Let’s approach this premise with a few statistics that were recently gathered by FlowHub for 2021, and are directly relevant to the cannabis industry. Evidently, at this current point in time, up to 12% of the country’s population currently uses cannabis products in some form or other.
In 2020 alone, nationwide cannabis sales – those that can be tracked, mind you – increased by 67%. Support for the legalization of marijuana is also at a historic high. According to the same source, well over half of the country’s population supports it – at 68% in favor of legalization. The same findings suggest that the United States’ cannabis industry is valued at over 60 billion dollars.
These are powerful figures, and one can extrapolate quite a bit of useful information from them. One is that support for cannabis products is on the rise; without accounting for illicit use, over 10% of the country’s population consumes cannabis in some form or another. No matter how you slice it, the market for cannabis products is already lucrative. It’s already growing, and as more states legalize cannabis, more dispensaries will enter the industry.
Cannabis Market Research: Advanced Targeting to Guide Critical Decisions
The lack of data regarding consumer behavior among cannabis users has presumably plagued the industry for a long time. It can only be called presumable because the industry as a legal entity is relatively new.
However, the same questions regarding consumer behavior that face all industries are just as relevant to cannabis dispensaries and other cannabis companies. Naturally, companies that specialize in the sale of medical marijuana and accessories have an interest in the competitive landscape and projected market growth.
The health of their businesses also hinges on what they can learn about consumer behavior, and how closely they can perform targeting. Demographic information, is, of course, valuable, but other factors will impact the growth rate and success of dispensaries and other cannabis companies, including but not limited to the following:
-Preferred method of consumption: Given the wide range of different cannabis products, understanding consumer preferences is vital to dispensary profitability. Lack of brand awareness is only one hurdle to overcome.
-Frequency of consumption and budgetary constraints: How frequently users consume cannabis and how much they are willing to spend should guide dispensary procurement schedules and impact marketing budgets.
-Method of purchasing: During the pandemic, demand for cannabis delivery services grew; up to 33% percent of cannabis users reported that they relied more heavily on delivery services during lockdowns. Dispensaries need to understand their target markets, and how they can expect to reach them.
-Product type preferences: Some consumers may have brand or strain preferences; other would-be users may suffer from a lack of awareness. Cannabis market research is the key to overcoming these obstacles.
Cannabis market research can yield valuable insights to vendors across North America, insights that can be used to adjust procurement and distribution strategies, the development and launch of new products, and of course the target and budgets associated with marketing initiatives, among other aspects of the business.
Cannabis Market Research and ISA Group
ISA Group specializes in developing and delivering high-quality data and research while adhering to stringent methodological standards. They offer a wide range of qualitative and quantitative in-person research strategies, online sampling data collection, and robust customer feedback collection products in the form of surveys, live chats, and more.
To learn more about how their cannabis market research strategies can deliver you actionable insights for your cannabis business, visit their website, ISACorp.com, or get in touch with them directly at [email protected] or at 818-989-1044.