This article breaks down the best selling cannabis products in Canada for 2022, drawing on data from Headset, Health Canada, and industry surveys. Flower remains the dominant category, but sublingual strips and cannabis beverages are gaining notable traction among Canadian consumers.
TechPOS has assessed current shopping trends using data from Headset, Health Canada, and other industry sources. Canadian consumers still favour flower above all other product types, but sublinguals and tinctures are emerging as breakout categories worth stocking.
Buried in this data are treasures you can use when planning inventory, offering promotions, and even choosing what pops off on your in-store digital signage for cannabis dispensaries.
Edibles also remain a strong secondary category, with 54 percent of surveyed consumers reporting edible cannabis use in the last 12 months, making them a reliable staple alongside flower.
Why Cannabis Flower Still Leads Canadian Sales
According to the latest survey results from the Canadian Government, smoking is still the preferred method of consumption for cannabis. Nearly three-quarters of respondents who consumed cannabis in the last 12 months reported smoking flower as their preferred method. Edibles came in second (54 percent), with vaping a not-so-close third (28 percent).
Headset reports that in 2021, the top individual flower consumers spent between $500 to $600 per quarter on bud. As per the analysis, “The top 10% of Flower customers supplied 60% of US Flower sales and 78% of Flower sales in Canada.” That means a dispensary’s top customers are likely spending more than $125 per month on flower alone.
This data strongly suggests that Canadians still prefer flower above all other cannabis product types. More importantly, they are willing to spend significant amounts on it regularly. Despite the glamour of new and exciting products, like beverages, flower still captures the hearts and wallets of the average consumer. It should therefore figure prominently in your store, as well as in your marketing efforts.
Sublingual Strips and Tinctures See Record Growth
According to the Headset report, the stand-out category of cannabis products was sublingual and tinctures, a trend also reflected in smart printed menus that highlight top cannabis categories. As a new type, launching alongside edibles and topicals in 2020, few people suspected this not-so-glamorous product would capture the attention of consumers as much as it did.
Although this subcategory doesn’t pull as many consumers as flower — only 22 percent according to the Health Canada Survey— it has experienced astounding growth over the last two years. The Headset data details how “Tincture & Sublingual products in Canada […] saw over 3000% growth year over year.”
With such incredible numbers, Headset dug a bit deeper to explain what was really happening in this space. Their research shows that sublingual strips are driving the most sales, with two specific brands driving 70 percent of sales in December 2021: Kin Slips and Being.
Dispensary owners should confirm that sublingual strips are on their shelves, as sublingual strips rank among the best selling cannabis products in Canada right now. So, how are you working with your budtenders to help promote this underappreciated but explosively popular oral-product?
Cannabis Beverages, Slowly Capturing More Attention
Cannabis Beverage Market Share and Top Brands
Despite all the buzz in 2020, when edibles and beverages launched in Cannabis 2.0, the nation’s appetite for cannabis drinks is a small one. Still, the niche is slowly growing, now making up roughly 2.1 percent of the market at the end of 2021 (Headset).
At the time of the report, there were roughly 80 to 110 distinct canna-drinks, depending on the province where you were operating. The top-selling brands were XMG, Everie, Deep Space, Tweed, and Houseplant. Interestingly, carbonated bevies made up more than 50 percent of sales, and cannabis-infused water nearly 10 percent.
Factors Dispensaries Must Weigh Before Stocking Drinks
As a retailer, should you focus on infused beverages? There are a few considerations when planning your beverage inventory. Health Canada reports 15 percent of consumers enjoy drinking their dose of cannabis, and sales in this category are also increasing — albeit slowly.
But, displaying and storing beverages requires additional overhead, including refrigerators and coolers. Not to mention that the packaging takes up far more display space than other products.
As you plan your store layout and investments into cannabis beverage infrastructure, consider all the factors at play, including the full costs of opening a cannabis dispensary in Canada. Yes, you should offer cannabis drinks, but perhaps dial it back until sales prove themselves at your location.
Build Dispensary Inventory Strategy on Local Sales Data
If you strictly made business decisions based on media hype or a single report, you’d be relying on limited information. For example, you’d be forgiven if you went all-in on cannabis drinks based on the media attention they have received so far. Data on the best selling products in Canada offer only one snapshot of the market for your own business, which is why tools like understanding what dispensary owners earn in Canada can add crucial context.
To avoid costly inventory mistakes, dispensary owners should track both macro data — such as Headset reports and Health Canada surveys — and their own store-level sales intel.
With TechPOS, you can quickly and easily pull business insights and real-time analytics through the dashboard. The TechPOS all-in-one platform collects and processes all your store’s data in real-time and delivers critical reports on what is profitable and what’s not, powered by real-time cannabis retail analytics for dispensaries. Plus, it integrates with Headset for even deeper granular data.
For the latest trends in the Canadian cannabis market, read our new article: 2024 Cannabis Product Powerhouse: Flower Reigns, But Diversification is Key.
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