How cloud video storage is financially beneficial for cannabis industry operations

Feb. 24, 2021
Cannabis operators are often required by state and federal law to retain video footage for longer than other industries to stay in compliance

When running a business, controlling expenses while increasing efficiency is paramount, especially when it comes to surveillance systems. The cannabis industry is no different. As this lucrative industry grows, surveillance requirements remain essential for cannabis operators to follow.

Cannabis growers, retailers, and distributors in New Jersey’s recently legalized recreational cannabis industry are required by state and federal law to have adequate surveillance throughout the plant’s lifecycle, often referred to as “seed to sale”. Monitoring the plant at all times helps ensure proper handling of the product, reduced theft and empowers cannabis operators to be proactive about their security.

When it comes to surveillance video storage, on-site storage can be expensive, hardware intensive and time-consuming to manage. Cloud storage is an excellent solution as it gives cannabis operators the flexibility to secure their operations and stay in compliance while keeping operating costs low. With cloud storage, a secure internet connection is all that’s needed to take advantage of flexible, cost-effective video storage.

Here are a few of the financial and operational benefits of video cloud storage for the cannabis industry.

Enhanced Security

With cloud storage, cannabis businesses can increase both the safety and efficiency of their operations. There’s no need to have an elaborate physical set up to record and store video on-site with cloud storage. Instead, the system will be designed and configured to have security video automatically uploaded to the cloud. Without on-site video storage, people won’t be able to access stored video or tamper with it, which can help ensure data integrity.

Storing video footage on-site is a risk in and of itself, and in-house servers are also more vulnerable to cyberattacks. With cloud solutions, cannabis businesses can improve data security because video is automatically encrypted before entering the cloud. This helps ensure the safe transfer and storage of data, but it also means only authorized parties can access stored video footage.

Cloud storage also helps improve security by allowing quick access to information. In the cannabis industry, this is an essential feature to have as threats to security or product integrity can quickly jeopardize operations. By storing video in the cloud, operators can easily and securely access their video footage to identify trespassers, manage a developing crisis, and safeguard assets.

Scalable Video Storage Management

Scalable video storage is beneficial for businesses across many industries, but it’s particularly advantageous for New Jersey and Pennsylvania cannabis operators. Cannabis operators are often required by state and federal law to retain video footage for longer than other industries to stay in compliance.

Most states require cannabis operators to retain video footage for a minimum of 90 days, depending on the jurisdiction. Retaining this much video footage can get expensive, especially when storing video on-site. But with cloud video storage, cannabis businesses are able to store all the footage they need to remain in compliance for a more affordable cost, as there are no on-site setup to manage or data limitations to prevent proper storage. Cannabis businesses also don’t need to pay for more storage than they need with cloud solutions, which allows them to avoid unnecessary expenses.

Cannabis operators can also more easily scale camera systems and storage options when they sync with the cloud, as they use networking gateways. Networking gateways have a much higher capacity than traditional on-site hardware, such as DVRs, meaning cannabis operators won’t have to worry about running out of video storage space.

If a cannabis operator has multiple locations, which isn’t uncommon in the cannabis industry, they’re also able to integrate and streamline access and management with cloud solutions more easily. Integrated video storage creates a full “seed to store” surveillance video, which is useful when retaining a large amount of footage to identify and review potential incidents.

Lower Upfront and Ongoing Operational Costs

Setting up cloud video storage generally requires less time and upfront costs than compared to installing an on-site setup, meaning cannabis operators can lower their initial costs and deploy surveillance solutions faster. Cloud storage also minimizes the cost of on-site hardware and equipment, which results in significant upfront cost savings for cannabis grow houses, transportation centers and dispensaries.

In our experience with designing and installing cloud-based systems, our commercial clients have often realized anywhere from 30% - 50% in system hardware and on-site server cost savings. These lower operational and system management costs translate to surveillance setups as well. Cloud video storage solutions make it simple to adjust storage without investing in additional equipment or altering on-site hardware. With fewer pieces of equipment and simplified maintenance, cannabis businesses can better control expenses not just initially, but also over time.

Predicting and controlling costs for video storage is especially beneficial for cannabis operators as industry standards evolve and surveillance requirements, including those for video storage, may change.

Maintenance of cloud video storage is also streamlined, as the cloud updates automatically, and an outside provider typically handles any additional server maintenance. This not only takes the burden of regular updates and maintenance off of cannabis operators but allows them to keep their video storage more secure.

Having cloud video storage via a provider can also:

●      Allow cannabis operators to have more physical business space than traditional on-site hardware would typically take up, allowing more potential room for expansion.

●       Reduce technology maintenance burdens on employees, which translates to cost savings in three significant ways:

1.    Eliminating the need to hire people to manage on-site technology.

2.    Boosting productivity, as employees can focus exclusively on their jobs instead of on tech maintenance.

3.    Saving time when getting a tech issue resolved as the provider will handle it.

●       Mean worrying less about losing data, as video will be stored in outside locations and backed up on multiple servers, keeping video footage accessible and secure, even there’s an on-site disaster that would otherwise compromise video footage stored on-site.

●       Give cannabis operators remote access to video footage, which can be convenient and save time when responding to an emergency.

●       Make it simpler for cannabis businesses to relocate if they need to, as there’s minimal on-site hardware to move, which can lower moving costs and improve efficiency when establishing a new location.

The cost savings cloud video storage provides to cannabis operators are long-term and can significantly improve operational efficiency and profitability.

The Ability to Make Proactive Improvements & Implement Video Analytic Solutions

Cloud video storage can also give cannabis operators the insights they need to improve. For example, operators can monitor business operations with cloud storage and identify issues in real-time, especially when paired with video analytics. Cloud-based video analytic software again lowers the amount of on-site processing and hardware required, delivering some potential additional up-front cost savings.

Intelligent video analytics empower cannabis businesses to identify trends and process and store video with system-wide video analytic integrations, specifically by:

●       Rapid deployment of video analytics, which can be beneficial for cannabis startups

●       Lowering initial and ongoing costs to implement video analytics

●       Processing video footage more quickly, which can save valuable time, especially in an emergency

●       Automatic updates to retain security and efficiency

Deploying analytics in the cloud offers cannabis businesses the advantage of quickly processing data even with a large amount of video footage, and the technology is only improving. It also makes retrieving specific video more dependable, which can help managers and law enforcement more easily sift through video footage to identify particular events. Video analytics give cannabis operators more flexibility, better security, and faster recovery in the event of a security breach or theft.

The Future of Security Is Cloud

Cloud video storage is scalable, provides easy and secure access to authorized parties, and gives cannabis businesses the ability to meet compliance regulations while effectively boosting security. With cloud video storage, cannabis operators everywhere no longer have to invest in expensive and risky on-site setups to store video. Instead, they can enjoy scalable cloud solutions to better control expenses and take advantage of robust technology to improve security and operations.

About the Author: Will Biggerman is currently the Chief Operating Officer for Surveillance Secure, a leading commercial security integrator headquartered in Frederick, MD. He also works with training and support for our nationwide franchisees and can be reached at [email protected].