Top Trends to Watch with Recent Rises and Dips in the
As we’re already aware, growth in the cannabis industry has shown high hopes for 2022 and beyond according to recent research. While things are looking up for many rises inside this marketplace, some trends are on the downslope but are still looking good overall for cannabis to continue to be a practical place for businesses and investments to survive and thrive.
In this light, let’s take an important and valuable view of facts and figures, reports, and analysis of rising and decreasing numbers in this explosive marketplace. Overall, the news is good about tremendous growth compared to some slight dips in purchases, and consumer interest, along with the newer products that are beginning to blossom in the industry.
Flower Sales are Still Blooming Despite a Recent Decline
Cannabis flowers (aka buds) have long been one of the most popular parts of the plant when it comes to purchasing, producing, and consuming marijuana. However, sources have shared a recent decline in flowers as a part of this marketplace. On the other hand, analysts have uncovered that a decrease in the flower market share is not likely caused by less purchasing, but fewer customers may be choosing this product compared to other options available in the cannabis industry.
Some are pointing to the pandemic as being part of the problem for a dip in sales, but reports are revealing more about sales in both Canada and the United States that look promising. In part, was stated, “Despite this interesting nuance in the analysis, the most important takeaway here is that in Canada, flower products are showing up in a smaller portion of cannabis transactions over time.” Still, this most traditional way to consume cannabis is still the highest revenue category in both countries.
Drink Up: Beverage Sales are Beginning to Boom
When looking at the numbers, figures are showing a steady rise in the beverage category when it comes to cannabis sales and consumption. For example, penetration for this imbibed product has nearly doubled in the United States from 2% in January 2020 to 3.7% in December 2021. Meanwhile, in Canada, these purchases remained relatively steady at around 4% in 2020 and then rose to an all-time high of 4.5% in December 2021.
Tincture and Other Subcategories Steadily Rising
Again, using the Canadian marketplace as an example, often looking at their numbers is valuable when you consider that cannabis is legal throughout the entire country. As more states in America are legalizing the recreational use of marijuana including on a federal level, we’re likely to see the same type of trends continuing in the United States.
In the case of Canadian product segments, leaders include tincture and other subliminal categories including pre-rolled options (prepared “joints” or marijuana cigarettes), topicals, concentrates, and flowers (along with ground flowers). While the performance of pre-rolled products and flowers remains positive, tincture and the other choices dominated the Canadian marketplace. Just a couple of these products in particular were responsible for more than 70% of category sales in 2021 and represented most purchases.
A Few Final Takeaways
At this point, it’s important to remember that even though the sales and purchase of flowers in the cannabis marketplace seem to be on the decline, they still hold a substantial revenue inside the industry. Given newer products, rises in other subliminal categories, and continued growth in cannabis choices and alternative options are opening more doors for profits. Overall, the future from a business or investment standpoint for this rocketing and rising industry is still looking bright.
And finally, for greater success in the cannabis community and marketplace, let MaxQ Technologies lead you down the pathway to bigger profits and better growth. Contact us today for a customizable solution that works for your unique situation and circumstances. We’re looking forward to hearing from you.