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Tuesday, Aug 16, 2022
Mugglehead Magazine
Alternative investment news based in Vancouver, B.C.

Business

US and Canadian cannabis sales will hit new highs this 4/20: Headset

The daily sales spike is steeper south of the border

US and Canadian cannabis sales will hit new highs this
Vancouver 4/20 cannabis rally in April 2013. Photo by Jared Gnam

Cannabis sales in Canada and the United States are set to soar on this year’s biggest stoner holiday, according to a new report.

On Thursday, cannabis analytics firm Headset released data on projected sales, discounts and other for April 20, with sales expected to at least double in the U.S. and spike more than 50 per cent in Canada.

According to Headset analysts, 4/20 has been the largest single-day for retail cannabis every year since legalization, driven by a steep increase in transaction volume.

The firm says stores should expect around double the amount of customers they normally serve in April.

On previous 4/20s, average sales surged less in Canada, spiking 59 per cent in 2021. In the U.S., daily sales spiked 113 per cent.

To calculate growth, Headset compared 4/20 sales to an average of the previous four same days of the week.

U.S. and Canada cannabis sales will skyrocket this 4201

Sales are expected to at least double in the U.S. and spike more than 50 per cent in Canada. Chart via Headset

The report also shows that increased buying behaviour is more pronounced among women and younger customers. Sales to women increased by 140 per cent on the holiday.

Analysts noted that there’ve been shifts in category popularity compared to last year.

Read more: Cannabis sales continue to climb faster among women: Headset

Read more: Cannabis flower likely to remain dominant consumer choice: Headset

From March 2021 to February 2022, dried flower market share in the U.S. dropped from 46 per cent to 41 per cent, while pre-rolls’ share was up by 25 per cent, vapor pens by 14 per cent and edibles by around 12 per cent.

In the U.S., beverages saw the most growth in popularity over the past two 4/20s. Other trending products include edibles, concentrates, dried flower and pre-rolls. Vape pens are one of the lower-growth categories.

U.S. and Canada cannabis sales will skyrocket this 420 Headsetdd

Chart via Headset

“Although a lot has changed in the cannabis industry since last the 4/20, we know one thing for sure: cannabis consumers will want to celebrate the occasion this year and they are expecting some deals,” reads the report.

Headset recommends companies understand what their customers want, and keep the shelves stocked to be ready for the celebration.

“The cannabis industry moves fast and if you’re not keeping up on the most recent trends, you may be left behind.”

Headset collects its data from point-of-sale systems of its partner retailers in Arizona, Colorado, Illinois, Massachusetts, Michigan, Nevada, Oregon and Washington in the U.S. For Canada, it collects data from stores in Alberta, Ontario, British Columbia and Saskatchewan.

 

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