After The 4/20 Smoke Clears: What Do The Billions Spent On Cannabis Say About Sales In Key States? – WM Tech (NASDAQ:MAPS)
This year’s 4/20 cannabis celebrations demonstrated not only a growth in consumer demand but also the crucial role of technology in understanding this surge. The overall week of 4/20 saw 3x the sales and units sold compared to any typical week.
Treez, a point-of-sale provider, reported a 120% increase in sales on 4/20 compared to the previous year, with a striking 200% increase the day before. This indicates consumers were preparing early for the festivities.
Transaction Data
Jane Technologies, a leading digital provider for cannabis dispensaries, smoothly handled over half a million transactions, totaling $23,878,546.72 in sales.
Despite a minor 8% decrease from 2023’s sales on the same day, the combined total for 4/19 and 4/20 reached a record $45,708,937.34, up 14.32% from the previous highest two-day total.
Sales Highlights
Illinois led state sales with $4,494,973.86, though slightly down from the previous year.
Sales figures from California and Colorado also highlighted significant market activity, with California recording $2,271,390.97 in sales and Colorado bringing in $671,307.73.
Pricing Online
According to Weedmaps data MAPS, pricing trends on 4/20 in 2024 showed notable changes: the average price of vape pens decreased by 16% since 2021, and edibles saw a 21% reduction.
Conversely, the average price of flowers on Weedmaps experienced a 5% year-over-year increase from 2023, although it remained 10% below 2021 levels.
Additionally, with 4/20 falling on a Saturday, order volumes surged earlier than typical, peaking around 11 a.m. PT.
This early peak was preceded by an 18% increase in orders on Friday, 4/19, compared to the average of the previous two Fridays in April, indicating an extended period of heightened activity.
Shifts In Consumer Preferences
The preference for convenience was apparent as, for the first time, pre-rolls tied with flowers, each accounting for 25% of total sales. This shift suggests consumers favor ready-to-use options during significant cannabis holidays.
According to Jane Technologies, the top-selling product categories on 4/20 were led by flowers with sales reaching $9,388,597.82, followed by vapes at $6,216,507.58, edibles totaling $3,234,281, pre-rolls at $2,098,248.69, and extracts with $1,419,352.37. The most popular brands driving these sales included RYTHM, &Shine, STIIIZY, Savvy, and Float.
Moreover, data from Weedmaps, which verifies retail cannabis products, showed that 72% of items ordered were brand-verified, pointing to a strong consumer preference for recognized and trusted brands.
Impact Of Discounts And Promotions
Promotional strategies were critical in driving sales, with Jane Technologies offering an average discount of 37% on 4/20.
Weedmaps recorded a 130% increase in deal redemptions during the week of 4/20 compared to the same period in 2023, emphasizing the effectiveness of discounts in boosting transaction volumes.
Data-Driven Market Compasses
The extensive data provided by companies like Jane Technologies, Weedmaps and Treez underscores the expanding reach and acceptance of cannabis while highlighting the crucial contributions of data-driven platforms in the industry.
With ongoing technological advancements and strategic insights, the future of the cannabis industry appears to be increasingly driven by data, focusing on optimizing consumer experiences and market efficiencies.
Photo: AI-Generated Image.
