Understanding the recent sales declines in legacy cannabis markets

Introduction

In a recent report exploring declines in total market cannabis sales in the US, we found that these sales declines were likely a large-scale market correction to a pre-pandemic ‘normal’. In this report, we dive further into the topic in order to examine the underlying causes contributing to this overarching trend and answer the following questions:

• Which is a greater contributor to overall sales declines: transaction volume or transaction size?
• Which product categories are faring best and worst during this correction?
• Which customers are now buying less cannabis than they were during the peak of the pandemic sales rush?