The persistent problem plaguing cannabis retail

Cannabis retailers hear familiar complaints about the in-store experience. Rushed interactions, uneven product knowledge and a lack of helpful guidance at the point of sale all hurt revenue.

And yet they persist even in mature cannabis markets, where retail has had years to adapt and evolve.

What’s happening? In MJBizDaily interviews, operators and customers alike agreed: the cannabis industry has a persistent budtender turnover problem.

Despite thoughtful investments in store design, digital menus and sophisticated retail technology, high turnover among frontline workers continues to plague cannabis sellers.

When budtenders don’t stay long enough for product knowledge and customer trust to build, dispensary visits feel inconsistent and transactional. Meanwhile, customer expectations – and the need for expertise – keep rising.

The result is lost revenue. But luckily, operators have solutions.

What the data says about turnover, training gaps and experience breakdown

Turnover isn’t a new issue.

According to a 2022 Headset analysis, 55% of budtenders turn over annually, with nearly a quarter leaving in their first month. In recent interviews, operators say the situation hasn’t changed.

In many states, the number of products sold has increased significantly even as sales revenue stays constant or declines slightly. That suggests retailers are busier than ever in some markets. However, industry employment declined by 3.4%, according to the Vangst U.S. Cannabis Jobs Report, even as overall sales grew.

The data doesn’t say definitively why cannabis retailers’ front-line sales staff is a revolving door. But operators say frontline churn is rooted in economic pressure and role strain.

Amid inflation and cost-of-living woes, pay plays a key role: According to national budtender wage data from ZipRecruiter, hourly pay is clustered in a narrow range, suggesting little opportunity for meaningful wage growth based on tenure or skill.

But the most common reasons frontline cannabis workers leave are organizational clarity and alignment, according to Kurt Kaufmann, co-founder and CEO of cannabis enablement platform Seed Talent.

“No clear understanding of what success looks like in their role or for their company, no support in achieving those goals and lack of alignment between management and the folks on the ground doing the work,” he said.

What breaks down before sales do

In many states, in place of people, operators have turned to kiosks and self-guided ordering to manage wait times and transaction volume more efficiently. The value add is obvious when staffing is thin.

But it isn’t product knowledge that’s lost when kiosks or new hires replace experienced workers. It’s reliability, said Tyler Bierbaum, a former budtender and current dispensary manager in California.

“Customers don’t want to play roulette with what to expect each time they visit,” he said.

“Being greeted promptly, treated with respect and leaving with a purchase that at minimum meets their needs and ideally surprises and delights them are all critical to repeat business.”

Unexpected or excessive frontline turnover, he said, quickly leads to longer wait times, inconsistent customer experiences and disruptions in product availability, particularly when back-of-house employees are pulled forward to support the sales floor.

The data doesn’t tell the whole story: Watch people, not POS

And operators who watch spreadsheets or data from their POS rather than the sales floor may miss the problem before it gets out of hand. Staff churn builds slowly as processes break down.

“It feels chaotic before the sales data shows it,” said Mike Dunn, owner of Toronto-based retailer 1922.

Rushed, surface-level interactions at the point of sale start when budtenders are asked to do too much with too little, he said, such as juggling too many products, frequent promotions and constant order interruptions.

Trust erodes, Dunn said, when newer employees outnumber experienced staff on core shifts or when employee onboarding is shorter than the real learning curve.

Why cannabis worker training keeps hitting a ceiling

Training is often treated as the industry’s corrective for these challenges. But training alone can’t solve the experience problem if it doesn’t correct the conditions that keep skilled workers heading out the door.

Much of the training retailers employ doesn’t translate into lasting behavior change in high-churn environments, Bierbaum said.

“Most all-staff trainings tend to go in one ear and out the other,” he said.

Training often fails because it lacks a clear definition of success and a “north star” beyond revenue, Kaufmann said.

Training can reduce turnover and boost sales, but only when paired with clear expectations, staff support and visible career growth. Employees need a clear vision of success and a future at the company.

Too often, operators still structure cannabis retail like a commodity business, instead of a specialty category built on guidance and trust, Kaufmann said.

What actually helps retain strong frontline teams

Cannabis retailers can employ practical changes that enhance customer experience while boosting frontline retention, even in high-pressure environments:

• Active floor leadership. Real-time coaching helps staff bounce back from tough interactions and build confidence faster than occasional training.
• Role focus, not role stacking. Dedicated support roles minimize task switching, ensuring customer interactions remain thoughtful rather than rushed or transactional.
• Compensation that reflects skill. Expecting high-level product knowledge for entry-level pay leads to poor retention. Most cannabis workers already earn above minimum wage, but maybe not more than other retail jobs. Competitive wages show the role is skilled and worth investing in.

And that framing matters, Kaufmann said.

“If we pay budtenders like they’re selling potato chips,” Kaufmann said, “that’s the exact experience customers will get.”

Have feedback on this story? E-mail editorial@mjbizdaily.com.