Market size is one of the significant factors why a person should start a marijuana business. Ever since cannabis was legalized in more countries worldwide, the demand for this herb has risen. It keeps on rising, and it never looked back since. In fact, according to a research published by the international Think-Tank, Grand View Research, Inc., the market size of marijuana globally will rise to up to $66.3 Billion by the year 2025. This market does not only talk about the leaves and the buds of marijuana; the marijuana industries cover a wide array of products. From CBD oil to edibles to even the vape that you use, all of these are part of the growing products being traded across the huge marijuana industry.
All stages of the value chain have a huge market. If we are going to segment it, from the marijuana farms to the delivery and distribution of goods, to the marijuana products in dispensaries and through e Commerce, each of these is growing exponentially! In fact, some industries that do not exclusively work within the marijuana industry but catering to it are also improving. This includes industries on herbal and alternative medicine as well as industry on fertilizers and gardening. These two are being fueled by the boost in the market of medical marijuana and big production in marijuana farms and gardens.
The trend for the marijuana market size is going upward. Does it not make you curious about what contributes to the growing market size of marijuana? Various analysts have explained how the marijuana industry works and how various factors have influenced this market’s trend. If you want to learn more about how the marijuana industry’s market size reached its size today, below are three major factors that are contributing to the continuous growth of the global marijuana market.
FACTOR #1: THE LEGALIZATION OF MARIJUANA IN MORE COUNTRIES AND TERRITORIES OPENED THE MARKET FOR TRADING:
Every year, more and more countries are easing up on their policies on marijuana. This has made marijuana accessible to people, which further propel market demand. In the past, a substantial number of people would never touch marijuana due to the legal prohibition, but now, the world has become a little bit safer and understanding to people who opt to use it. According to many experts, cannabis’ legalization is the single most important factor in the upward trend in market growth of the marijuana industry. They explained that the move to legalize this herb in major territories opened up business opportunities in all aspects of the value chain of marijuana industry.
From cultivation to distribution, it is now freer to open a business in marijuana. The laws that legalized the use and trade of marijuana as a commodity opened the worldwide market for marijuana and marijuana-based products. People now can purchase cannabis seeds and grow their own at home. The impact of cannabis legalization can be seen in significant decrease in trade of cannabis in the black market as people working illegally are now shifting their sight to the more profitable legal marijuana trade. The huge and still growing market size for marijuana is an incredible opportunity. Marijuana has just been recently legalized and still illegal in many countries worldwide. But its legalization is now being proposed here. This will surely increase the market to a higher degree than it is today. As such it would be foolish not to take advantage of this.
FACTOR #2: THE RISE OF POSITIVE PERCEPTION AND ACCEPTANCE TO MARIJUANA USE MADE MARIJUANA USE AN EVERYDAY NO-ISSUE:
As mentioned above, the world has become a little bit safer and understanding to people who opt to use marijuana. The legalization of marijuana has a great impact on society’s perception and acceptance of marijuana use. Right now, society is changing for the better. Whereas 20 years ago, people would associate marijuana with crimes. Now, people associate it with being fun and healthy. Today, we can find celebrities and artists promoting their cannabis use and cannabis-based lifestyle.
The taboo against marijuana has been lifted and there is a general acceptance today to its use. As society loosens up on marijuana use, people have become unafraid to seek out treatment based on marijuana. For casual users who take advantage of marijuana’s recreational use, the celebrities’ promotions are a welcoming change. This change in acceptance and attitude toward marijuana is very positive. In fact, it has also opened up the opportunity for academic and research institutions to study marijuana out in the open. In the past, there was a taboo against studying marijuana for medical use and scientists; this was a career suicide to conduct marijuana studies. Now, it is okay to study marijuana. In fact, funding on research for marijuana has increased in the last few years.
FACTOR #3: MARIJUANA’S HEALTH BENEFITS PROPELS IT FROM ABUSED DRUG TO A HEALTHY CHOICE
The changing society’s acceptance to marijuana and even the legalization of use and trade of marijuana all started with the discoveries done on various healing and medicinal properties of this herb. In 2018, medical marijuana held the largest market share among all marijuana-based products. This means that people are consuming marijuana more and more because of its benefits and less because of its psychedelic and recreational use. According to experts, the market share of medicinal marijuana will expand at a CAGR of 12.7% by 2025, making medical marijuana the biggest driver of global market growth in the cannabis industry. The good news, research on marijuana’s health benefits are being conducted all throughout the world. With these studies, we can expect that scientists will discover more medical use and health benefits from marijuana, further fuelling the market’s growth for this amazing herb.
The market size for one product is an important indicator of how likely businesses will do well or this product. If you are a business person or an entrepreneur looking for a way to profit, or even if you are a marijuana advocate who wishes to start a business, then dabbling on marijuana as a business would be a very good decision.