To say that weed sales are growing like a weed would be a gross understatement. Weed sales are growing so fast that by the year 2021 they’ll top $20.2 Billion in North America alone. That’s a lot of money. And a lot of weed trading hands.
Where’d those numbers come from? Our buds from Oakland’s Arcview Market Research Founded are not only responsible for estimating the numbers above they’re also responsible for funding a number of groundbreaking ventures in the cannabis industry. In fact, these dudes are the first and most often-cited marijuana market researchers around. We’re talking $91 million behind 135 companies and an investor network that includes 600+ dues-paying accredited investors. Anyhow, because we suck at math we’ll let them explain.
Oakland, CA – Arcview Market Research, the leading publisher of cannabis market research, released a new 2016 North American cannabis market size estimate as well as projections for the market through 2021, while announcing the availability of presales of its 5th edition of the State of Legal Marijuana Markets Report. The executive summary of this groundbreaking report will be released on January 16th at Arcview’s private Investor Forum in L.A. The full 200+ page report will be released in February. This first of its kind report finds that regulated marijuana sales in North America totaled $6.7 billion in 2016, a 30 percent increase from 2015. Sales are projected to grow at a compound annual growth rate of 25 percent, from $6.7 billion in 2016 to an estimated $20.2 billion by 2021.
The new and revised market projections rely on a new proprietary bottom-up point of sale foundation with millions of individual consumer transactions from dispensary partners in the largest legal cannabis markets across the country created by BDS Analytics.
This is the first time Canada is included in Arcview’s annual market estimates and projections, thus referring to it as a North American number.
“No estimation of the size of the legal cannabis industry is complete without recognizing the new massive role Canada’s market will play as it moves toward legalizing adult use,“ said Tom Adams, Arcview Market Research’s new editor-in-chief. “The only consumer industry categories I’ve seen reach $5 billion in annual spending and then post anything like 25 percent compound annual growth in the next five years are cable television (19 percent) in the 1990s and the broadband internet (29 percent) in the 2000s.”
“The biggest game changer for the future are the four new states that approved adult-use measures; 21 percent of the total US population now live in legal adult-use markets,” continued Adams. “Spending in the largest three adult-use markets (CO, WA and OR) was up 62 percent through September after doubling in 2015, fueled in large part by the sudden popularity of alternative ingestion methods such as edibles and concentrates.”
“You will not find another multi-billion-dollar market growing at 25 percent anywhere in the world that is not already filled with multi-national companies and institutional investors. That’s part of what makes the cannabis industry such a unique opportunity for investors and entrepreneurs,” said Troy Dayton, CEO of Arcview Market Research.
Arcview’s upcoming Investor Forum for high net worth accredited investors will take place January 16-18, 2017 in Los Angeles, CA. For more information on the event and Arcview Investor Network, please click here. Prior authorization for press access is required.