The recently created New York legal cannabis market is one of the most exciting cannabis opportunities in 2023.
In January, BDSA — a global leader in providing actionable cannabis market intelligence — announced the launch of Retail Sales Tracking for the New York cannabis market. BDSA predicts New York will be the largest new market for legal cannabis in 2023 and the second largest contributor to sales growth through 2026, following Florida.
“Consumer Insights data reveal strong growth within the state, with 45% of those surveyed claiming to be past six-month consumers, an approximate 17% increase in consumer penetration since fall 2021,” BDSA said. “An additional 27% of New York adults indicate they’re likely to consume in the future.”
On top of market growth, BDSA’s data scientists sampled the vast universe of consumption trends in New York to shed light on one of the most important questions for the industry: What type of cannabis do New Yorkers want?
BDSA chief executive Roy Bingham shared exclusive insights with Benzinga that might come in handy for investors, managers, and entrepreneurs interested in the New York cannabis market.
What Cannabis Do New Yorkers Want?
Flowers, coated pre-rolls, distillates, extractions, edibles, topicals, and infused drinks are just a few of the many cannabis products available at retail. But how can businesses concentrate on thriving segments that assure a path to liquidity sooner than later?
According to BDSA, New Yorkers have a propensity for flower-based products. Some 35% are more likely to prefer joints they have rolled themselves, and 27% are more likely to prefer joints that include tobacco.
“Recent New York medical sales indicate that the vape category in New York’s adult-use market may account for a larger share of sales than in other newly minted adult-use markets,” Bingham said.
In terms of branding, New York consumers are significantly more likely to purchase a product based on visually appealing, discreet, premium, resealable or reusable packaging.
Bingham noted these consumption trends evolved throughout time and seem far from waning.
“If you go back about two years ago and ask in New York, 'have you consumed cannabis in the last six months?' The answer was 22% of adults were telling us they had consumed cannabis in the last six months. Very low compared to the national average."
By spring 2022, that number doubled to 45%.
"And that's the fastest rate of growth that we've seen,” Bingham said. “Now, some of that is because they feel more comfortable acknowledging that they have consumed cannabis where it has become legal. But we're now getting up to kind of normal consumer participation rates …