COLORADO: Like the cannabis holiday on April 20th (4-20) and the Fourth of July,Labor Day marks one of the highest grossing sales days in the cannabis industry. Once again, MJ Freeway takes a look at holiday trends in the cannabis market and gives some advice for what retailers can do to prepare for higher foot traffic in the coming weekend.
MJ Freeway’s retail data set, which accounts for 40% of the legal cannabis market and includes nearly $5 billion in retail sales transactions, helps businesses across the industry understand everything from sales cycles to inventory management and more.
“Cannabis is a young industry and it’s important to track trends early and often, which is why we’ve made it a priority to provide businesses with a full picture of high-volume sales days,” said Amy Poinsett, CEO of MJ Freeway. “The more we understand about the industry as a whole, the better we are able to provide our clients with solutions that they need for smooth and efficient business practices.”
Labor Day by the Numbers
- In 2015, total cannabis retail sales exceeded $32M on Labor Day weekend (Sept 3-6, 2015), which represents a 43% daily increase from an average sales day.
- In 2016, we expect Labor Day weekend retail sales (Sept 1-4) to reach $41M
- Sales spikes begin the Thursday before Labor Day with Friday being the highest grossing sales day.
- In 2015, individual cannabis licensed retail locations* – dispensaries and delivery services – sold on average $5,694 in retail sales on September 3, $7,266 on September 4, $5,985 on September 5, and$5,100 on September 6 in 2015, the four days of Labor Day weekend.
*Note: One physical cannabis retail location may operate with two individual licenses – medical and recreational.
- Customer traffic increased on average by 20% during Sept 3-6, 2015 as compared to a non-holiday sales day.
- Individual customers spent on average $69.14 per trip Labor Day weekend 2015, a rise of 3% compared to customers visiting retail locations on an average day.