2022
9
US Cannabis in Food and Drink Market Report 2022
2022-04-06T04:06:24+01:00
OX1101711
3695
150318
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Report
en_GB
“Cannabis food and drink are growing segments of the larger cannabis market, holding strong potential for future growth. Edibles are a far more established sub-market than drinkables, but consumers show…

US Cannabis in Food and Drink Market Report 2022

£ 3,695 (Excl.Tax)

Description

This report provides comprehensive and current information and analysis of the US Cannabis in Food and Drink market including cannabis beverage market size, anticipated market forecast, relevant market segmentation, and industry trends for the cannabis in food and drink market in the US.

Current market landscape

63% of recreational cannabis users with an interest in trying edibles are looking for chocolate – a statistic that somewhat contradicts the overwhelming interest, use and availability of gummies, which tend to be fruity flavors. Chocolate-focused brands can learn from the gummy boom, providing consumers with bite-sized options rather than a brownie that must be portioned. More than drinkables, edibles also win with consumers looking to replace alcohol with THC, indicating that a BFY than booze message can apply to any THC product, not just ones that directly mimic alcohol.

Inflation is putting a dent in consumers’ spending and also is impacting brands, which are choosing to absorb higher costs due to extreme competition in some states. Because taxation structures already add a significant cost to cannabis products, brands are not yet willing to risk additional sticker shock. While some brands can afford to pivot and restructure, not all brands will be able to maintain this strategy long term.

Future trends in the cannabis in food and beverage market

Currently, threats to the market vary by state, leaving inconsistency across states one of the market’s biggest vulnerabilities. Operating in multiple states requires each link in the supply chain to be duplicated and, sometimes, an entirely different approach to marketing and pricing.

One of the biggest opportunities for cannabis food and drink are changes in legislation, specifically related to federal legal use. While this would threaten smaller brands, those that are already competing in several states are well-positioned to become the coveted brand leader of cannabis food and drink.

Read on to discover more about the US Cannabis in Food and Drink consumer market, read our US CBD in Food and Drink Market Report 2021, or take a look at our other Cannabis research reports.

Quickly understand cannabis in food and beverage market research

  • Innovations in edibles and drinkables and opportunities for brands.
  • Trended year-over-year use of edibles and drinkables.
  • Interest in different formats and flavors of edibles and drinkables.
  • Why drinkables are a more challenging format than edibles.
  • Attitudes towards THC vs alcohol.

Covered in this report

Brands include: Curaleaf, Select Cannabis, UKU Cannabis, Canopy Growth, Constellation Brands, Cresco Labs, Mindy’s Edibles, High Supply, Azuca Time Infusion, Quiq, CANN Unspiked, TSUMo Snacks, Yummi Karma, Savory Pretzel, Love’s Oven, Select Squeeze, Hervé.

Expert analysis from a specialist in the field

This report, written by Michele Scott, a leading analyst in the Cannabis sector, delivers in-depth commentary and analysis  of the cannabis in food and beverage industry to highlight current trends and add expert context to the numbers.

Cannabis food and drink are growing segments of the larger cannabis market, holding strong potential for future growth. Edibles are a far more established sub-market than drinkables, but consumers show interest in a variety of flavors and formats among each. Edibles also win out as an alcohol alternative, indicating that brands can create messaging about THC as a BFY option even if the product is not a drinkable that mimics alcohol flavors.
Michele Scott, Senior Analyst
Michele Scott
Associate Director

Table of Contents

  1. Overview

    • What you need to know
    • This Report looks at the following areas:
    • Definition
    • Market context
    • COVID-19: US context
    • Economic and other assumptions
  2. Executive Summary

    • Top takeaways
    • Market overview
      • Figure 1: Cannabis edibles and drinkables outlook, 2022-27
    • Opportunities and challenges
    • Gummies are prolific, but markets are uneven
    • Cannabis beverage opportunity comes with costs
    • THCocktails and mocktails provide opportunity to test drive drinkables
    • Bite-sized options win
    • Food, drink are an experience in themselves
    • Key consumer insights
    • Edibles’ star shines brightly
    • Drinkables are a challenging format
    • Edibles and drinkables don’t have to replicate alcohol to compete
  3. Market Value Indicators

    • Edibles growing faster than broader market; gummies blaze the trail
    • Global beverage market offers context for future of drinkables
    • US beverage market shows promise
  4. Market Factors

    • Inflation and the cannabis industry
    • Consumers get curious about alcohol-less lifestyles
    • Fast-acting formulas reinvigorate consumable cannabis markets
    • The state of the market depends on the US state
  5. Key Players

    • Curaleaf leads the pack
    • Canopy Growth offers learnings for the US
    • Cresco Labs put a banner year in the books
    • Fourth Quarter 2021 Financial Highlights:
    • Fiscal Year 2021 Financial Highlights
  6. Competitive Strategies and Market Opportunities

