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
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.
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.
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.