Business as usual, unusual products, and a grim outlook on at least one front
As we were the first to report late last week, right before the holiday weekend the Cannabis Control Commission announced that “Marijuana Establishments in Massachusetts generated more than $1.64 billion in gross sales in 2024, setting a new annual record for the Commonwealth.”
There is an extraordinary trove of information that comes with that tally, including some exciting superlatives; for starters, 4/20 and Green Wednesday “also set new single-day sales records … with gross sales reaching $8.5 million and $7.9 million.” But while we already dumped a bunch of numbers on readers with that initial post, most of which came from the CCC, our brain trust thought it would be helpful to provide some brief armchair analysis to save you from having to wade through the sales data.
Adult-use cannabis is becoming a somewhat normal business
We speak with business owners and operators from all corners of the industry. And while most of them agree on things like it would be ideal for regulators to be more transparent about the objectives of inspectors, they have varying views on how far things have come. Some say all bets are still off, pointing to hobbled former giants like Rev Clinics and new bestsellers on the block like Jeeter and Perpetual, seemingly popping up out of nowhere (even though that is rarely the case).
Others note the predictability of some product categories, and the newly released data supports that theory. Rounding to the nearest million, Massachusetts retailers sold $632 million in buds in 2023, and $658 million in 2024. Vapes stayed almost the same in that time, hopping from $310 million to $315 million, while raw prerolls, edibles, and concentrates also remained steady.
We also speak with regular as well as casual consumers in our personal and sometimes professional lives outside of the weed biz, and it seems to be taking more and more to make them pay extra attention to new cannabis happenings. People get into their groove, lock in on a few favorite consumption methods and brands, and just enjoy the heck out of that old standby just like their grandpappy puffed on his Pall Malls. Take that for what it’s worth, which is potentially a few mill a year in this market.
The fastest-growing product category in Massachusetts cannabis is …
By now you must be itching yourself with excitement asking: What categories had the biggest boost over the past year? To answer that, it’s important to first recognize that perfect parsing is impossible, with items like syrups and higher-potency concentrates spilling from one column to another from one year to the next.
That caveat considered, you’ll want to put all of your chips on infused prerolls. It probably won’t come as a surprise to consumers, who frequently encounter popups for the latest kief-dusted delights, that the category more than doubled from 2023 to 2024—from $26 million, to $55 million.
Of course, that’s not really that much when you consider that seemingly every other manufacturer is hot on the idea of sprinkling some magic dust on mids and selling joints for more than fifteen bucks. There was room for growth here even without so much saturation, so while infused preroll sales are likely to more than double again in 2025, it doesn’t mean there will be enough of a pie for everyone to eat from rosin-infused diamond-crusted cones alone.
So, about the downfall of drinks businesses …
Let us be the first to apologize for insinuating over and over that cannabis beverages were going to dry up in Mass as a result of the short-lived hemp drink explosion in early 2024. Perhaps there would have been more suffering if the state didn’t step in to put the kibosh on infused seltzers and sodas being sold in liquor and convenience stores; but even with months of presumed negative impact from those popular alternatives flying off of unregulated shelves—and the hit from high-potency tinctures—drinks slipped less than $3 million, down to just under $12 million.
That may seem like a lot, but the context involves several brands and co-packers shifting their production from larger canned drinks to much smaller syrups, and of beverages in general being sold out at dispensaries. Also, we’re not saying that this is a stable category, since the ridiculous 5 mg limit on regular servings limits the market. We’re just saying that people must want some amount of low-potency cans, and they’re even willing to go to a pot shop to get them since their packie stopped selling the hemp versions.
The medical cannabis outlook is grim
As Jeremiah MacKinnon of the Massachusetts Patient Advocacy Alliance suggested while addressing Massachusetts legislators at a hearing of the Joint Committee on Cannabis last October, the CCC has overseen the decimation of the state’s medical marijuana program in plain sight. In 2024, the agency had zero new medical-side applicants.
The year-end sales numbers paint a similar picture; while Medical Marijuana Treatment Centers statewide had nearly $20 million in sales in January 2023, by December 2024 that number dropped to $14.5 million, the lowest since December 2019.
This means a few things. For one, you can expect the MPAA and other advocates to fight for increased access and assistance—whatever it takes. Meanwhile, adult-use manufacturers and retailers will continue offering products and deals that attract current patients and lapsed card holders as well.
In an industry of asses, be a suppository
Since we’re in the habit of apologizing today, we’re also sorry for calling industry people asses, or for the possible appearance of mocking anyone who needs to use a cannabis suppository or the people who sell them.
The opposite is actually true—looking at the data and some retail menus from around the state, we’re guessing that there are plenty of folks looking for more options in this category. In 2023, Bay State dispensaries sold nearly $40,000 worth of suppositories, while last year that number dropped to less than $5,000.
It may not be the most lucrative niche, but it’s nevertheless proof that there are still holes in the market that need to be filled.
