By Marijuana Business Daily staff
Demand for cannabis concentrates and edibles is exploding in Colorado, offering a window into trends that will likely play out in the larger marijuana industry over time.
Retail sales of concentrates in the state’s medical and recreational markets surged 125% in the first quarter of this year from the same period in 2015, according to BDS Analytics, which provides cannabis industry data based on point-of-sale information it gathers from retailers.
Edibles sales, meanwhile, rocketed 53%.
Those gains far outpace the 11% rise in sales of marijuana flower, showing that demand trends in Colorado’s cannabis industry are evolving quickly.
In the first quarter of 2016, concentrates and edibles accounted for about a third of overall marijuana sales, up from just 24% a year earlier. Growth in concentrates sales accounted for most of that increase.
Consumers and patients are increasingly looking for inconspicuous and healthier ways to consume cannabis, and concentrates – particularly oils used in vape pens – fit the bill.
Dabbing has also exploded in popularity, both in Colorado and nationwide.
Tom Jones, director of analytics for BDS, said he expects concentrates and edibles sales to eventually surpass revenues from flower – not only in Colorado, but also nationwide.
“The share of flower in dollars has dropped from 71% (of total sales) last year to 58% this year” in Colorado, Jones said. “That’s a big change, and we absolutely expect that flower will diminish to a minority share.”
Jones pointed out that growth is still strong for flower, however, indicating that Colorado’s overall marijuana industry is extremely healthy.