How legal marijuana outperforms Starbucks
When reports came back showing that legal cannabis sales in North America were outpacing Starbucks sales, it raised more than a few eyebrows. As we did before reportedin 2021, legal cannabis sales (combined medicinal and recreational) ranged from $24.5 billion to $27 billion, while Starbucks reportedly sold $20.5 billion.
At first, this might come as a surprise simply because Starbucks is such a famous and successful institution while marijuana and its dispensaries are still relatively, well, green. Those numbers are even more shocking when you consider that marijuana is still illegal at the federal level, and more than a dozen states have outright bans on sale and use.
So how did cannabis overtake the world’s largest coffee retailer, and what does that mean for the future of cannabis sales?
Photo by Omar Lopez via Unsplash
Americans love a good cup of coffee, but cannabis is what they’re really drawn to during tough times. And 2021 has been a difficult year for most of us, both economically and mentally.
However, marijuana has proven to be a powerful product in both boom times and challenging times. “Invest in products that people will always want, in good times and bad. And when it comes to providing a product that people around the world crave, marijuana stands the test.” wrote Invest daily. Marijuana’s ability to thrive in all economic times makes it a very marketable product.
While lockdowns and stimulus payments may have helped somewhat in curbing weed sales in 2021, this growth doesn’t seem like a one-time thing. In fact, marijuana sales are projected to reach $33 billion in 2022, they say wealthwhich would correspond to a growth of 32% from 2021. This shows that marijuana is on a steadily growing path that could help it continue to overtake the coffee retailer and potentially other iconic companies.
Not only are existing markets showing strong sales, but several states have legalized recreational cannabis this year and are already reporting huge numbers. “The expected second-quarter start of adult sales in New Jersey will likely drive the biggest jump of any market in the U.S. in 2022,” said Jessica Lukas of cannabis data company BDSA forbes. BDSA forecasts a 220% increase in sales in 2022 over 2021.
Photo by Sarah Pender/Getty Images
The past two years have been difficult and uncertain times, but marijuana is growing steadily. Even as state and federal lawmakers squabble over whether or not to legalize marijuana, the cannabis industry is poised to move forward with record-breaking profits year after year.
This growth is likely just the beginning for an industry that can only go up, which can only lead to the conclusion that Americans overall will continue to spend even more on weed than they do on pumpkin spice lattes.
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