Budget-Conscious Consumers Boost Sales Of Marijuana Multipacks, 94 Brands Vie For Colorado's Pre-Roll Market

Standard pre-roll sales accounted for $10.91 million, a 6.3% rise, while infused pre-rolls generated $13.28 million, up by 2.6%. RollPros' latest Colorado Pre-Roll Market Report reveals a significant growth trend in the pre-roll segment, with overall revenue reaching $24.19 million, marking a 4.3% increase.

“Infused pre-roll products lead in total sales, generating $2.37 million more than non-infused options,” reads the report. “Single packs dominate sales among the top 20 products, but multipacks show consistent growth and a higher price per unit at $35.24. Infused options are becoming a norm, and multipacks present a lucrative opportunity for brands.”

Market Dynamics

The report identifies 94 active brands, five more than the previous period and a total of 758 pre-roll products, down by 193.

The pre-roll market is forecasted to achieve $133.8 million in total sales by the end of 2024, with competition among brands driving innovation and quality improvements.

“Despite the increase in active brands, the total number of pre-roll SKUs has decreased. Infused pre-rolls accounted for 54.9% of total sales and dominated 9 of the top 10 pre-roll SKUs. Innovation is critical as the market contracts slightly,” reads the report.

Leading Brands And Products

According to the report, Kaviar leads with a 15% market share, nearly double that of its closest competitor.

Green Dot Labs and 710 Labs also showed growth, with 710 Labs achieving a 24% increase in sales compared to the previous period.

Consumer Preferences

Multipacks are gaining popularity due to consistent sales growth and higher price per unit, suggesting a shift towards larger quantity purchases.

“Products like Toast’s Cannabis Cigarettes and Lowell Herb Company’s multipacks saw remarkable growth, with units sold increasing by 439% and 176%, respectively,” per the report.

The report also notes that non-infused pre-rolls are experiencing a resurgence, growing at a rate of 0.9%.

Market Outlook

The competitive pricing of non-infused pre-rolls, averaging $9.98 per gram compared to $13.67 per gram for infused options, makes them appealing to budget-conscious consumers.

Brands that cater to diverse consumer preferences are likely to capture a larger market share.

The report suggests that maintaining high standards and staying ahead with new products will be crucial for brands to succeed in this competitive landscape.

Investing in cannabis branding will be a hot topic at the upcoming Benzinga Cannabis Capital Conference in Chicago this Oct. 8-9. Join us to get more insight into what the wave of weed legalization means for the future of investing in the industry. Hear directly from top executives, investors, advocates, and policymakers. Get your tickets now before prices go up by following this link.

Latest Trends In Colorado's Cannabis Market

• In 2023, Colorado's cannabis sales barely exceeded $1.5 billion, down from $1.7 billion in 2022 and significantly lower than the over $2 billion annual sales during 2020 and 2021, marking the lowest sales year since 2017.
• After slightly rebounding in March 2024, Colorado cannabis sales saw a 5% month-over-month decrease, dropping to $120.1 million in April—the worst April performance since 2016. The total April 2024 sum includes $105.5 million in recreational cannabis sales and $14.6 million in medical sales.
• Year-to-date, Coloradans bought $476.5 million worth of cannabis products, bringing the total to $15.9 billion since the market's launch in January 2014.
• Colorado has collected $2.66 billion in taxes and fees, with $43.55 million collected in January 2024 alone, dedicating over $746 million to public schools since legalization began. So far, total cannabis product sales have reached $15.6 billion.

Photo: AI-Generated Image.