Cannabis Consumption Retail

Forget High Grade Marijuana, Consumers Just Want Cheap Weed

The cannabis consumer has spoken with their wallets and what they want is affordable marijuana with high THC content.

In recent years, a string of marijuana companies has rushed to establish top-tier, premium cannabis products on dispensary shelves. The belief was that consumers would gravitate towards luxurious cannabis goods, much in the same way as craft beer and aged whiskey dominate a specific foothold within the spirits industry. This would be especially true for older crowds and newcomers, who would buy top-of-the-line weed to assuage any concern about this brave new world of marijuana.

Some companies even believed a demand would exist for $100 marijuana grams. That isn’t happening, not yet anyways. Since the Canadian cannabis market opened last summer, customers have gravitated toward cheaper cannabis goods and mid-to-high tier goods have lost their market share.

Aurora Cannabis CFO Glen Ibbott said on a conference call last week that cheap weed accounted for only 2% of the Canadian cannabis market last summer. That number has now jumped at 17%, with cheap marijuana qualifying as anything less than C$9, which is $6.79 in U.S. dollars. In the same time span, premium marijuana has dropped from a market share in the mid-30s to just 17%.

To Read The Rest Of This Article By Brendan Bures on The Fresh Toast

Published: February 18, 2020

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