US Legal Cannabis Market To Reach $35 Billion By 2025
A new study reports New Frontier Data’s latest projections and perspectives on the transformational growth and evolving dynamics of the U.S. cannabis industry. From the ongoing progression of the American legal and illicit markets, to the impact of the COVID-19 pandemic and social movements, and the legislative efforts preceding the November elections, the report surfaces key trends shaping the industry, with an in-depth analysis of the regulatory impact on citizens’ rights, nuances differentiating individual state markets, and the evolution of companies, consumers and product preferences respectively.
“In 2019, U.S. consumers spent nearly $80 billion on legal and illegal cannabis products, a material figure at any point, but certainly during a time of economic crisis,” said New Frontier Data Founder & CEO Giadha A. DeCarcer. “As established mainstream brands, particularly Food & Beverage and Health & Beauty CPG firms, look for growing consumer groups to engage with, the cannabis sector rises to the top of their target list, especially as known consumption previously within the illicit space more rapidly moves into the legal realm and thus an accessible space.”
Key findings from the report include:
- Total combined legal sales of medical and adult-use cannabis in the U.S. are projected to reach $35 billion by 2025.
- Total U.S. illicit cannabis market reached an estimated $66 billion in 2019.
- Five additional states could pass legalization measures in November 2020, adding a further $3.3 billion in annual legal sales before 2025. (*note: Arizona, New Jersey, Mississippi, Montana, and South Dakota passed measures on Election Day legalizing recreational and/or medical cannabis.
- Jurisdictions with the highest density of cannabis consumers are Oregon, D.C., Colorado and Vermont. Sixty-seven percent of Americans support full federal legalization, an increase from 41% in 2010.
- 230 million Americans live in states with legalized medical or adult-use cannabis, representing 70% of the U.S. population.
The U.S. Cannabis Report: 2020-2021 Industry Outlook is available for download for free at www.NewFrontierData.com/US2020.
New Frontier Data, the most trusted authority in cannabis data, analytics and business intelligence worldwide, releases its latest study, The U.S. Cannabis Report: 2020-2021 Industry Outlook, presented in partnership with NXTecK, the only big data-powered consumer behavior and engagement AdTech firm specializing in the cannabis sector globally.
