Cannabis Sales In Canada Are Expected To Pass $7 Billion In 2019

After legalization this summer, Canada will be one of the biggest weed consumers on the planet. How much will the Canadian marketplace be worth was the million (or billion) dollar question–until today. Financial giant Deloitte just released an official report on cannabis in the country’s economy. In it, they shared that cannabis sales in Canada are expected to pass $7 billion in 2019.

Canadians Will Spend Over $7 Billion on Weed

In the report titled A Society in Transition, An Industry Ready to Bloom, Deloitte surveyed Canadians in ancient 2018 to forecast future marijuana consumption.  This includes medical, legal recreational, and illegal earnings.

Additionally, it predicts that legal recreational sales will make up $4.34 billion, the majority of overall sales. According to polls, Canadians will buy legal marijuana so long as it’s no more than 10 percent greater than what’s currently available illegally.

Deloitte calculates the Canadian bud market value is worth between $1.34–2.75 billion. In 2019, they expect it to grow to $1.81–4.34 billion.

The Average Client Is Shifting

The report describes the current weed smoker as “risk taker,” which skews younger (18-34 years old). They anticipate that legalization will bring 35-54 year-olds, who will eat, on average, less than once a month.

3/4 have smoked, eaten or vaped in the past, and almost half have in the past few years.

After legalization, those who rarely smoke marijuana and those who eat it often are expected to increase their intake. Not only that, but the rare smokers will spend 65 percent more on marijuana than they do today.

The culture around bud is changing. Middle-aged consumers, especially those with college or graduate school educations, will become typical. These will be people with stable jobs, families and much more of an inclination to follow the law.

Canadian Spending On Legal Weed Will Depend On accessibility

There are some major hurdles to overcome post-legalization. The lower the cost of legal recreational marijuana and the better the supply and accessibility, the more Canadians will spend.

Most cannabis consumers will purchase from dispensaries. It follows that place, accessible information and a good (and visible) distribution are key. Of Canadians surveyed, one third could buy marijuana online. Delivery services have the benefit of solitude, but the threat of shared data.

Many Canadians Will Be Purchasing Their Weed Legally

Overall, most folks see the benefits of legalization–and are willing to pay for it. The average Canadian is open to paying 10 percent more, though it varies per province. They see legalization as a means to guarantee quality and provide better and more varied products.

And if there are sufficient dispensaries, and if marijuana is plentiful and cheap enough, this could mean over $7 billion in marijuana sales in 2019.

Released at Tue, 05 Jun 2018 17:34:01 +0000

Posted in: News

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