Impact of Cannabis on the Wine Industry
Cannabis was first legalized in Washington and Colorado in 2012. Eventually, this question started triggering in our minds if it will or will not affect the wine wholesale distribution in the U.S. If you are aware, it has and is continuing being a thorn in the flesh. This started when most people residing in the medical cannabis states reduced their monthly alcohol consumption by 13 percent.
Although it may not sound like a big margin unless more states continue to legalize this product. If it does, this can consequently impact the wine industry negatively. Comparing the negative effect on both federal wine and spirits, the beer tool got a blow of 12% sales reduction and wine 14% sales reduction. Well, I think legalizing cannabis won’t have any significant effect on the wine industry. You may read through for more insight.
Cannabis: Not a Substitute for Wine
To your relief, about 22% of wine drinkers in the U.S are cannabis smokers and were using the product way before it was legalized. Those using wine will continue doing so despite the fact that cannabis is legal or not. While most cannabis users smoke it to get high, on the other hand, wine drinkers have a different kind of focus. So I can comfortably say that weed is not a substitute for wine and there is no need for wine producers to panic. Comparing the two products, you will find out that each has its own social setting and are used by a certain group of individuals seeking to achieve different objective when consuming either product.
Introduction of Marijuana Wine
With the introduction of marijuana wine, an interesting twist augmented in the alcohol industry. You may not know this but spirit weed is projected to worth $600 million in the next few years. People are slowly but steadily embracing this tabooed crop.
Gradual and Steady Wine Growth
To confirm that cannabis is not hindering the wine industry, the State of Oregon has experienced a 5-10% increase of wineries and liquor store visits, in a year or so. And across the U.S, the number is twice as much. Although the liquor store traffic has increased, it doesn’t reflect in the national average. As many people like to enjoy a nice glass of wine at the comfort of their own homes.
Both Wine and Weed Appeal to Different Demographics
Another important fact about these two products is they stand on their own as they appeal to different age groups. Marijuana wholesale distributors usually target the younger generation of age between 21-30 years, on the other hand, wine is mostly consumed by 30 years and above. This makes them two common products with two distinct set of consumers. I guess, there’s no sign of fear now..Lol. Moreover, the younger generation is now appreciating good wine, owing to the introduction of new wine packages.
Wine Goes Well with Food than Cannabis
Well, this is also true that cannabis legalization will only affect the low-priced end of the wine market rather than premium wine sale. The reason being, cannabis is used for relaxation and not with meals. Just like cigarettes, most families find it wired smoking pot on the table, well this is evident..nobody actually does that way. Marijuana is already popular in California and therefore its impact on wine will be very minimal. Since cannabis affects day-drinking, its impact on wine will be minimal since wine is usually consumed in the evening. Like usually.. I guess
So, in the end, I can say after judging from the three states that have federal cannabis legalization in place. Its quite evident that future of wine is still bright and there is no need to panic. These two common stimulants are establishing strongholds and they complement rather than competing with each other. So just stay relaxed and enjoy your drink! Cheers!