Happy Four Twenty! Today marks a massive celebration for people all over the world. You might be thinking to yourself, “what’s the big deal?” or “back in my day…”, or that April 20th carries no significance to you at all. Well, I’m here to tell you that it should.
The legalization of marijuana in countries all over the world is turning 420 into a commercialized holiday of epic proportions, and retailers should take note.
Money & Trees: 420 is The Next Big eCommerce Sales Holiday
What was once a day of protest and destigmatization for a counterculture is now what I’d refer to as a full-blown “sales holiday”. Usually when you think of sales holidays, you’re invisioning Black Friday, Boxing Day, and Back-to-School. Now you can include 420.
Times they sure are a-changin’. One in five Americans now live in a State where Marijuana is legal to smoke – that’s 20% of the population. In 2016 Americans and Canadians spent $53.3 billion on marijuana (that’s legal and illegal), and by 2021 it’s expected that the legal market will grow to $21.6 billion.
Compared to the growth rate of other $5 billion-plus-industries marijuana’s upward trajectory matches that of broadband access in 2002.
2018 is beginning to look mighty green! Sales will explode thanks to the legalization of recreational marijuana in Canada (Thanks JT!), as well as California, Massachusetts, Maine, and Nevada, and medical legalization in Arkansas, North Dakota, Florida, Montana, and Hawaii.
Weed is Now Legally Big Business!
Let’s not forget that this is a huge multi-billion industry that is steadily growing in the age of the internet. Ironic, given that the last time we witnessed this type of growth was during the dot-com boom.
The legality of selling and distribution marijuana online varies by State, Country, Province, but remember that the weed itself is not the only thing that can, and will be, bought and sold online. Companies have long been selling paraphernalia/accessories (pipes, vaporizers, etc.), and are now getting into the packaged-goods game with the sale of mass-market edibles and high-end healthy living products to be sold in-store and online.
eCommerce + Cannabis. It’s Lit.
Lately all we’ve been talking about is the tipping point of American retail, with long-time brands going bankrupt and malls hollowing out. Consumers now prefer to buy online, and the combination of the marijuana industry and eCommerce is a match made in heaven.
eCommerce is a 420-friendly channel, and sellers in this industry are seasoned innovators.
Shopify recently interviewed an entrepreneur on their Shopify Masters podcast who is generating $1 million a year selling marijuana accessories.
I’d advise you to not disparage the celebration of 420 around the world, instead look at it as an in-demand mainstream sector on the cutting-edge world of online retail. This niche is set to change the world of eCommerce, and how you might be currently running your business. Even Canada’s Pure Industrial Real Estate Trust see the potential in the combination of eCommerce and Cannabis, facilitated the leasing of warehouses for weed distributors.
Don’t be surprised to see 420 eCommerce statistics posted alongside those of Black Friday and Cyber Monday, as acceptance and legalization becomes widespread!