Market on high: Cannabis feeds tourism growth

Cannabis-related tourism is rising as the marijuana industry continues to grow.

Countries like Spain and Canada allow for personal consumption and sales of cannabis in licensed facilities, while US states are also expected to witness strong cannabis sales and tourism growth. Colorado, which saw 82.4 million travellers in 2016, is among the very few regions to legalise cannabis entirely.

A survey conducted by Colorado Tourism reported that the 12 million or approximately 15% of those travellers participated in marijuana-related activities. Among that group, it was reported that 5% travelled to the state specifically for marijuana reasons. The staggering number of visitors who travelled to Colorado and purchased cannabis-related products suggests that the cannabis industry is pushing tourism growth.

A market on high

According to data compiled by Grand View Research, the global marijuana market was valued at USD 9.3 Billion in 2016 and is expected to reach USD 146.4 Billion by the end of 2025. Additionally, the market is projected to register a robust CAGR (Compound Annual Growth Rate) of 34.6% throughout the forecast period from 2018 to 2025.

Colorado’s data suggests that other states such as California, Washington, and Nevada are also expected to see explosive sales.

Cannabis dispensaries and distributors have focused on expanding their product line in order to meet the demand of their customer pool, including tourists. Various portfolios of products such as oils, tinctures, resins, consumables, and strains have entered into the marketplace to offer a wide range of selection. The introduction of new products is expected to help further drive cannabis sales from both tourism and locals.