Sarah Westby Quoted in Hartford Business Journal Article "Cannabis Delivery Services Could Help Jump-Start CT Adult-Use Sales"

Sarah Westby was recently quoted in the Hartford Business Journal's article entitled, "Cannabis Delivery Services Could Help Jump-Start CT Adult-Use Sales."

Sarah Westby, a partner at law firm Shipman & Goodwin and chair of its cannabis practice, said it’s hard to predict how much of the market online delivery sales will make up, but she agreed it will likely be a popular service.

“I think if we’ve learned anything from the pandemic, it’s that everyone likes the convenience of door-to-door delivery, and we’re all willing to pay a premium for that,” Westby said.

Westby said 11 provisional licenses have been issued to companies looking to establish delivery services in Connecticut. Green Coach is the only one to become operational with a full license.

These companies will compete for customers, and Westby said their geographical location and delivery area range could be keys to their success. There is a high concentration of companies with addresses in Hartford and New Haven counties, but fewer players are eyeing some of the more rural corners of the state, Westby said.

“A lot of it depends on how many retail stores open up and where they’re located, and how many delivery businesses are up and running to work with them,” Westby said. “If you’re delivering to Torrington from a store that’s in Norwalk, that’s probably not going to be a feasible delivery range.”

While the amount of capital needed to start a delivery service company is much less than what’s needed for other cannabis businesses, like retailers and cultivators, Westby said the margins are also thinner, and the market opportunity is less clear.

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