Survey: 66% of Cannabis Consumers Reduce Purchases as Inflation Hits Discretionary Spending
A new survey reveals that inflation is impacting cannabis consumers, with two-thirds reporting they are purchasing less due to rising costs. The poll, conducted by CivicScience, highlights the financial pressures facing consumers and the industry as prices for essential goods continue to climb.
Inflation’s Impact on Cannabis Consumption
The survey found that 66% of respondents who consume cannabis have cut back on their purchases in response to inflation. Of those, 37% said they are buying “much less,” while 29% reported purchasing “somewhat less.” This trend reflects a broader pattern of consumers adjusting their discretionary spending to prioritize necessities.
Changing Buying Habits and Market Adjustments
Cannabis users are adapting in various ways, such as switching to lower-cost products, seeking discounts, or reducing overall consumption. Some opt for home cultivation where legally allowed, while others are turning to bulk purchases to save money in the long run.
The cannabis industry, which has experienced significant growth in recent years, now faces challenges as consumer spending tightens. Many dispensaries and brands offer promotions and loyalty programs to retain customers in an increasingly price-sensitive market.
Broader Economic Trends Affecting the Industry
The impact of inflation is not unique to cannabis; rising rent, groceries, and utilities costs have forced many consumers to reconsider their spending habits. Economic analysts note that discretionary products, including cannabis, tend to see reduced demand during periods of high inflation.
Industry experts suggest that as inflation stabilizes, consumer spending could rebound, but cannabis businesses may need to adapt by adjusting pricing strategies and offering value-focused options.
Looking Ahead
While inflation presents a temporary hurdle, the long-term outlook for the cannabis industry remains strong. As more states and countries move toward legalization, expanding markets and increased competition could drive prices down, making cannabis more accessible to consumers.
For now, both businesses and consumers are navigating an economic landscape where every dollar counts, and the cannabis market is no exception.
Did you recently adjust your spending for cannabis products? Let us know in the comments.
