Oregon cannabis retailers are struggling. According to the Oregon Liquor Control Commission, cannabis demand is declining throughout the state. This is bad news for cannabis retailers, who are already facing stiff competition from the black market. In this blog post, we will take a closer look at Oregon’s cannabis demand and what this means for cannabis retailers.
Why is Oregon’s cannabis market declining?
One of the main reasons for the decline in cannabis demand is Oregon’s improving economy. As unemployment rates drop and people start to earn more, they are less likely to purchase cannabis from retailers. Another reason for the decline is that many cannabis buyers are now relying on government benefits, which have run out. And as a result, people are no longer able to afford cannabis products from retailers.
Cannabis retailers in Oregon need to find a way to attract more customers if they want to survive. One way to do this is by offering lower prices and better quality products. Cannabis buyers are also looking for retailers who offer a wide variety of products. If operators can meet these needs, they will be more likely to succeed in the Oregon cannabis market. Therefore, cannabis retailers in Oregon need to find a way to attract more customers if they want to survive. One way to do this is by offering lower prices and better quality products. Cannabis buyers are also looking for retailers who offer a wide variety of products.
Market Comparison
Cannabis prices in Oregon are dropping to lows we haven’t seen since the onset of the pandemic. According to Cannabis Benchmarks, both adult and medical sales has decreased by more than 15% and 30%, respectively since last year. And retail operators are feeling the impact on their bottom line. While production continues to slowly expand, it definitely won’t be at the rate originally anticipated.
Check out our interactive map on our website to compare Oregon with other medical and recreational cannabis markets across the country. While Oregon was one of the earliest states to legalize medical cannabis, a lot has changed in the market since. The state is the 7th largest in the country, and yearly sales exceed 1 billion dollars. Although the current market is maturing, it has attracted recent big business deals.
Next Steps
To learn more about the impacts of the Oregon market, reach out to our team of financial experts at GreenGrowth CPAs. We are here to help your cannabis venture through any level of the accounting, tax filing, or business cycle.
In addition, we employ several financial programs that can assist the company with its fiscal responsibilities including, tax planning and compliance, outsourced CFO support, audit preparation, tax controversy support, and much more.
For recommendations and assistance with tax planning and accounting services, schedule a free consultation or contact us at 1-800-674-9050.