    • Fast-acting technology innovates, safely
      • Figure 2: Edibles – Azuca Time Infusion chocolate, Quiq fast-acting gummies
    • CANN offers options to all markets
      • Figure 3: Drinkables – CANN Unspiked, CANN Cannabis-infused social tonic
    • Edibles opportunity exists in snacks
    • Get creative with safety
      • Figure 4: Edibles – Love’s Oven Turtle Brownies and Chocolate Chip Cookies
    • Curaleaf is sweet on any beverage
      • Figure 5: Medibles – Curaleaf Select Squeeze THC Beverage Enhancer
  7. The Cannabis Food and Drink Consumer – Fast Facts

    • Edibles’ star shines brightly
    • Drinkables are a challenging format
    • Edibles and drinkables don’t have to replicate alcohol to compete
  8. Cannabis Format Use

    • Edibles are not slowing down; drinkables have work to do
      • Figure 6: Trended cannabis format use – Past three-month usage, 2019-21
    • Interest jumps, but not use
      • Figure 7: Trended cannabis drinkables use and interest, 2019-21
    • Interest in drinkables equal opportunity across gender
      • Figure 8: Cannabis drinkables use and interest, by gender 2021
    • Edibles have mass appeal
      • Figure 9: Trended cannabis edibles use and interest, 2019-21
  9. Edibles Interest

    • Don’t neglect non-sweet teeth
      • Figure 10: Edibles interest, 2021
    • Think outside the bakery box for women
      • Figure 11: Edibles interest, by gender, 2021
    • Candies carry mass appeal
      • Figure 12: Edibles interest, by age, 2021
  10. Drinkables Interest

    • Cannabis can breathe new life into soft drinks
      • Figure 13: Drinkables interest, 2021
    • Interest in non-THC drinks mirror THC versions
      • Figure 14: Drinkables interest, by gender, 2021
    • Lower-cost beverages appeal to lower-income consumers
      • Figure 15: Drinkables interest – Select items, by household income, 2021
  11. Edibles Flavor Interest

    • Classic chocolate wins with cannabis
      • Figure 16: Interest in edibles flavors, 2021
    • Gender stereotypes miss the mark
      • Figure 17: Interest in edibles flavors, by gender, 2021
    • Older consumers are looking for basics
      • Figure 18: Interest in edibles flavors, by age, 2021
    • Variety will draw in more consumers
      • Figure 19: Count of edibles flavors of interest, 2021
  12. Drinkables Flavor Interest

    • Drinkables interest hints at refreshment potential
      • Figure 20: Drinkables flavor interest, 2021
    • Flavor won’t tip the decision for men
      • Figure 21: Drinkables flavor interest, by gender, 2021
    • Drinkables demand a few staple flavors
      • Figure 22: Count of drinkables flavors of interest, 2021
  13. Attitudes toward Edibles and Drinkables Flavors

    • Specific flavor isn’t as important as good-tasting flavor
      • Figure 23: Attitudes toward edibles and drinkables flavors, 2021
    • Mask cannabis flavor to appeal to women
      • Figure 24: Attitudes toward edibles and drinkables flavors, by gender, 2021
  14. Cannabis Food and Drink Experiences

    • Brands must focus on quality, consistency
      • Figure 25: Cannabis food and drink experiences, 2021
    • Men are more frustrated with edibles products
      • Figure 26: Cannabis food and drink experiences – Select items, by gender, 2021
    • Value matters more for lower-income consumers
      • Figure 27: Cannabis food and drink experiences – Select items, by household income, 2021
  15. Attitudes toward Cannabis vs Alcohol

    • Edibles compete better with alcohol than drinkables
      • Figure 28: Attitudes toward cannabis vs alcohol, 2021
    • Men are drinking less, but still find room for both
      • Figure 29: Attitudes toward cannabis vs alcohol, by gender, 2021
    • The future is THC
      • Figure 30: Attitudes toward cannabis vs alcohol, by age, 2021
  16. Appendix – Data Sources and Abbreviations

    • Data sources
    • Sales data
    • Consumer survey data
    • Abbreviations and terms
    • Abbreviations

About the report

This market report provides in-depth analysis and insight supported by a range of data. At the same time, introductory and top-level content is provided to give you an overview of the issues covered.

Market

Mintel provides a range of market information, frequently through the category level, including market size and forecasting, complete with market drivers that illustrate the forces that shape a category or market.

Consumer

Mintel’s proprietary consumer research provides our analysts with the attitudinal and behavioral data used to provide valuable insight to topical issues.

Brand/Company

Mintel provides overviews of the top brands and manufacturers, and uses consumer research to explore attitudes and reactions to brands, as well as insight into what will resonate with consumers.

Data

Market reports provide appendices of data to support the research and insight produced. Our databooks* are easily manipulated and downloadable to support your research needs and covers factors from consumer attitudes to market forecasts.

*databooks not available with UK B2B Industry reports.

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