BDSA has expanded its cannabis retail sales tracking coverage to include Canada, the world’s largest nationally legal cannabis market.
BDSA forecasts Canada’s cannabis industry revenues will total $2.5 billion (CAD$3.3 billion) in 2020 and will reach $6.1 billion (CAD$8.1 billion) by 2025, a CAGR of 20 percent. Year-to-date (YTD) through August, combined sales in the adult-use channel by private sector retailers in Alberta and British Columbia reached CAD$524 million, with monthly sales peaking at nearly CAD$85 million in August.
“We are excited to announce this expansion of retail sales data for the Canadian cannabis market, and our partnership with Buddi,” said Liz Stahura, president and co-founder of BDSA. “With the addition of sales tracking, we now provide a comprehensive suite of market and consumer analytics and insights covering the Canadian market. Canada is the largest nationally legal cannabis market in the world, and home to a passionate and engaged cannabis consumer base. Understanding product innovation, consumer preferences and shopping behaviors in Canada will inform those companies participating in the Canadian cannabis economy, and provide insights for other markets, industries and companies with interest in the cannabis industry.”
These insights into the Canadian market include:
- YTD Sales through August are $330 million, with monthly sales growing almost 62 percent between January and August, peaking in August at $51 million
- Monthly sales of Cannabis 1.0 products increased 32 percent between January and August, while 2.0 products increased almost 600 percent between January and August
- Cannabis 2.0 products contributed just 5% of sales in January and grew to 23% in August
- YTD Sales through August are $154 million, with monthly sales growing over 90 percent between January and August, peaking at $26.2 million
- Monthly sales of Cannabis 1.0 products increased 76% between January and August, while 2.0 Cannabis 2.0 products contributed 16 percent of sales in January and 23 percent of sales in August
In the U.S., sales of equivalent Cannabis 2.0 product categories represent approximately 50 percent of revenues, suggesting that the Canadian market will continue to evolve and grow significantly. Similar to emerging U.S. states, the initial rollout of 2.0 products was limited by supply shortages and high prices. Over time, shortages appear to be easing and prices are declining.
"The combined expertise of BDSA and Buddi will help cannabis retailers and producers gain critical insights and understand the nuances of the Canadian market to drive their businesses,” said Ryan Lalonde, CEO and founder of Buddi. “In Canada, supply-chain information is often cut off by government distributors, making it difficult for operators at both ends to gain insights into what products to develop, buy and sell. Buddi will re-establish these critical information channels through our partnership with BDSA to help build a strong, sustainable industry."
“Our partnership with Buddi builds on the extensive network of data and insights from both companies, bringing comprehensive, granular, and insightful sales tracking data with the high-standard of quality, reliability and actionability that we are known to provide,” Stahura added. “With this launch, BDSA now provides retail sales tracking for ten markets, and we will be adding additional markets in both Canada and the US in the coming months.”