The cannabis industry is widely successful and has been growing rapidly on a global level. Not only is cannabis on the market for recreational use, but it has also spread into many other industries as well such as the medical industry, fashion industry, beauty industry, and the agricultural industry to name a few. Cannabis has been illegal and stigmatized for decades but we are in a season where cannabis is being embraced by society and more research is being released to support the benefits of cannabis consumption. This has created a growing demand for cannabis products and governments across the world are beginning to legalize cannabis. 12% of US citizens are cannabis users and nationwide sales of cannabis have increased by 67%. The US cannabis industry is currently worth $61 billion with more expected growth and room for growth and opportunities in cannabis products and consumption methods.
Options
The cannabis industry offers a variety of options for cannabis consumers as well as entrepreneurs. For the consumer, there are a variety of different cannabis strains, products, and accessories that have all contributed to helping the industry boom and become as successful as it is. Even more so, all of these products come in different shapes, sizes, and materials, with silicone bongs being most popular. With technology and innovation continuing to develop, there is a massive potential for more products and other innovations to sweep the industry and make it an even bigger success. Entrepreneurs also have many options in this industry from growing to delivery and even developing apps and websites that act as a place for people to access information about cannabis.
Legality
Another reason for the rapid growth of the cannabis industry is legality. Before, cannabis was highly stigmatized and outlawed in most parts of the world. Now, the world is starting to wake up to the benefits of cannabis consumption as well as the fact that it is a harmless substance. This has resulted in a demand being created for cannabis and cannabis products that have also welcomed the spread of legalization across the US and the world. More and more places are legalizing cannabis for recreational and medical use and some places have also legalized the growing of cannabis plants on residential property.
Crossover to other industries
Cannabis is no longer just a plant used for recreational and medical purposes. Now, other industries are also connecting to cannabis which is strengthening the cannabis industry. Industries such as the fashion industry, medical industry, and beauty industry are all connected to the cannabis industry in some way. Cannabis has the potential to enter into many other industries as well, with interest growing in hemp plastic, hemp bricks for construction, and other hemp-based products that promote sustainability. There’s no denying that the cannabis industry has the potential to grow and expand significantly.
Stability
The cannabis market is one of the most stable markets in the world currently. The stock market has recently been volatile however, thanks to growing legalization, industry analysts and professionals expect that the cannabis industry will be immune to economic downturns. The cannabis market has been compared to other stable markets such as the alcohol, tobacco, and coffee markets in terms of the resilience of the cannabis market during stock market recessions. The stability and durability of this market were most evident during the 2008-2009 recession when there was an increased demand for cannabis. By 2025, the cannabis market is expected to double in value.
Profitability
The cannabis market is an extremely profitable market for entrepreneurs as well as investors. Most of the money made in the cannabis industry comes from cannabis flowers and concentrates with other products such as edibles, vapes, and cannabis beverages also bringing in a significant amount of money. There are also new and innovative business ventures that entrepreneurs are exploring such as cannabis tours which have been a lucrative venture in Colorado with an average visitor spending as much as $1869 per trip. The cannabis market is expected to grow from $23.266 billion in 2021 to a whopping $197.74 billion in 2028.
The cannabis industry has been on a steady incline and legalization has played a huge role in making this possible. We can also thank the endless amount of options for consumers in the industry as well as the crossover into other industries for the growth of the cannabis industry. Additionally, the cannabis industry is stable and profitable which also contributes to the success of the industry.
Also published on Medium.