3 Surprising Cannabis Industry Statistics for 2024

More and more states are legalizing cannabis. Sweet! This is obviously giving cultivators and distributors a huge opportunity to capitalize on and grow their businesses.

No question it’s an exciting time, however…

Along with these opportunities, the industry faces a few challenges—complicated regulations, emerging technologies, changing customer preferences, and, yes, more competition. A great way to tackle these issues is to find out what your peers think and how they run their businesses.

And we’ve already done the heavy lifting for you with our State of the Cannabis Industry report for 2024.

In it, we presented survey questions to more than 200+ cultivators and distributors to find out the daily challenges they face, their technology priorities, and their expansion plans. Their answers have given us a ton of great cannabis industry statistics for 2024 that we can’t wait to share with you.

In this blog we’re exploring three important questions that led us to these outcomes. Let’s get into it.

#1. How well does your current operational technology work?

The sector is known for its varied approach to technology – largely because the rules vary across each state – but is growing quickly.

Not everyone has the same amount of money to throw at new tech:

A small portion of businesses do not use operational technology. Instead, they rely on manual, paper-based processes.
A larger segment uses basic technology solutions but with significant manual or disconnected processes.
Most businesses fall into the <Competent> category, indicating the presence of technological solutions that aid automation.
The <Best in Class> group showcases how integrated technology solutions provide real-time insights and empower informed decision-making.
Over time, we are seeing a shift from basic tech to top-notch solutions.

👉 Hey, we get it. Spreadsheets are great, but they simply can’t keep up with a solution designed specifically for the cannabis industry.

#2. Which technologies will help your business the most in the future?

For this question, the cannabis industry statistics indicate the importance of various technologies for the coming years:

Cultivation technology, at the top, is seen as crucial for increasing yield and improving quality.
Just behind are advanced analytics and AI, which enable market insights, and emphasize the power of data-driven decision-making.
The increasing use of automation and robotics for production recognizes the role of technology in enhancing operational efficiency.
E-commerce and other online sales platforms improve sales and customer experiences. Their use reflects the growing emphasis on digital channels.
Blockchain technology for supply chain transparency highlights the industry’s commitment to traceability and compliance.
Machine learning and generative AI for automating routine tasks in accounting and operations showcase an interest in streamlining administrative processes.
Although it’s on the lower end of the tech listed above, don’t underestimate the importance of using it for regulatory and product tracking systems. The need for help with compliance underlines the industry’s focus on adherence to regulations.

#3. How much do consumer preferences impact your business?

Here, the data suggests many respondents prioritize consumer preferences to shape product development and marketing strategies. Surprised?

It’s also interesting to note how more than 40% acknowledge consumer preferences…but they place a higher emphasis on product quality and consistency. This balanced approach attempts to value both consumer insights and product integrity.

A very small percentage of operators surprisingly indicate that consumer preferences have a limited impact on their business strategy.

Maybe they have a unique market position or a strong commitment to specific products that may not align with transient consumer trends.

Cannabis industry growth challenges old stereotypes

The State of the Cannabis Industry report also covers the states in which cannabis businesses operate and where they plan to expand in the future. It’s a great way to compare your state presence to your competitors.

The industry has experienced substantial growth, reaching nearly 20 million users by 2019. This growth challenges old stereotypes and reveals a diverse group of modern cannabis consumers with varied preferences. And the way the industry is booming, it’s all about being smart—like merging with the right partners, making the right connections, and growing businesses from the ground up.

As your business expands into new sectors and moves into new states, it’s time to consider a robust Enterprise Resource Planning (ERP) solution—and get rid of your dusty spreadsheets. The leading ERP solutions lead the way to business growth—offering centralized data, automation, traceability, and integrated analytics.

With advanced track and trace features, you can efficiently manage inventory and improve production processes. And with features like lot control and quality tracking, it’s also easier to follow compliance rules.

Best of all, you can say adios to sleepless nights wondering what’s happening with your data!

Learn more inside our report

If you enjoyed these cannabis industry stats, there’s a whole lot more along with industry trends from our report. You can download our full report, for free, on this page. Get the lowdown from day-to-day operations to managing money and exploring new technology tools. See where the industry is today and where it’s (hopefully) heading tomorrow.