts Supherbs Suggest Weed Delivery Services Threaten Legal Cannabis Dispensary Sales

Weed delivery services like Supherbs Canada are putting pressure on local cannabis dispensaries and regulators to modernize policies to compete with illicit markets.

Supherbs Dispensary

Alberta's legal cannabis industry continues to fight for market share as a wave of delivery services pop up across Canada. According to the Cannabis Act, delivery regulation falls in the hands of provincial entities and while some provinces as Ontario take steps towards modernizing policies, cities in Alberta see fewer options.

Canada's cannabis market is divided into three categories of marketplace: cannabis deliveries, defining local companies with online menus offering weed delivery to an address; mail-order marijuana, which is ordered online and mailed via post; and retail dispensaries, which are walk-in shops with product on hand. Licensed retailers tend to represent the legal segment of the cannabis market, while mail-order marijuana and delivery services offer a fusion of black-market and provincially licensed options. 

In the final quarter of 2020, the OCS reported that 64% of locals in Ontario buy weed on the illicit market. Consumer demands don't align with the products in retail dispensaries and the conversation continues to revisit two key areas: the value proposition and its overall convenience.

According to Statistics from Health Canada, over one million kilograms of cannabis inventory from licensed producers across Canada currently remains dormant, unsold and seemingly undesired. For retailers and consumers, that's a hard number to overlook. A theory resides with the fact that consumers' quality expectations are deviating from the price-point seen in dispensaries. With deliveries offered by unlicensed services, Alberta dispensaries are fighting what seems to be a never-ending battle. 

One such service disrupting the cannabis market is Alberta-based Supherbs is one of many weed delivery services undercutting prices for recreational cannabis in Canada. According to Andrew Cessar, spokesperson for Supherbs, operating inside of the guidelines set by the respective government entities prevents Canada's licensed dispensaries from competing in this budget-priced market, eliminating them from consumer conversation altogether.

Cessar emphasizes that Alberta is a province with limited options for quality cannabis at fair pricing and, in recent years, trust has been on the decline. 

"Supherbs has a long-standing reputation as one of the best weed delivery services in Canada. We provide customers with the experience and convenience they desire. Our prices are lower and quality is higher than anything you'll find in both legal and illicit markets. With the benefits of having safe and simple home delivery, we've made the process of ordering weed online easier than ever. Retailers can't compete with services like this because governments are prohibiting the leniency required to help small businesses prosper."

A growing number of delivery services are offering low prices to budget-oriented patrons, coupled with the current over-supply of cannabis inventory across provinces, suggests the country's legal cannabis market is expected to continue facing challenges while regulations modernize.

Michael Raymond

Marketing Director, Supherbs Canada

Source: Supherbs

About Supherbs Canada

Canadian cannabis dispensary offering consumers fair pricing on quality medical grade cannabis and cannabis products.

Supherbs Canada

Calgary, Alberta

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