Headset forecasts 4/20 cannabis sales to grow 100% in 2022

Data and market research firm Headset released a report titled “Understanding 4/20 Cannabis Holiday & Consumer Purchase Trends” on March 15, which predicts that 2022 will be one of the biggest holidays for cannabis sales yet. The data is collected by the headset’s proprietary software, which examines sales from participating retailers in real time. “April 20th has been the single largest retail cannabis sale day since legalization (with one notable exception), so we understand this is a bloody important day,” reads the report’s introduction. “We also know that on 20.04. There are some consistent patterns every year: increases in sales, customers enjoy massive discounts, and certain categories are more popular than others.”

The report analyzes data collected from various retailers in Arizona, California, Colorado, Illinois, Massachusetts, Maryland, Michigan, Nevada, Oregon and Washington, as well as the Canadian provinces of Alberta, Ontario, British Columbia and Saskatchewan. The data is verified by analyzing sales that took place in the last four weeks before April 20, 2021 (review of March 23, March 30, April 6 and April 13 of this year).

In the US, flowers’ market share fell from 46% to 41% from March 2021 to February 2022, but market share for pre-rolls (25%), vape pens (14%) and edibles (11.9%) increased. . “Pre-roll market share has been a little more volatile, rising rapidly for most of 2021, then falling at the end of the year and then picking up again in the early months of 2022. This is a great example of how much can change during a full year of cannabis sales!” Between 2020 and 2021, top product categories with percentage increases included Concentrates, Flower, Edibles, Pre-Roll, Vapor Pens and Capsules. This excludes Tincture & Sublingual and Topical, which were down 4% and 33%, respectively. Beverages remained nearly constant between the two years, showing a 4/20 sales increase in 2020 at 184% and 183% in 2021.

The consumption data by gender and age group have also shifted in the past year. Sales from female customers were up 140% four weeks to April 20, while male customers “had a slightly lower response” at 107%. In terms of age, Headset shared that younger 4/20 customers were more enthusiastic than older customers. “Sales to the Gen Z group pretty much tripled last year as of April 20, while sales to the Gen X and Baby Boomer groups didn’t even double. It would make sense that continued caution from COVID could have influenced this trend,” the report stated. “Younger customers may have been more willing than older customers to risk exposure to the virus to celebrate April 20 at a pharmacy. However, in our sales data we see a similar trend in 2019, well before any of us had heard the word ‘coronavirus’.”

Headset concludes his report by offering advice to cannabis business owners looking to capitalize on the holidays. “Make sure you understand what your customers want and keep your shelves stocked accordingly, otherwise you could risk losing loyal customers to the competition,” the report recommended. “You also want to make sure your strategy accounts for the potential to convert new or infrequent buyers into loyal and more frequent customers, given the significant increase in transaction volume from different customer groups today.”

Another data company that covers the various intricacies of the cannabis industry, New Frontier Data, recently projected that cannabis sales could reach $51 billion by 2025. Giadha A. DeCarcer, Founder, Editor and CEO of New Frontier Data, explained in the introduction to this report that the last two years have shown immense growth in the industry across the board. “In just two years, the number of countries that have legalized some form of cannabis has gone from 50 to 70, and there are now 10 countries legalizing adult use, nearly doubling from 2019. As are the legal ones As markets around the world continue to evolve, we have found that regulatory structures and societal norms vary widely and each country, region and market requires a differentiated approach to quantify, qualify and understand them.”