DoorDash Leaps into Hemp: A New Chapter in Delivery Services

DoorDash Inc DASH is venturing into the market for hemp-derived THC and CBD products, marking a strategic expansion beyond traditional food delivery.

The trend isn’t isolated. Globally, leading delivery companies are exploring cannabis options. For example, Uber Eats UBER has collaborated with Canadian cannabis retailers, providing access to dispensary-grade marijuana. In Latin America, Rappi has hinted at similar plans, though specific details remain unclear. In the U.S., DoorDash is taking a cautious step forward with federally compliant hemp-derived products that have less than 0.3% Delta-9 THC by dry weight.

“Since 2020, DoorDash has been diversifying beyond restaurant delivery, focusing on grocery, alcohol, retail, and more to adapt to changing consumer preferences,” a DoorDash spokesperson shared with Benzinga. “As part of this strategy, we are facilitating the delivery of hemp-derived THC (no more than 0.3% Delta-9 THC by dry weight) and CBD products through the DoorDash Marketplace.”

“Our mission is to provide consumers with a safe and convenient way to access the products they desire while helping local merchants connect with new customers,” the spokesperson added.

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This move aligns with DoorDash’s greater objectives. It has been rapidly expanding beyond food delivery, establishing itself as the largest alcohol delivery service in the U.S. By incorporating hemp-derived products, DoorDash aims to diversify revenue streams, increase order sizes, and improve customer retention, positioning itself at the forefront of evolving consumer behaviors.

Internal data supports this strategy; it indicates that orders including hemp products from alcohol retailers tend to be two-thirds hemp and one-third alcohol. This crossover suggests substantial potential for cross-selling—a strength that DoorDash’s extensive logistics network is well-equipped to handle.

Additionally, preliminary results from the pilot program indicate a preference among consumers for ordering hemp-derived THC and CBD products through delivery services rather than purchasing in-store. This trend reveals that these items are becoming part of regular online shopping habits, rather than just impulse buys.

For DoorDash, this expansion is essential to keep pace with changing consumer preferences while also competing with emerging cannabis delivery platforms. Unlike smaller operators, DoorDash can seamlessly integrate hemp-derived products into its established platform, allowing customers to combine their orders of hemp with groceries, alcohol, or meals using features like DoubleDash.

Furthermore, adding hemp-derived products appears to enhance other categories, resulting in larger orders and increased sales for small and midsize businesses. This cross-category potential represents a significant growth opportunity for DoorDash.

Pursuing this cannabis-adjacent market presents critical regulatory challenges that must be navigated carefully. Ensuring compliance involves implementing stringent safeguards to adhere to both state and federal laws.

Navigating Compliance: DoorDash’s Strategy for THC Delivery

The introduction of hemp-derived THC and CBD products introduces unique compliance challenges. DoorDash has adopted measures similar to those in alcohol delivery, emphasizing ID checks and oversight of merchants.

All merchants must verify compliance with federal and state regulations, especially regarding THC levels capped at 0.3% Delta-9 THC by dry weight. Additionally, they must provide Certificates of Analysis (COAs) for each product to confirm adherence to legal limits.

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For safety and compliance, all hemp-derived THC products sold through DoorDash must be manufactured in licensed facilities that meet Current Good Manufacturing Practices (cGMPs). Rigorous age verification measures are in place, requiring electronic ID checks, similar to the process for alcohol delivery. Only Dashers over the age of 21 can complete these deliveries.

At present, the availability of hemp-derived THC and CBD products is limited to specific states, including Georgia, Kentucky, Iowa, Louisiana, and Tennessee, with plans for further expansion subject to local regulations. The company is consistently evaluating potential opportunities as legal landscapes evolve, leaving the potential for a wider launch open.

While this move into hemp-derived THC is strategic and legal, it also raises broader questions about the future of cannabis in e-commerce. The true test will arise if federal legislation changes. Should full legalization of cannabis occur, DoorDash’s existing infrastructure, partnerships, and compliance measures could position it advantageously for rapid entry into regulated cannabis delivery.

Industry experts are already considering the implications of potential changes in federal cannabis laws on DoorDash’s operations. Although the company has not made specific announcements, its current actions suggest a foundation is being laid for even more extensive ventures into the cannabis space.

For the moment, DoorDash is actively developing a compliant framework that serves the current legal market while strategizing for future possibilities. If the cannabis landscape shifts toward full legalization, DoorDash will not only be ready; it might lead the way.

Photos courtesy of DoorDash