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The Consumer Potential of Retail Cannabis

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The Potential of Retail Cannabis

The Consumer Potential of Retail Cannabis Products

“Eat, drink, and be merry” is becoming an increasingly common mantra for cannabis consumers.

It’s also a refrain that speaks the evolving demand picture for cannabis in a post-legalization environment, as it becomes clearer what products consumers want to see coming from the sector.

Today’s infographic comes to us from The Green Organic Dutchman, and it dives deeper into the profound investor potential in cannabis retail products, like edibles and concentrates.

The Allure of Retail Products

As the business of cannabis matures, several trends are directing its course. Consumer spending in North America is ballooning overall, but growth largely depends on the product type.

Product typeFlowerEdiblesConcentratesOther
2017$4.2B$1B$1.9B$1.3B
2022E$10.5B$4.1B$10.5B$4.1B
Trend↓ 14pp total share
(from 50% to 36%)
↑ 2pp total share
(from 12% to 14%)
↑ 13pp total share
(from 23% to 36%)
↓ 1pp total share
(from 15% to 14%)
CAGR20%33%41%26%
Source: Arcview and BDS Analytics

While seasoned consumers prefer smoking cannabis, other consumers are actually drawn to alternative forms that the plant comes in. Proprietary research from New Frontier Data reveals the products that most appeal to potential U.S. cannabis consumers:

  • 69% solid edibles
  • 54% liquid edibles
  • 44% topicals
  • 36% joints or blunts
  • 32% vaporizers (vapes)
  • 29% tinctures
  • 21% concentrates
  • 19% pipes / water pipes

The rising popularity in retail cannabis-derived products is being directed by consumers – and they’re using products for everything from relaxation to pain management.

Variety is the Spice of Life

Food and beverages, along with wellness products, are proving to be a huge draw.

Food & Beverages

Most people are aware of pot brownies, even if they haven’t tried them. The best known cannabis edibles are baked goods, and these days they’re also found as candy and chocolate.

Cannabis-infused drinks are also growing in popularity, in both alcoholic and non-alcoholic forms. Cannabis-infused water, juice, tea, coffee, and even kombucha are legally making their way onto grocery store shelves.

Of course, before edibles can become fully mainstream, there are a few considerations: stricter regulations for product consistency, not to mention appropriate packaging and labeling to keep them away from children. As an example, Canada will start allowing edibles and other products in October 2019, as they iron out these kinks a year after full legalization.

Health & Wellness

Cannabis has been treasured for its medicinal and therapeutic properties for centuries. In the present, it has re-emerged in an intersection with the wellness industry. In fact, many consumers are already using CBD-infused products in their daily life:

  • Relieving anxiety
  • Enhancing sleep
  • Managing pain
  • Personal care

Importantly, retail cannabis products are also helping consumers reduce their dependence on medications, and to kick unhealthy habits.

A Consumer-Driven Future

Consumers are not just eating cannabis up, but they are also drinking, vaping, dabbing — and the list goes on.

For these reasons, investors should keep an eye on the fast-changing multitude of products and trends within the sector, as they provide some of the best opportunities going forward.

In the final part of this series, we’ll dive into the role that the cannabidiol (CBD) compound plays in the cannabis market.

The Story of Cannabis: What Investors Need to KnowAnatomy of a Cannabis PlantA Quality Cannabis ProductThe Rise of OrganicA Sustainable Cannabis ProductTGOD6 Non ActiveTGOD7 ActiveComing soon
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United States

Mapped: Countries Where Recreational Cannabis is Legal

In total, only nine countries have fully legalized recreational cannabis use.

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This map shows the countries where recreational cannabis use is allowed as of April 2024.

Countries Where Recreational Cannabis is Legal

This was originally posted on our Voronoi app. Download the app for free on iOS or Android and discover incredible data-driven charts from a variety of trusted sources.

In 2024, Germany became the third European Union country to legalize cannabis for personal use, following Malta and Luxembourg.

Here, we map the countries where recreational cannabis use is allowed as of April 2024, based on data from Wikipedia.

Limited to Few Countries

In total, only nine countries have legalized recreational cannabis use nationwide. However, just a few of them have licensed sales.

CountryEffective dateLicensed sales since
🇺🇾 UruguayDecember 2013July 2017
🇬🇪 Georgia30 July 2018Never authorized
🇿🇦 South Africa18 September 2018Never authorized
🇨🇦 Canada17 October 201817 October 2018
🇲🇽 Mexico28 June 2021Never authorized
🇲🇹 Malta14 December 2021Never authorized
🇹🇭 Thailand9 June 20229 June 2022
🇱🇺 Luxembourg21 July 2023Never authorized
🇩🇪 Germany1 April 2024Never authorized
🇺🇸 U.S.Varies by stateVaries by state
🇦🇺 AustraliaVaries by jurisdictionNever authorized

At the federal level, cannabis is still considered an illegal substance in the United States. That said, individual states do have the right to determine their laws around cannabis sales and usage. Currently, cannabis is allowed in 24 states, 3 territories, and the District of Columbia.

Interestingly, the oldest legal text concerning cannabis dates back to the 1600s—when the colony of Virginia required every farm to grow and produce hemp.

Since then, cannabis use was fairly widespread until the 1930s when the Marihuana Tax Act was enforced, prohibiting marijuana federally but still technically allowing for medical use.

Today, the U.S. cannabis market is a $30 billion business. By the end of the decade, that number is expected to be anywhere from $58 billion to as much as $72 billion.

Similar to the U.S., Australia does not allow the use at the national level, but cannabis can be used legally in the Australian Capital Territory, which includes the capital Canberra.

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