Business intelligence from Akerna (Nasdaq: KERN), an enterprise software, leading compliance technology provider, and developer of the cannabis industry’s first seed-to-sale enterprise resource planning (ERP) software technology (MJ Platform®), predicts that Tuesday, April 20th, a widely-popular yet unofficial “holiday” celebrating cannabis consumption, will gross $95,000,000 in legal cannabis retail sales nationally, with the following predictions for the day:
- Top product: Flower will be the most purchased product on 4/20, claiming 49% of all legal sales, up 4% from the 2021 daily average.
- Order total: The average order total will be up about $10, with the average spend per customer coming in at $105.00, compared to the 2021 average of $93.48.
- Basket size: Customers will buy an average of 3.69 products, up 30% from the 2021 average basket size, 2.83 products.
“Elevated sales mean traffic will be at a high, making it critical for retailers to prepare their inventory, staff, and space for these upticks,” said James Ahrendt, Business Intelligence Architect at Akerna. “To help with preparations, we have created a guide for dispensaries on 4/20, complete with recommendations on how to create the most seamless and enjoyable customer experience.”
With 4/20 landing on a Tuesday this year, Akerna predictive data is showing that consumers planning to celebrate will shop ahead of the date, with the weekend ahead of 4/20 being the most significant weekend sales of the year and the 5-day period (4/16-4/20) sales totals exceeding $370,000,000 nationally, with the following predicted breakdown per day:
- Friday, 4/16: There will be a 50% growth in daily average sales, the second largest sales day for the period with a predicted total industry sales figure of $85,000,000. Fridays are typically the highest traffic days for cannabis retailers.
- Saturday, 4/17: This will be another busy sales day in preparation for the holiday, with predicted sales reaching $78,000,000.
- Sunday, 4/18: Anticipated to be the slowest day, but still elevated for Sundays, with a predicted spend of $50,000,000. Historically, Sundays are the lowest cannabis sales days.
- Monday, 4/19: Sales will pick back up from the slower Sunday, totaling $65,000,000.
Other predictions for the “holiday” period (4/16 – 4/20):
- Category sales:
- Flower – 49%
- Cartridge/Pens – 31%
- Concentrates – 11%
- Infused Edibles – 8%
- Other – 1%
- Sales percentage by Demographics:
- 62% male
- 38% female sales
- Under 30 – 29%
- 30-40 –31%
- 40-50 – 20%
- 50-60 –12%
- Over 60 – 8%
About MJ Freeway
MJ Freeway is more than software as a service. Its flagship solution, MJ Platform, includes Platform Insights. Now operators, investors, and regulators can access the industry’s largest and most statistically relevant database to drive data-driven business decisions.
Platform Insights provides:
- The greatest statistical relevance across countries
- Normalized data (not farmed from various disparate POS platforms)
- Full cannabis supply chain data
- Business insights founded in category management methodology
Platform Insights can eliminate the guesswork and provide answers to questions like:
- What is the gross margin return on inventory?
- What SKUs should be carried?
- How do basket adjacencies influence discounting and retention strategies?
- What does a medical market look like a year or five years after decriminalizing cannabis?
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