In a yr confined and outlined by the coronavirus pandemic, Individuals turned to hashish in file numbers.

Individuals spent practically $18 billion on hashish in 2020. That’s 65% greater than final yr.

State tax and income information acquired and analyzed by Leafly reveal that nationwide gross sales of medical and adult-use marijuana elevated by 67% over 2019.

Individuals bought $17.9 billion in hashish merchandise over the previous calendar yr, $7.2 billion greater than the $10.7 billion in gross sales the earlier yr.

Medical marijuana is now authorized in 37 states, whereas 15 states and Washington, DC, have legalized hashish for all adults.

The pandemic impact

When the Covid-19 pandemic hit the US in March, many within the hashish {industry} anxious a couple of huge industry-wide shutdown. As a substitute, governors in most states declared hashish an important product. Dispensaries and retail shops responded by providing on-line ordering, curbside pickup, and supply as Covid-safe choices for his or her prospects.

Clients, in flip, responded by stocking up for these weeks of stay-at-home advisories. After a quick dip in late-March income, most shops noticed a major bump in April—after which the bump turned a plateau.

Even in Massachusetts, the place Gov. Charlie Baker’s statewide shutdown order briefly halted all retail operations in April, hashish shops posted a 75% annual gross sales achieve over 2019. Retailers there’ll promote roughly $700 million in hashish merchandise by the top of 2020, in comparison with $400 million in 2019.

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On-line ordering and curbside pickup saved the {industry}

A Terrapin Care Station employee in Colorado conducts curbside pickup March 26, 2020. (Courtesy Terrapin Care Station)
A Terrapin Care Station worker in Colorado conducts curbside pickup March 26, 2020. These have been the early days of the pandemic, when public well being authorities knew much less in regards to the virus and suggested the general public to depart masks for healthcare employees solely. (Courtesy Terrapin Care Station)

Clients purchased 25% to 40% extra

New customers and sufferers, and newly authorized states, performed a task in 2020’s hashish increase. However the primary driver was a rise within the common buy measurement of established customers, who elevated their common month-to-month spends from 25% to 40%.

Hashish information analysts at Headset and CannaCraft not too long ago analyzed the demographics of month-to-month hashish gross sales in California. The graph they got here up with completely captured the pandemic-led shopping for pattern in each California and the nation:

2020-cannabis-sales
The pandemic gross sales bump in April 2020 turned a plateau, as Individuals leaned on hashish as a psychological well being and wellness product. (Graphic courtesy of Headset and CannaCraft)

Dealing with pandemic stress

This yr’s gross sales figures will come as no shock to retailers, who’ve heard firsthand in regards to the significance of hashish within the lives of their prospects, particularly for the reason that pandemic hit in March.

In October, multi-state dispensary operator Verilife surveyed greater than 2,000 Individuals and located that 72% of respondents named the Covid-19 pandemic because the main reason for stress and burnout of their lives this yr. Practically 40% stated they’ve used hashish to deal with that burnout. Round 37% stated they’ve used CBD, and an additional 29% stated they’ve thought-about utilizing marijuana to decrease their stress stage this yr.

2020-stress-burnout-survey
In a survey of two,000 Individuals, 72% named COVID-19 because the main reason for psychological stress and burnout in 2020. (Information and graphic courtesy of Verilife)

9 states greater than doubled gross sales

9 state greater than doubled their 2019 gross sales totals in 2020: Arkansas, Connecticut, Florida, Illinois, Maine, New Jersey, North Dakota, Ohio, and Pennsylvania.

Florida emerged because the nation’s fourth-largest hashish market in 2020. With greater than $1.2 billion in gross sales, the medical marijuana state trailed solely high adult-use states California, Colorado, and Washington.

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Florida and New York: A story of two states

This yr’s gross sales information additionally reveal the significance of state laws on the subject of affected person entry and {industry} success.

Florida and New York have roughly comparable populations—round 20 million folks—however their medical marijuana markets have developed in radically completely different instructions.

New York has licensed solely 38 dispensaries, a comically low quantity for a state with 20 million folks. Florida, in contrast, has 300 dispensaries working to serve the same inhabitants. New York has by no means allowed hashish flower to be bought, whereas flower now makes up roughly half of all medical marijuana gross sales in Florida.

The consequence: Florida has 4 instances as many registered sufferers as New York and has recorded greater than ten instances the gross sales income in 2020.

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Hashish gross sales information: Not all the time easy

Leafly arrived at its 2020 gross sales determine of $17.9 billion by analyzing state-by-state gross sales figures.

Some states, like Massachusetts, put up clear and correct month-to-month income information on public web sites. Many others hold murky information or put up oblique gross sales metrics, comparable to kilos of hashish flower bought. In these circumstances, Leafly analysts reverse-engineer state hashish tax income information and seek the advice of with native dispensary managers to reach at an inexpensive estimate of flower costs and market percentages.

For late-December gross sales figures, we estimated the ultimate weeks of gross sales by assuming a mean of the previous three months of income figures.

Leafly will publish a full accounting of 2020’s state-by-state gross sales figures as a part of our annual Hashish Jobs Report in February.

Bruce Barcott's Bio Image

Bruce Barcott

Leafly Senior Editor Bruce Barcott oversees information, investigations, and have initiatives. He’s a Guggenheim Fellow and writer of Weed the Folks: The Way forward for Authorized Marijuana in America.

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