Marijuana Business Factbook 2019

238 Marijuana Business Factbook 2019 Chapter 5 | Financial & Operational Data: Retailers © Copyright 2020, Marijuana Business Daily , a division of Anne Holland Ventures Inc. You may NOT copy this Factbook, or make public the data and facts contained herein, in part or in whole. For more copies or editorial permissions, contact CustomerService@MJBizDaily.com or call (720) 213-5992, ext. 1. CHART 5.10: Number Of Retail Marijuana Stores Per 100,000 Residents By City: Comparison With Starbucks & McDonald’s Source: Oregon Liquor Control Commission, Colorado Department of Revenue, Washington Liquor and Cannabis Board, Alaska Alcohol and Marijuana Control Office, Google Maps © 2019 Marijuana Business Daily, a division of Anne Holland Ventures Inc. All rights reserved. Number Of Retail Marijuana Stores Per 100,000 Residents By City: Comparison With Starbucks & McDonald's 28.4 16.5 3.1 25.5 15.8 5.1 19.7 7.9 2.2 8.8 8.8 5.8 Anchorage, Alaska Portland, Oregon Denver Seattle Retail Marijuana Stores Starbucks McDonald's The level of competition with which retailers must contend can be put into perspective by comparing the number of marijuana retail stores per 100,000 residents in several major cities to Starbucks and McDonald’s ― stores that are considered ubiquitous in the U.S. In Portland, Oregon, and Denver, marijuana retailers outnumber Starbucks by a wide margin. In Seattle ― ground zero for the coffee movement of the late 1990s ― Starbucks outnumber retail marijuana stores, while in Anchorage, Alaska, marijuana retailers and Starbucks are equally represented. The relative proportion in each of these cities can be partly explained by state regulations: Washington has a statewide cap on the number of allowed retailers, limiting the number of marijuana retail. Alaska, Colorado and Oregon have no such statewide caps (although municipalities can institute caps). In all cases, the density of marijuana retailers is greater than that of McDonald’s, with the largest difference in Portland and the smallest difference in Anchorage. This level of competition places additional pressure on retailers to provide customers with a consistently positive experience. If a customer has a less-than-positive experience at any given recreational store, they likely have dozens of other stores in the same vicinity they can visit instead. Retailers need to provide a compelling reason for a customer to visit, such as low prices, exceptional service, broad product selection or convenience.