Recreational

Recreational Marijuana

Recreational Marijuana Insights and opportunities. Understanding the recreational marijuana market: Public opinion, consumption trends and retail opportunity. The possibility that the federal government will legalize and regulate marijuana for recreational purposes presents a bold new landscape for Canadian businesses and governments alike.

Canadian Recreational Marijuana Market Study

Recreational Marijuana Insights and opportunities

Understanding the recreational marijuana market: Public opinion, consumption trends and retail opportunity

The possibility that the federal government will legalize and regulate marijuana for recreational purposes presents a bold new landscape for Canadian businesses and governments alike.

What this new landscape might look like remains unclear, however, the Federal Task Force charged with informing  upcoming  legislation  on the topic continues  to  study  the issue and meet with stakeholders throughout Canada and abroad, including in those US states where recreational marijuana is already legal.

What is clear, however, is that regardless of the specifics of how recreational marijuana may ultimately be regulated in terms of distribution, retail, marketing or  even  the  forms the product can be sold in, success

in this nascent industry will be predicated upon understanding the current and future consumer.

Until recently, very little was known about the Canadian recreational marijuana consumer; no comprehensive  assessment of the Canadian market had been developed. To address this gap in knowledge, in 2016, Deloitte conducted a study of the Canadian recreational marijuana market.

Partnering with Toronto’s RIWI Corp., Deloitte surveyed 5,000 Canadian adults (19 years or older) from coast to coast, 1,000 of whom identified as current recreational marijuana consumers.

Survey responses were interesting and complex, and the study yielded a range of far-reaching insights on how both consumers and non-consumers want and expect to see the burgeoning industry unfold.

Along the way, we captured key insights on consumption frequency, methods and motivators. We also explored the interplay  between alcohol and marijuana consumption and captured perspectives on retail preference, as well as perceptions of the health and social impacts of marijuana in relation to alcohol and other drugs.

The study also revealed many areas that require future examination, particularly for those looking to participate in this new and potentially profitable space. In making the  case for participation in this market, however, both businesses and governments must be prepared to consider the full range of business opportunities and challenge  some basic assumptions.

Social Permissibility

It’s important to note from the outset that, from a public policy perspective, recreational marijuana is not currently a clear win for the federal government. Only 40% of the adult population is in favour of legalization, with 36% opposed and a quarter undecided. This will make it challenging to create a broadly accepted regulatory environment.

The level of division and indecision is not really surprising. Since no one knows what the  market  might  look like, it’s difficult for individuals to form   a strong opinion on  it.  Moreover, brand  new  policy  frequently tends to leave a large portion of the population on the fence. However, this indecision will shrink as legislation becomes more defined, emphasizing the importance of tracking public opinion as it evolves.