September 6, 2011

Anne Holland: 5 Lessons for Dispensary Launches from the Pacifica Wellness Shut-down

By Anne Holland

In early August a new medical marjiuana dispensary opened in the town of Pacifica CA (pop 37,000).  By the end of the month, the dispensary reportedly had 300-400 registered patients.  It was also out of business — for now at least — when the town Mayor, police chief, city manager and a school district board member were awfully surprised not to see the new flower shop they were expecting when they dropped by on a casual walk around town.  Whups.

Here are our five takeaways from this story:

#1. Don’t lie on your business license:  Pacifica business license applications don’t have a category for dispensaries because there’s never been one there.  That said, it was just a little too disingenuous of Pacifica Wellness Solutions Group owner Ruben Salvatierra, to check the box “Flower store” when he applied for his license.  Why not say “Wellness” or “medical” instead?

#2. Make your signage match your official purpose: Although Salvatierra is giving quotes to the press about how his dispensary is helping cancer victims who may not be well enough to drive to the next-closest dispensary 20 miles away, it surely can’t help his case that his signage on the day the officials stopped by apparently advertised a “Monster Home Joint.”

#3. Location, location, location: 300-400 new patients in a month or less is a major score for any new small business.  Salvatierra told press he carefully researched and picked Pacifica specifically because there wasn’t any local competition.   Demographics were also in his favor, the area is fairly wealthy with an average household income of more than $89,000.

#4.  Word of Mouth & Weedmaps: If you’re putting together a marketing plan for a new dispensary, these are the only two methods Salvatierra used to get customers.  He didn’t have personal connections in the community before he opened. We’re not saying these should be your only two tactics – especially in more competitive markets — but they’re a good starting point.

#5.  PR: Once Salvatierra was shut down, he worked the local press and blogsphere to get his story out, and rev up supporters for a city hearing to be held next Monday Sept 12th.  Will it work?  We’ll let you know.

Anne Holland is publisher of Medical Marijuana Business Daily. A 20-year B2B publishing veteran, her career has taken her into content areas including media, defense, aviation, and many more. She heads up Anne Holland Ventures Inc., a B2B publishing and professional education firm whose experts create content, events, and courses that help businesses grow.

Post Your Comment:

Please note:
Comments are moderated by our editors who do their best to approve comments ASAP. As Marijuana Business Daily is focused on business, we approve comments that are specifically relevant to industry professionals. General opinions and questions about cannabis may not be posted.

News of Surna Exec’s Departure Triggers Stock Slide

Shares of Surna Inc. have dipped since the company announced that its high-profile CEO Tom [click to continue...]

More Delays for Uruguay’s Marijuana Industry

The first country to legalize marijuana on a national scale is dragging its heels, and [click to continue...]

Professor Projects Next 5 States to Legalize Rec


California, Illinois, New York, Nevada and Vermont could become the next states to legalize recreational [click to continue...]

Sheriffs File Lawsuit Over Colorado Legalization

Sheriffs from three states have filed a lawsuit against Colorado over recreational marijuana, presenting another [click to continue...]

Another Nat’l Poll Finds Majority of Americans Favor Legalization

Some more good news for cannabis activists and businesses: A respected national poll taken every [click to continue...]

Insurance Firms Urged to Craft MJ Policies

marijuana insurance

Mainstream insurance companies should start crafting policies to cover legal marijuana businesses as the industry [click to continue...]

DC Bans Consumption at Private Clubs

In a bid to curtail premature business opportunities tied to recreational marijuana, city leaders in [click to continue...]

$36 Million Raised for Ohio MJ Legalization

A group in Ohio has already raised $36 million for a proposed ballot measure that would [click to continue...]

PharmaCann Poised to Hold Most IL Licenses


After a medical marijuana company abandoned its cultivation license on Monday in an area west [click to continue...]

WA Could Outlaw Marijuana Vending Machines

Washington State entrepreneurs hoping to sell marijuana through vending machines or drive-up windows took a [click to continue...]

Cannabis Producers Have New Worry: Stoned Rabbits

Cannabis businesses face opposition from anti-marijuana advocates worried about the drug falling into the hands [click to continue...]

Nevada Senator: Secrecy in MMJ Licensing Process a ‘Disaster’

Las Vegas MMJ

Nearly 40% of the 519 businesses that applied for medical cannabis business licenses in Nevada [click to continue...]

Florida’s Second Stab at CBD Rules Questioned

Florida is having a hard time figuring out rules for its CBD industry. The state [click to continue...]

Maine Medical Cannabis Sales Total $16.2M

Dispensaries in Maine sold an estimated $16.2 million worth of medical cannabis last year, while [click to continue...]