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- Infused pre-rolls take center stage in the Canadian cannabis market, with a staggering growth rate of nearly 606% over the past year<\/li>\n
- Data shows pre-rolls are poised to overtake flower as the leading product category in Canada<\/li>\n<\/ul>\n
KENT, Wash., Sept. 18, 2023 (GLOBE NEWSWIRE) — Custom Cones USA<\/u><\/a>, the cannabis industry experts in pre-rolls, pre-roll packaging, and pre-roll manufacturing solutions, today released a report <\/u><\/a>revealing that pre-rolls emerged as the second-largest product category in Canada, poised to overtake flower as the leading category. Notably, infused pre-rolls have seized the spotlight with a staggering growth rate of nearly 606% over the past year. Specifically, infused pre-rolls grew from 6.2% of total sales in January 2022 to an incredible 29.8% of total sales by February 2023, a growth rate of nearly 606%.<\/p>\n
In 2022, Canada Experienced a 54% Increase in Pre-Roll Sales Revenue<\/strong>
The Canadian pre-roll segment continues to experience robust growth, with total pre-roll revenues exceeding CAD$1 billion in 2022, reflecting a staggering increase of more than 54%. This remarkable surge in sales was observed across every tracked province, from Saskatchewan and Alberta, which saw growth rates of 33% and 37%, respectively, to British Columbia, with nearly 54% growth, and a remarkable 69% increase in Ontario, the country’s most populous province. One major growth driver is the increase in sales of the pre-rolls, particularly infused pre-rolls.<\/p>\nPre-Rolls Emerge as the Second-Largest Product Category in Canada<\/strong><\/p>\n
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According to industry data, pre-rolls have become the second-largest category in Canada, capturing a 28.9% market share over the first five months of 2023, marking a year-over-year growth of 23.5%.<\/p>\n
According to Headset data, in 2022, pre-roll products accounted for 27% of the new items introduced in the Canadian market, demonstrating a remarkable growth rate of 48.2% compared to 2021, second only to beverages. In response to the increasing demand in this category, a total of 1,870 new pre-roll products were launched in the Canadian market during that year.<\/p>\n
Pre-rolls are Poised to Overtake Flower as the Leading Product Category in Canada<\/strong><\/p>\n
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The data reveals a significant shift in consumer preferences, with pre-roll sales in Canada surging by more than 50% over the past 18 months. Pre-rolls have witnessed a substantial increase in market share, rising from 20.7% in early 2022 to an impressive 31.5% by mid-2023. Concurrently, the market share of flower has steadily declined from over 45% to slightly over 35% during the same period. At this rate, pre-rolls will soon become the most popular product category in Canada.<\/p>\n
Health Canada’s stringent regulations initially limited the availability of infused pre-rolls, but a rule clarification in late 2021 opened the doors to these products. As a result, infused pre-rolls have experienced explosive growth, increasing by a remarkable 1,426% from 2021 to 2022. This segment’s rapid expansion, driven by consumer demand for connoisseur pre-rolls that combine concentrates with ground flower, has had a profound impact on the Canadian cannabis market.<\/p>\n
Pre-rolls Exhibit the Least Amount of Price Compression in Both the U.S. and Canada<\/strong>
The resilience of pre-roll prices can be partially attributed to their manufactured nature and the unique attributes of infused pre-rolls. The demand for stronger pre-rolls, coupled with declining prices for flower and concentrates, has created a favorable environment for launching infused pre-roll products.<\/p>\n“The surge in popularity of infused pre-rolls, with their higher price point, has been a significant factor contributing to the increase in the average price of Canadian pre-rolls,” said Harrison Bard, Co-Founder and CEO of Custom Cones USA. “This trend has been instrumental in maintaining the overall price of pre-rolls even as prices for flower and concentrates have decreased.”<\/p>\n
After taking a closer look at the data, it is clear that Canada is not only seeing incredible growth in the pre-roll market, but they are setting the pace for infused pre-roll growth for the entire industry. As pre-roll manufacturing equipment evolves and the costs of flower and oil decline, producers are now capable of manufacturing infused pre-rolls at only a slight premium over regular pre-rolls. Consequently, as consumers are presented with this choice, an increasing number are opting for the infused variety, resulting in heightened sales within the category and greater revenues for both producers and retailers.<\/p>\n
To view the full report go to: https:\/\/customconesusa.com\/pre-roll-expert-knowledge-center\/preroll-growth-in-the-canadian-market\/<\/u><\/a><\/p>\n
About Custom Cones USA<\/strong>
Founded in 2017 by Harrison Bard and Fredrik Rading, Custom Cones USA is a leading pre-roll resource in the cannabis industry. The team has a wealth of knowledge about all aspects of pre-roll manufacturing and the entire pre-roll sector of the cannabis space. From custom-branded pre-rolled cones<\/u><\/a> and wholesale bulk cones<\/u><\/a>, to completely customized pre-roll packaging<\/u><\/a> projects and pre-roll machines<\/u><\/a>, they offer expertise and solutions to companies big and small in all sectors of the pre-roll space. Custom Cones USA wants to help their customers operate with relative ease and ensure both the companies and their customers to have the highest quality smoking experience.<\/p>\nMedia Contact<\/strong>
Oak PR <\/u><\/a>
Drew Tybus
Drew@oakpr.com<\/p>\nPhotos accompanying this announcement are available at:
https:\/\/www.globenewswire.com\/NewsRoom\/AttachmentNg\/c1fd5f31-721c-4cd9-bad2-7dc2f9c62460<\/a>
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