The Coronavirus pandemic is drastically affecting the way we make payments and people are avoiding shopping in the public places due to the highly contagious nature of the virus. Furthermore, work from home because of the lockdown is also affecting the way people make payments. Because of this, there has been a sudden surge in the payment processing needs and cannabis merchants and payment processors are facing many challenges. Basically, every CBD payment processor is now embracing contactless payments and other digital means to deal with the issue.
Following are the key ways cannabis payment processors have adapted to Coronavirus:
Adjusting Daily Operations
Since dispensaries in many states have been designated essential businesses, cannabis payment processors have adjusted their everyday operations. A well-known CBD payment processor Dama Financial has made efforts to reduce in-person interactions with merchants and customers by offering electronic payment options. The payment processor is now offering merchants ways to sell to their customers and transact digitally. However, adequate training is required to fully take advantage of the new technology. For this, the payment processor has switched to virtual Zoom and virtual demos training for dispensaries.
Because of the way Coronavirus spreads, CBD consumers and merchants are moving away from using checks and cash for payments. Banks are also urging users to use banking services online. At this stage, cannabis payment processors are leveraging digital options to facilitate transactions for their customers. For example, renowned CBD payment processor Hypur has shifted to remote work environment and now focusing on offering contactless payments and other digital solutions so that dispensary staff and customers don’t have to conduct business face to face.
Digital Wallet Adoption
Digital Wallets are nowadays available on various popular devices like smart watches and phones. However, there is still a need for huge scale of adoption, particularly in the cannabis industry. Some payment processors are offering features like digital IDs to boost digital wallet adoption. Paytender is a key example of this.
Establishing Touchless Payments
Contactless payments are now gaining traction in the United States. However, in other regions e.g. Europe, UK, etc., tap-to-pay and digital wallet technologies are very common. Now responding to the COVID-19 pandemic, some CBD payment processors are establishing touchless payments to limit the amount of contact between cannabis consumers and merchants. Many cannabis payment processors are adopting this mode to ensure safe payment practices in the CBD industry.
Building Omnichannel Payment Solutions
Some CBD payment processors are focused on building omnichannel payment platforms so that they can accommodate different ways to cannabis shopping. This is a great way to bridge the gap between online and in-store spending. Square is a renowned payment processor that has launched various online payment products to support the eCommerce efforts of merchants.
These are unprecedented times and there is no telling how long this situation will continue. However, many industries, including cannabis, are managing to adapt to the pandemic against all odds by adopting digital and contactless payment modes.