The cannabis industry has spent the past few years trying to convince the average American that today’s marijuana user is no longer the longhaired, hippie-weirdo standing on the sidelines of the social norm. It has, however, done its best to paint a portrait of a wealthy, upstanding citizen of discriminating taste with more money than the Rockefellers to spend on as much high-priced weed as the green thumb Gods can pull out of the ground.
This illusion, for the lack of a more accurate term, was conjured up by cannabis advocates during the first push to make marijuana legal for recreational use. They needed to show the politicians and citizens alike that establishing a taxed and regulated market would not turn their communities into a perpetual Woodstock event. So, what better way to show the influencers that the modern day stoner was just like them? Easy… say they have money – and more than non-users.
It was a noble effort – one of genius some might even say. The problem is advocates have fought so hard to change the stereotypes associated with the cannabis culture that they have actually bought into their own BS. Now nearly every marijuana company that emerges with a new product seems focused exclusively on selling weed to those who reside in the higher income bracket while leaving the average user in the rearview.
But what about the burn out types -- those red-eyed cruisers from back in high school who always reeked of weed and slept their way into mediocrity? How about the ones who dropped out of school as soon as they turned 16 and went on to get crap jobs just so they could continue buying weed, RUSH records and Taco Bell? What about the average dude who did graduate from high school, but rather than go on to do something extraordinary he got a job at a factory and became a working-class stiff.
Aren’t the so-called “losers” of the world still buying marijuana?
The cannabis industry would like the nation to think that the reefer rejects no longer exist. That some Rapture-like phenomenon came along 20 or so years ago and swept them all away, leaving behind only those clean-cut, educated users with a salary of no less than $75,000 per year.
But here’s the thing: This mission to eliminate the average stoner from the equation is failing…and miserably, I might add.
It turns out that most of the cannabis consumers in the United States are just as broke and unsuccessful as the rest of us.
Recently, analysts with New Frontier Data and MJ Freeway identified nine kinds of cannabis users spending money in both the legal and illicit markets, and a significant portion of these customers do not fit into the fashionable, go-getter image that the cannabis industry has so tirelessly sold us over the past few years.
Don’t get me wrong, it’s not that people with money aren’t buying weed -- of course, they are. There are now somewhere around 33 million regular pot consumers nationwide, so it would be ridiculous to suggest otherwise. But this report, let me tell you, it shows off the industry’s real bread and butter.
Believe it or not, the largest segment of the marijuana market is supported, not by longtime tokers, but the “occasional user” who views weed as more of a novelty than a lifestyle choice. These people make up 17 percent of the industry’s customer base. Sure, they have a few discretionary dollars to drop on dope, but they would probably be just as happy with an old fashioned cocktail.
The report shows the next big spending bases are a little rough around the edges. One classification, referred to as “Silver Dabblers,” is primarily divorced males over the age of 40 who live alone and have relatively low incomes. These poor schlubs are the ones you’ll see in the grocery store buying up Ramen noodles by the case, so they don’t spend all of their money on pizza when the munchies kick in.
The next bunch, a category labeled “Traditional Lifestylers,” is a younger customer – people who use cannabis regularly and even buy it from a dispensary when they can – but they still don’t have a pot to p*ss in.
The situation gets worse.
Although some of these pot purchases are made through legitimate channels, the report shows that a significant amount of cannabis commerce is still being done in the black market. States like California are having an especially difficult time getting customers to gravitate toward the legal stuff.
Part of the problem, the report indicates, is while a lot of cannabis customers are financially challenged (is there a special parking spot for that), they are also paranoid and do not wish for their bosses, families or friends to catch wind of their stoned indiscretions. So rather than risk being ousted from the proverbial cannabis closet, they continue to lean on acquaintances and street dealers for their weed buys.
It also doesn’t hurt that they can get it cheaper this way.
So, where is this upper-class cannabis aficionado that the industry wants us so badly to believe is driving the scene?
Well, this group does in fact exist, the report finds. It is separated into three categories: “Weekend Enthusiasts” (11 percent), “Modern Lifestylers (10 percent) and, one of my personal favorites, “Functional Dependents” (5 percent) – all of which collectively make up only around a quarter of the market. The Functional Dependents group – “the heavy-consuming, high-spending, hard-partying cannabis evangelists” -- spend more money on weed each month than the rest, but they also drop tons of it on booze and maybe other less-than-legal substances as well. Yes, it’s true, people who use marijuana sometimes dabble in harder drugs. Not all, but some. But don’t tell anyone.
Still, the lion’s share of the cannabis market seems to be customers who only buy weed when they can afford it – which is only on occasion. The Modern Lifestylers, however, could eventually become the pulse of legal weed. This group of hipster-high-timers has an affinity for the premium, upscale products and they have money to spend on it. There’s just not many of them out there.
It's okay to discount this article as some BS of its own. With the sheer volume of conflicting cannabis-related data that comes pouring out of the media right now, it can be easy to cherry-pick information to create a variety of narratives. Weed is good today, bad the next, it cures cancer, it causes psychosis – all of these topics are brought up close to every day.
But other market research has also shown that people with lower incomes are the meat and potatoes of the cannabis industry.
A study from Brightfield shows that nearly 48 percent of the market’s daily cannabis consumers are making less than $30,000 per year. These people spend more on pot than those with higher incomes.
“Emerging leaders in the branded cannabis space are largely seeking to differentiate themselves on their premium inputs and (e.g. Kiva, Bhang, Caviar Gold)” but “few are seizing the opportunity to capture low-income customers in the Economy brand space,” the Brightfield report reads.
