POS Lingo Explained: Sales Limits, SKU Syncs & More
Navigating the world of cannabis retail comes with a unique set of challenges—and vocabulary. For dispensary staff and management alike, understanding Point of Sale (POS) lingo is more than just technical jargon; it’s essential for compliance, inventory control, and customer satisfaction. Whether you’re new to cannabis retail or brushing up on your knowledge, here’s a breakdown of commonly used POS terms and what they mean in practice.
Sales Limits: Staying Legal at the Register
Sales limits refer to the maximum amount of cannabis a customer can purchase per day, as mandated by state law. These limits vary based on the jurisdiction and whether the customer is a recreational user or a medical patient.
For example, in California, recreational users can purchase up to 28.5 grams of non-concentrated cannabis in one day, while medical patients may have higher allowances. POS systems must be configured to recognize and block transactions that exceed these legal thresholds. When integrated with state tracking systems like Metrc, the POS can automatically cross-check patient or customer history to prevent over-selling.
Sales limits are critical because violating them can result in steep fines or even license suspension. A quality POS will alert the cashier in real time and either block the transaction or suggest a legal quantity adjustment.
SKU Syncs: Keep Inventory in Check
SKU stands for Stock Keeping Unit—a unique identifier assigned to each product in the dispensary. SKU syncing refers to the automatic updating and matching of product inventory between your POS and your inventory management system.
When a dispensary sells a product, the POS logs that sale and deducts it from inventory. A real-time SKU sync ensures consistency across digital menus, in-store availability, and compliance reporting tools. If a dispensary uses third-party platforms (like Weedmaps or Leafly), SKU syncing also keeps those listings current and accurate.
This synchronization helps prevent issues like double-selling or misrepresenting what’s in stock. It also makes inventory audits faster and more reliable by reducing human error.
Batch Tracking: Compliance from Seed to Sale
Batch tracking refers to the ability to trace every product back to its source. A batch number includes details about when and where the product was cultivated, harvested, processed, and packaged. POS systems record this information during each sale, tying the product to the customer and the date of purchase.
In highly regulated markets, batch tracking isn’t optional—it’s required. It ensures traceability in case of recalls and verifies that products meet testing and labeling requirements. POS systems integrated with state traceability programs automatically pull in this data during each transaction.
Real-Time Reporting: Insights at a Glance
Many modern cannabis POS systems offer real-time reporting dashboards. These allow store managers to monitor sales, inventory levels, employee performance, and compliance issues instantly. Unlike static reports pulled at the end of the day, real-time insights help teams make operational decisions on the fly—whether that’s reallocating staff, reordering a fast-moving product, or resolving a compliance flag before it becomes a problem.
Summary
Understanding POS lingo like sales limits, SKU syncs, batch tracking, and real-time reporting is essential for operating a dispensary smoothly and legally. Investing time in learning these terms can save headaches, improve efficiency, and protect your business in the long run. As cannabis retail continues to evolve, so too will the language that powers its technology—staying fluent is key.