CANNAINVESTOR Magazine June 2016 | Page 16

The leader in cannabis business intelligence and market share tracking Concentrates lead first-quarter cannabis growth in Colorado, Washington All major cannabis categories in Colorado and Washington state continued to grow in the first part of 2016, with concentrates providing the biggest boost to the industry overall. In the first quarter, according to Boulder, CO-based BDS Analytics’ GreenEdge™ point-of-sale data tracking, Colorado dispensaries reached $270 million in retail sales, a 30% increase over Q1 2015. And in the first two months of the year, Washington’s adult-use dispensaries rocketed ahead with 175% growth to $81 million (detailed March data for Washington will be available at the end of May). Washington’s market got off to a slower start than Colorado’s so the growth looks huge even if the actual numbers are smaller. In both states, concentrates led the growth with a 120% increase in Colorado and a whopping 378% rise in Washington. Consumers are clearly responding to this more discreet and purportedly healthier consumption method. Combining Washington’s January-February sales with Colorado’s first quarter, the two states sold 869,000 grams of concentrates last year and nearly 2.5 million this year. At the same time, average selling price dropped significantly as the increased demand helped manufacturers produce more and spend less per unit to do so. With flower’s growth significantly smaller than concentrates’, especially in Colorado where gram sales rose just 8% in the first quarter of 2016, the green buds’ share of total cannabis sales is steadily declining. That figure fell from 71% of all cannabis sales in Colorado in Q1 2015 to 61% in 2016, and from 75% to 65% in Washington, with most of that share flowing to concentrates in both states. There was one caveat in Washington, however: Pre-rolled joints gained 5 points of share, rising to 7.5%. BDS Analy*cs is the leading provider of market intelligence and ac4onable data in the cannabis industry, including retail sales at the state, channel, category, brand and product levels. Through monthly dispensary repor4ng, BDS provides 4mely, accurate informa4on at the most granular levels not available anywhere else. CONTACT: Dispensaries: Greg Shoenfeld 720-668-8946 [email protected] Brands and Grows: Liz Stahura 303-641-4759 [email protected] Corporate: Roy Bingham 727-482-2810 [email protected]