Forget Christmas and Black Friday, for cannabis retailers the jolliest and most fruitful day of the year takes place on April 20, the international “high holiday” for tokers everywhere. States with recreational legalization are bracing themselves for an extremely profitable day, and the Denver seed-to-sale software provider MJ Freeway has the numbers to support their expectations.
According to their data, average 4/20 sales in 2016 amounted to almost twice the amount of any other standard day, creating an average of over $24,000 in revenue for each retailer. These numbers showcased a major increase over the previous year, and the company expects dispensaries and recreational shops to rake in way even more on 4/20/2017.
Not only are marijuana sales projected to keep rising on the same pace as last year, MJ Freeway predicts that substantial growth will be seen across the industry, leading to exponential revenue. The software firm estimates that on 4/20 alone, sales will surpass $45 million nationwide, a major increase from the $38 million brought in during the 2016 holiday.
The impact of the beloved stoner holiday doesn’t just boost sales on that day alone either. In the days leading up to 4/20, average daily retail sales jump up about 20 percent as well. With this year’s celebration landing on a Thursday, MJ Freeway expects the Friday before (April 14) to be the second-highest sales day of the week.
The data also provides insight into what each consumer spends, unsurprisingly showing a sizable increase over the typical day. On 4/20, the average consumer spends around $70 on cannabis product, 9 percent higher than the average purchase size throughout the rest of the year. While this number is higher than usual, it doesn’t account for the whopping increase in overall revenue, proving that many more consumers visit shops and dispensaries on this particular day.
Additionally, some retailers lure customers into their stores by offering special holiday deals, meaning that the average person will walk away with more product for less money spent. According to MJ Freeway, compared to last year’s statistics, they expect that the number of people visiting dispensaries and retail shops to rise by more than 10% this coming 4/20.
Although smokers might be more prone to consume more cannabis than usual on the stoner holiday, many may just be taking advantage of lucrative deals and stashing up for future use. Considering that 4/20 falls just two days before the weekend this year, retail shops can certainly expect to sell more weight than usual.