As concluded by several industry experts, this is actually a good time for businesses to explore ways to gain from the evolving cannabis consumer market. However, the change in consumer behavior must be considered.
The Opportunity: Integration of CBD in Daily Routine
Going back to the 2008 recession, it fundamentally changed consumers' behavior at the time. There was a shift away from professional services towards more practical products, as consumers adopted a ‘do-it-yourself’ attitude. Analogically, within the cannabis market today, as economic uncertainty amid the COVID-19 pandemic deepens, cannabis consumers might pivot away from high-end or more luxury perceived brands towards a more affordable product offerings. A "lipstick effect" of uncharacteristic high-end indulgence specifically within the purchase of cannabis goods is less expected (though possible...). As the expensive brands sales are expected to decrease, focus should be on solution that seamlessly integrate CBD in an affordable manner into consumers daily routine.