January 22, 2021 7 min read
This story originally appeared on MJBizDaily
Sales of 1-gram cannabis flower packages tumbled in multiple North American marijuana markets last year, likely related to consumers who shopped less often because of the COVID-19 pandemic but made larger purchases when visiting a dispensary.
The shift away from 1-gram packages offers implications for both retailers and producers trying to keep up with shifting consumer preferences sparked by the pandemic. Despite the shift, the single-gram flower format – the smallest, cheapest size of marijuana bud available on the market – remains relatively popular in terms of unit sales. That suggests consumers haven’t given up on the package size altogether.
Nevertheless, the downward slide in 2020 readily is apparent in point-of-sale data from Seattle-based cannabis data-analytics firm Headset.
“I think that one of the big reasons that we see grams trending down is as a result of COVID,” said Liz Connors, Headset’s director of analytics.
Connors said the 2020 trend toward fewer sales of small cannabis packages mirrored broader trends in consumer packaged goods during the pandemic.
“(Shoppers) go in less often. We buy more,” she said.
“And if we’re already buying more, it’s more economical, obviously, to buy an eighth (3.5 grams) than it is to buy a gram, because the price per gram for an eighth is a lot less.”
But the cannabis industry shouldn’t write off the 1-gram flower products, which:
Generally remain the No. 2-selling flower size by unit sales, after 3.5-gram packages. Serve an important role for some shoppers, like those on tight budgets or consumers seeking to try new products at a low cost. Could bounce back as the pandemic eases and shopping habits return to normal.
Data shows 2020 decline
Headset market data