In the last month before COVID changed everything, February’s REC sales fell to $149.9M from the previous month’s $154.1M. Worth noting: that 2.7% decline actually represented a 7.7% increase when adjusted for February’s fewer days per month.
MJ Biz Daily, Twitter–@ProfMJArmstrong
How did the pandemic affect 4/20 sales? Retail POS-software platform Cova produced an infographic showing US sales were down 50% or more on 4/20, and Canadian sales trailed behind them.
- Not everyone agreed with those numbers. Alberta-based REC company High Tide reported a 79% increase in 4/20 sales year-over-year.
- Saskatchewan REC retailers reported quieter sales on 4/20–albeit the decline was made up for by weeks of increased demand since the beginning of the pandemic.
CTV News, Global News
CIBC Capital Markets lowered its 2020 REC sales forecast by nearly $1B, predicting $2.5B in sales rather than its earlier $3.4B estimate.
MJ Biz Daily
- Last year’s sales amounted to $1.2B, which this year is expected to double. CIBC dropped its 2021 forecast to $4.1B from $5.5B.
- Importantly, CIBC analysts don’t expect the surge in sales that followed the pandemic to last, chiefly because it’s based in online orders. They stress brick-and-mortar availability remains foundational to REC sales.
Twitter–@matt_lamers, BNN Bloomberg
Most consumers under 40 are likely to buy REC through legal channels, while older consumers tend to continue buying illegally. In both legal and underground markets, loose flower predominates (slightly more popular on legacy market, while the legal market offers more pre-rolled joints). Shoppers spend about the same amounts in either market.