Nearly Half of Cannabis Consumers Are Over 40, Akerna Report Reveals
Akerna (Nasdaq: KERN) released a report analyzing cannabis consumer trends in North America, revealing that consumers spend an average of $105.81 per transaction, with a basket size of 2.92 products. Cannabis flower leads sales at 46.2%, followed by vape cartridges at 31.6%. Notably, men constitute 63.5% of consumers, and nearly 42% are over 40 years old. Medical cannabis users spend more than adult-use users, with average ticket sizes of $118.55 and $69.70, respectively. The insights aim to help businesses optimize their sales strategies.
- Average spending of $105.81 per transaction indicates a strong market demand.
- Medical consumers spend significantly more ($118.55) than adult-use consumers ($69.70).
- A large segment (41.85%) of cannabis users are over 40, showing wider demographic appeal.
- None.
DENVER, Oct. 20, 2020 /PRNewswire/ -- Business intelligence from Akerna (Nasdaq: KERN), an enterprise software, leading compliance technology provider, and developer of the cannabis industry's first seed-to-sale enterprise resource planning (ERP) software technology (MJ Platform®), reveals a snapshot of North American cannabis consumers' demographics and preferences.
Analyzing data from both medical and adult-use cannabis sales, Akerna's Business Intelligence team found that, on average, cannabis consumers spend around
Men make up the majority of cannabis consumers, with
"Some of this confirms what we already know, that flower is the most popular consumption method," says James Ahrendt, Business Intelligence Architect, Akerna. "However, we also found some surprising data points. For example, medical consumers on average spend more and purchase more items than their adult use counterparts."
Additional Insights
Medical
Avg Ticket Size:
Avg Basket Size: 3.02
Category Sales:
- Flower –
44.8% - Cartages / Pens –
33.8% - Concentrates –
11.9% - Infused Edible –
7.53% - Non-medicated –
1.15% - Infused non-edible -
0.82% - Other -
0.3%
Gender Sales:
- Male:
62.5% - Female:
37.5%
Age Group Sales:
- Under 30 –
26.7% - 30-40 –
29.7% - 40-50 –
19.5% - 50-60 –
13.2% - 60+ -
10.9%
Adult Use
Avg Ticket Size:
Avg Basket Size: 2.65
Category Sales:
- Flower –
55.1% - Cartages / Pens –
19.5% - Concentrates –
14.3% - Infused Edible –
8.04% - Non-medicated –
1.95% - Infused non-edible -
0.87% - Other -
0.26%
Gender Sales:
- Male:
68% - Female:
32%
Age Group Sales:
- Under 30 –
29.0% - 30-40 –
23.3% - 40-50 –
14.3% - 50-60 –
9.88% - 60+ -
9.3% - Unknown –
14.2%
About MJ Freeway
MJ Freeway is more than software as a service. Its flagship solution, MJ Platform, includes Platform Insights. Now operators, investors, and regulators can access the industry's largest and most statistically relevant database to drive data-driven business decisions.
Platform Insights provides:
- The greatest statistical relevance across countries
- Normalized data (not farmed from various disparate POS platforms)
- Full cannabis supply chain data
- Business insights founded in category management methodology
Platform Insights can eliminate the guesswork and provide answers to questions like:
- What is the gross margin return on inventory?
- What SKUs should be carried?
- How do basket adjacencies influence discounting and retention strategies?
- What does a medical market look like a year or five years after decriminalizing cannabis?
Click here for more information about MJ Platform.
About Akerna:
Akerna (Nasdaq: KERN) is an enterprise software company focused on compliantly serving the cannabis, hemp, and CBD industry. First launched in 2010, Akerna has tracked more than
For more information, visit https://www.akerna.com/
About the Akerna Flash Report:
Flash Report is a look at buying trends in the cannabis market as captured by Akerna's MJ Freeway subsidiary. MJ Freeway provides operators with MJ Platform, the industry-leading solution for regulatory compliance technology, from seed-to-sale-to-self. Some instances of the flash report may include business intelligence derived from Akerna's family of companies, including Ample Organics, Leaf Data Systems, solo sciences, and Trellis.
**Data is derived from MJ Platform, the leading provider of cannabis compliance software for the marijuana industry. Reporting Data is obtained from operators using Akerna's MJ Platform solutions. Increases are relative to the prior period. Additional business intelligence data sources may include proprietary tools used by Akerna's family of companies.
Forward-Looking Statements:
Certain statements made in this release are "forward-looking statements" within the meaning of the "safe harbor" provisions of the United States Private Securities Litigation Reform Act of 1995. When used in this press release, the words "estimates," "projected," "expects," "anticipates," "forecasts," "plans," "intends," "believes," "seeks," "may," "will," "should," "future," "propose" and variations of these words or similar expressions (or the negative versions of such words or expressions) are intended to identify forward-looking statements. Such forward-looking statements include but are not limited to statements regarding the ability of the MJ Platform team to help operators make decisions through analytics and reporting. These forward-looking statements are not guarantees of future performance, conditions or results, and involve a number of significant known and unknown risks, uncertainties, assumptions, and other important factors, many of which are outside Akerna's control, that could cause actual results or outcomes to differ materially from those discussed in the forward-looking statements. Important factors, among others that may affect actual results or outcomes, include (i) Akerna's ability to maintain relationships with customers and suppliers and retain its management and key employees, (ii) changes in applicable laws or regulations, (iii) changes in the market place due to the coronavirus pandemic or other market factors, (iv) and other risks and uncertainties disclosed from time to time in Akerna's filings with the U.S. Securities and Exchange Commission, including those under "Risk Factors" therein. You are cautioned not to place undue reliance on forward-looking statements. All information herein speaks only as of the date hereof, in the case of information about Akerna, or the date of such information, in the case of information from persons other than Akerna. Akerna undertakes no duty to update or revise the information contained herein. Forecasts and estimates regarding Akerna's industry and end markets are based on sources believed to be reliable; however, there can be no assurance these forecasts and estimates will prove accurate in whole or in part.
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SOURCE Akerna
FAQ
What are the average spending habits of cannabis consumers according to Akerna's report?
What percentage of cannabis transactions involve flower?
How do average spending and basket sizes compare between medical and adult-use cannabis consumers?
What demographic makes up the majority of cannabis consumers?
How did Akerna gather data for its cannabis consumer report?
