Marijuana Business Factbook 2019

5 © 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. National Trends | Chapter 1 MJBIZDAILY.COM While cannabis tourism is on the rise in many areas, tourists don’t spend money only on marijuana. Hotels, restaurants and other attractions also benefit from the influx of customers. The economic impact of the marijuana industry is not the same measurement as total revenues along the cannabis supply chain that can be used to estimate the “total size” of an industry. Rather, the economic multiplier paints a picture of the impact the industry as a whole has on the broader economy. Based on this metric, the marijuana industry will have a $38 billion to $48 billion economic impact on the United States in 2019 with the potential to surpass $100 billion in economic benefits in 2023. CHART 1.03: Annual U.S. Cannabis Sales Vs. Other Industries & Goods Note: Unless otherwise indicated, all data reported is for 2018. Source: The Drinks Business, PMQ Pizza Magazine, Finder.com, 2019 Marijuana Business Factbook, Sta�sta, Chicago Tribune, Orange County Business Journal, SuperData, Fast Company © 2019 Marijuana Business Daily, a division of Anne Holland Ventures Inc. All rights reserved. Annual U.S. Cannabis Sales Vs. Other Industries & Goods Wine Es�mated Total Demand For Recrea�onal Cannabis In The U.S. Pizza Gym Memberships Online Food Delivery NFL Taco Bell Legal Recrea�onal & Medical Cannabis In 2018 E-cigare�es Fortnite Video Game Goldfish crackers $8.3B $55.0B $72.2B $45.7B $28.6B $17.0B $15.0B $10.8B $3.6B $2.4B $0.9B $7.8B-$8.7B $50B-$60B While sales of cannabis in the U.S. still trail those of similar, more established products ― wine serves as a notable example ― we expect that they will grow rapidly in the coming years, especially as more states legalize adult-use cannabis and an increasing number of consumers are exposed or reintroduced to the product. Sales of legal recreational and medical cannabis in 2018 clocked in at an estimated $8 billion-$9 billion, nearly as much revenue as Taco Bell generated in 2018 and more than twice the amount spent on e-cigarettes last year. Legal sales, however, represent only a fraction of the estimated total demand for legal and black-market cannabis in the United States, which is around $50 billion-$60 billion. If the federal government legalized marijuana nationwide and every state allowed sales, that’s how much revenue the industry could generate once all markets were up and running.