Price and product selection are top priority for Canadian cannabis consumers and sales support is essential for younger generations according to new data.
Cannabis Retailer commissioned Caddle to survey 8,660 Canadian cannabis users in July 2024 on their purchasing habits and store preferences.
Price Drives Purchasing Decision
Price is the top factor driving cannabis purchases, followed by the ratio of THC to CBD. Safety and product type (strain) are also important considerations, while brand, terpene profile, and minor cannabinoids influence a smaller segment of consumers.
Similar responses are seen among both male and female respondents.
Younger generations appear to be more price sensitive than older generations (Greatest Gen). There’s a noticeable interest in THC to CBD ratio among baby boomers, Gen X, and millennials, suggesting a potential preference for balanced effects.
Safety of the product is a consistent priority across all age groups but especially for Greatest Gen, while strain is more important among the younger generations.
Brand or producer seem to be more important for the older generations, particularly baby boomers, while terpene profile and the presence of minor cannabinoids are seemingly less important for all age groups.
Price Drives Return Customers
The most important factor that brings customers back to a cannabis store is price, with 28.5% of respondents choosing it.
Price is a significant factor, but other aspects like product selection and store location are also important. A significant portion (24.7%) chose ‘Other’ indicating potentially unique reasons for customer loyalty.
Price was more important for men (30.5%) then women (26.1%), while women placed more importance on location (15.9%) than men (12.4%).
Price emerges as the dominant factor influencing customer loyalty across all age groups. However, the data reveals interesting generational trends.
While price consistently holds significant weight, the youngest generation (Gen Z) places a notably higher emphasis on product selection compared to other generations. This suggests a preference for variety and specific product attributes among younger consumers.
Conversely, Greatest Gen displays a unique pattern, with a substantial portion selecting ‘Other’ indicating that factors beyond the provided options significantly influence their store loyalty. This could be attributed to unique preferences or experiences.
Importance of Sales Support
Sales support plays a significant role for a considerable portion of cannabis consumers. Over two-thirds (40.2%) consider it very or somewhat important in their shopping decisions. However, a notable portion is indifferent or finds it unimportant.
The Greatest Gen shows a marked indifference to sales support, with the majority (69.7%) rate it as not important at all. However, the other age groups all value sales support, particularly millennials and Gen Z.
Cannabis Purchases
Cannabis Purchases22% of respondents purchased cannabis in the past three months, up 5% after a drop last month. Out of the respondents, 20% of women purchased cannabis compared to 24% of men.
Consistent with past surveys, millennials (28%) and Gen Z (25%) had the highest rates of cannabis purchasing in the past three months. This was followed by Gen X (24%) and Greatest Gen (20%), while baby boomers (13%) had significantly lower rates of cannabis use.
Cannabis Purchases with Cannabinoids
One third of respondents (33%) purchased products with cannabinoids other than THC and CBD in the past three months. Out of the respondents, 25% of women purchased products with other cannabinoids compared to 39% of men.
In the past three months, Gen Z (43%) has the highest purchase rate of products containing cannabinoids other than THC and CBD, followed by millennials (38%). This suggests a growing interest in exploring a wider range of cannabinoids among younger generations.
Baby boomers, Gen X, and Greatest Gen all had similar purchase rates (around 20-26%). This might indicate a potential generational gap in awareness or interest in these alternative cannabinoids.