Pre-Rolls Remain The Fastest Growing Product Segment In The Cannabis Industry, White Paper Finds

KENT, Wash., June 08, 2023 (GLOBE NEWSWIRE) -- Custom Cones USA, the cannabis industry experts in pre-rolls, packaging, and manufacturing solutions, today published a white paper in partnership with Headset to find that pre-rolls remain the fastest growing product segment in the cannabis industry, growing 12% year-over-year in the US and a blistering 38% year-over-year in Canada.

The Custom Cones USA team polled over 300 companies from every corner of the pre-roll industry and analyzed retail POS data from Headset, as well as their own B2B sales data to illustrate why the pre-roll category is one of the leading product categories for cannabis companies. Notable findings include:

Infused Pre-Rolls are the Largest Growing Segment in The Pre-Roll Industry

• In both the US and Canada, pre-roll segments were two of the top three highest growing individual product segments
  • Infused/connoisseur pre-rolls
    • +1,426% YoY in Canada
    • +22% YoY in USA
  • Mixed strain pre-rolls
    • +440% YoY in Canada
    • +63% YoY in USA
  • Disposable vape pens
    • +160% YoY in Canada
    • +60% YoY in USA
• Since 2021, data shows an almost 400% growth in multi-pre-roll packs that have a volume of 2 or 5 grams
  

The Rise of Higher Quality Pre-Rolls at Lower Retail Price Points

• Over the past few years, the wholesale price of flower has dropped dramatically, making high-quality flower pre-rolls more affordable.
• Advancements in both table-top cone filling machines and automated pre-roll machines have allowed manufacturers to produce more pre-rolls with lower labor costs. All these factors combined led to higher quality pre-rolls at lower retail price points, which has driven strong growth for the category.
• Producers no longer have to infuse each pre-roll by hand, as they now have access to machinery that can efficiently automate infused pre-roll production at scale.
  
  

In The US and Canada, Pre-Rolls Show the Least Amount of Price Compression

• In Canada, infused pre-rolls have become so popular that it is driving up the average cost of a pre-roll. Our research shows that people are willing to pay more for potency, which is a common theme across the cannabis industry.
• The most important takeaway from this graph is that, even though prices for all cannabis products decline over time, pre-rolls are showing the least amount of price compression. In other words, if you are in the business of selling cannabis, and you are worried about declining margins, pre-rolls are a category you should be expanding into to maintain and boost profitability.

The Custom Cones USA white paper provides qualitative and quantitative data to support the claims of pre-rolls becoming the #1 largest product segment by 2030. The team offers insights into the business of pre-rolls, the importance of selecting the right materials for pre-rolls, the importance of machinery to enhance the profitability of the products, as well as the different types of pre-rolls that the market has available.

“This white paper demonstrates the continued growth of the pre-roll industry and its potential to become the #1 largest product category within the cannabis industry,” said Harrison Bard, Co-Founder and CEO of Custom Cones USA. “We thank our partners at Headset for collaborating on the white paper to provide a wealth of information that people can trust to make informed business decisions in our evolving marketplace.”

For the full white paper, find it HERE

About Custom Cones USA
Founded in 2017 by Harrison Bard and Fredrik Rading, Custom Cones USA is a leading pre-roll resource in the cannabis industry. The team has a wealth of knowledge about all aspects of pre-roll manufacturing and the entire pre-roll sector of the cannabis space. From custom-branded pre-rolled cones and wholesale bulk cones, to completely customized pre-roll packaging projects and pre-roll machines, they offer expertise and solutions to companies big and small in all sectors of the pre-roll space. Custom Cones USA wants to help their customers operate with relative ease and ensure both the companies and their customers to have the highest quality smoking experience.

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Oak PR
Drew Tybus
Drew@oakpr.com

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