Growing Legal Cannabis Starts with Transitioning Illicit Consumers
The fastest path to growth for legal cannabis is transitioning consumers from the illicit market. Retailers are the heartbeat of the cannabis industry, but challenging regulations, high taxation, and the cash-crunched capital market have left many dispensary operators fatigued. The cure? Find a way to attract the roughly 100 million U.S. consumers purchasing cannabis products from the gray and illicit markets. “To overcome current challenges, generating real revenue and bringing in consumers who are not yet part of the legal market is the way forward,” said Gary Allen, chief executive officer at New Frontier Data. “By working together as an industry, rallying behind our retailers, and addressing challenges head on, we can emerge stronger and more self-reliant.” There’s a misconception higher costs in the legal market — mostly driven by a misunderstanding of taxes — keep consumers purchasing from the illicit market. But New Frontier Data ’s most recent research shows the average consu...