Square, a subsidiary of fintech company Block Inc., has announced its venture into the Canadian cannabis market through a strategic partnership with e-commerce platform Jane Technologies.
Square-Jane Collaboration: Expanding Online Sales for Physical Stores
Founded by Jack Dorsey, the Co-Founder of Twitter (now known as X), Square plans to launch an early access program in the province of Ontario. This program will allow licensed dispensaries to test Square's retail point-of-sale (POS) offerings. As part of this collaboration, businesses signing up for Square's payment systems in physical stores will gain access to Jane's platform, enabling them to sell their products online seamlessly.
Jane Technologies had previously entered the Canadian market in 2021 by partnering with High Tide, a cannabis firm. With this latest partnership, Square aims to make its mark in the Ontario province first before expanding further. Roshan Jhunja, the Head of Retail at Square, emphasized the importance of starting with a stable foundation to ensure a successful entry into the market.
Expanding Horizons: Jane Technologies' Vision Beyond Canadian Borders
Despite the initial growth surge following the legalization of cannabis in Canada in 2018, the industry faces fierce competition from illegally sourced, cheaper marijuana.
The collaborative goal of Square and Jane Technologies is to provide a platform that makes legal cannabis products nearly as accessible as those on the illicit market, as stated by Jane's CEO, Socrates Rosenfeld. Last month, US health officials recommended easing restrictions on marijuana, signaling a potential move toward broader legalization in one of the world's largest cannabis markets. Rosenfeld expressed readiness to expand the partnership beyond Canadian borders when regulations permit.
The Square-Jane Technologies partnership represents a strategic move into a market with immense potential for growth. By combining Square's payment solutions with Jane's e-commerce platform, licensed dispensaries and retailers aim to compete effectively in the ever-evolving cannabis industry, ultimately providing consumers with a more convenient and accessible way to purchase legal cannabis products.
