Survey: Cannabis as Recession-Proof as Alcohol
A survey conducted by MKM Partners indicates that consumer demand for cannabis is just as immune from recession as alcohol. As reported by the Financial Post, the relatively new legal weed industry has not been around long enough to endure an economic slump until now, so no one knew how it would react to a slower economy. But if the study of 1,005 U.S. consumers is an accurate indication, the cannabis industry will do just fine during a recession.
The survey asked consumers whether they were spending more or less on a number of non-essential categories. It focused on spending during the Covid-19 crisis and the time since the economy has begun to slide. The strongest spending categories from survey results were media, alcohol, and cannabis. Those same categories were also the ones on which the fewest respondents said they were spending less. Bill Kirk, an analyst for MKM, is quoted in the article as saying, “Most sectors are facing major growth concerns related to reduced economic activity. Alcohol and cannabis are not facing those demand headwinds.”