This illusion, for the lack of a more accurate term, was conjured up by cannabis advocates during the first push to make marijuana legal for recreational use. They needed to show the politicians and citizens alike that establishing a taxed and regulated market would not turn their communities into a perpetual Woodstock event. So, what better way to show the influencers that the modern day stoner was just like them? Easy… say they have money – and more than non-users.
It was a noble effort – one of genius some might even say. The problem is advocates have fought so hard to change the stereotypes associated with the cannabis culture that they have actually bought into their own BS. Now nearly every marijuana company that emerges with a new product seems focused exclusively on selling weed to those who reside in the higher income bracket while leaving the average user in the rearview.
But what about the burn out types -- those red-eyed cruisers from back in high school who always reeked of weed and slept their way into mediocrity? How about the ones who dropped out of school as soon as they turned 16 and went on to get crap jobs just so they could continue buying weed, RUSH records and Taco Bell? What about the average dude who did graduate from high school, but rather than go on to do something extraordinary he got a job at a factory and became a working-class stiff.
Aren’t the so-called “losers” of the world still buying marijuana?
The cannabis industry would like the nation to think that the reefer rejects no longer exist. That some Rapture-like phenomenon came along 20 or so years ago and swept them all away, leaving behind only those clean-cut, educated users with a salary of no less than $75,000 per year.
But here’s the thing: This mission to eliminate the average stoner from the equation is failing…and miserably, I might add.
It turns out that most of the cannabis consumers in the United States are just as broke and unsuccessful as the rest of us.
Recently, analysts with New Frontier Data and MJ Freeway identified nine kinds of cannabis users spending money in both the legal and illicit markets, and a significant portion of these customers do not fit into the fashionable, go-getter image that the cannabis industry has so tirelessly sold us over the past few years.
Don’t get me wrong, it’s not that people with money aren’t buying weed -- of course, they are. There are now somewhere around 33 million regular pot consumers nationwide, so it would be ridiculous to suggest otherwise. But this report, let me tell you, it shows off the industry’s real bread and butter.
Believe it or not, the largest segment of the marijuana market is supported, not by longtime tokers, but the “occasional user” who views weed as more of a novelty than a lifestyle choice. These people make up 17 percent of the industry’s customer base. Sure, they have a few discretionary dollars to drop on dope, but they would probably be just as happy with an old fashioned cocktail.
The report shows the next big spending bases are a little rough around the edges. One classification, referred to as “Silver Dabblers,” is primarily divorced males over the age of 40 who live alone and have relatively low incomes. These poor schlubs are the ones you’ll see in the grocery store buying up Ramen noodles by the case, so they don’t spend all of their money on pizza when the munchies kick in.
The next bunch, a category labeled “Traditional Lifestylers,” is a younger customer – people who use cannabis regularly and even buy it from a dispensary when they can – but they still don’t have a pot to p*ss in.
The situation gets worse.
Although some of these pot purchases are made through legitimate channels, the report shows that a significant amount of cannabis commerce is still being done in the black market. States like California are having an especially difficult time getting customers to gravitate toward the legal stuff.
Part of the problem, the report indicates, is while a lot of cannabis customers are financially challenged (is there a special parking spot for that), they are also paranoid and do not wish for their bosses, families or friends to catch wind of their stoned indiscretions. So rather than risk being ousted from the proverbial cannabis closet, they continue to lean on acquaintances and street dealers for their weed buys.
It also doesn’t hurt that they can get it cheaper this way.
So, where is this upper-class cannabis aficionado that the industry wants us so badly to believe is driving the scene?
Well, this group does in fact exist, the report finds. It is separated into three categories: “Weekend Enthusiasts” (11 percent), “Modern Lifestylers (10 percent) and, one of my personal favorites, “Functional Dependents” (5 percent) – all of which collectively make up only around a quarter of the market. The Functional Dependents group – “the heavy-consuming, high-spending, hard-partying cannabis evangelists” -- spend more money on weed each month than the rest, but they also drop tons of it on booze and maybe other less-than-legal substances as well. Yes, it’s true, people who use marijuana sometimes dabble in harder drugs. Not all, but some. But don’t tell anyone.
Still, the lion’s share of the cannabis market seems to be customers who only buy weed when they can afford it – which is only on occasion. The Modern Lifestylers, however, could eventually become the pulse of legal weed. This group of hipster-high-timers has an affinity for the premium, upscale products and they have money to spend on it. There’s just not many of them out there.
It's okay to discount this article as some BS of its own. With the sheer volume of conflicting cannabis-related data that comes pouring out of the media right now, it can be easy to cherry-pick information to create a variety of narratives. Weed is good today, bad the next, it cures cancer, it causes psychosis – all of these topics are brought up close to every day.
But other market research has also shown that people with lower incomes are the meat and potatoes of the cannabis industry.
A study from Brightfield shows that nearly 48 percent of the market’s daily cannabis consumers are making less than $30,000 per year. These people spend more on pot than those with higher incomes.
“Emerging leaders in the branded cannabis space are largely seeking to differentiate themselves on their premium inputs and (e.g. Kiva, Bhang, Caviar Gold)” but “few are seizing the opportunity to capture low-income customers in the Economy brand space,” the Brightfield report reads.
, it has been using desperate measures, like selling off property and taking out high-dollar loans, just to stay afloat. "At our current operating level, we will not have sufficient funds generated from operations to cover our short-term and long-term operational needs,” 
