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Delta 9 Hits 1 Million Transactions

Manitoba’s largest cannabis retailer Delta 9 Cannabis Inc. has now served more than one million customers. The company proudly announced hitting their milestone in a news release on Monday, along with an update on their successes.

Since opening the first Delta 9 Cannabis Store on October 17, 2018, the homegrown company has embedded its roots deeply into the prairies. It now boasts seven operating stores—five in Manitoba, and two in Alberta.

Through these seven outlets and an online store offering same-day delivery within Winnipeg, Delta 9 has brought in over $50 million in sales, with an average transaction size of $50.20. Even with a small number of storefronts, the company holds more than 17,000 square feet of retail space, averaging out at $2,021 worth of revenue for every square foot.

John Arbuthnot, CEO of Delta 9, credits the company’s success to its vertically integrated strategy. The company is a successful licensed producer of cannabis as well, and according to Arbuthnot this makes it easier to get their branded products in the hands of customers. By doing it this way, Delta 9 has control over the whole process—production, direct to consumer sales, and branding. Not only that, but retail storefronts provide extra income, and being face-to-face with customers allows for direct feedback about products.

Delta 9 has also made the news recently by entering into agreements with local micro-cultivators in Saskatchewan and Manitoba to provide them with guidance on cannabis cultivation, as well as the company’s proprietary Grow Pod Systems, made from retrofitted shipping containers. Prairie Trichomes, one of the company’s Manitoba partners, has already received a retail licence to open an accompanying store. According to Delta 9, it plans to distribute its partners’ products once they are ready for sale.

Whether it’s because of the company’s commitment to supporting the local economy, their diverse income streams, or a combination of both, with a gross profit margin of around 26%, it’s clear that Delta 9 Cannabis is doing something right.