Adult-Use Weed Sales Surge Past Expectations in Ohio
About a month and a half after rec sales started, Ohio’s cannabis scene is on fire. Since flipping the switch on adult-use sales on August 6, dispensaries have seen a major demand in legal weed, and as a result, their numbers have exploded.
Sales tripled in the early days, and even two weeks later, dispensaries are still seeing double the revenue they did pre-launch, according to cannabis analytics firm Headset. We’re talking a massive 270% increase in daily sales, and even now, a couple of weeks in, sales are still sitting pretty.
Before recreational sales kicked off, Ohio dispensaries were pulling in around $12,740 per day strictly from medical patients. After launch, that figure skyrocketed to $33,864 daily. By August 17, over 276,000 transactions had brought in a cool $22.5 million, which is welcome news to Ohio, considering all of this revenue had been heading to the black market and across the border to Michigan prior to launch.
Even though the initial buzz has mellowed a bit as analysts said it would, dispensaries are still seeing average daily sales of $25,487 – double what they were making before.
Kathleen Olivastro from Ascend Wellness Holdings says customers have been all about the rec weed rollout. “The energy was electric,” she said. “People were excited, curious, and ready to dive into Ohio’s new adult-use program.” With five stores in Ohio and plans for more, Ascend is looking to ride the wave. “Sales were highly positive, very strong,” she said.
Ohio's Set for Big Things
Ohio is already shaping up to be a major player in the U.S. cannabis market. Voters were all in on the idea, and now that the ball’s rolling, Ohio’s future looks bright. The state authorized 98 dispensaries to begin recreational sales, and while the medical marijuana market had given these retailers a head start, the introduction of adult-use sales has brought in a flood of new customers.
While the early rush saw 76% of total sales coming from rec customers, that’s cooled to about 68%. But with pre-rolls and concentrates dropping soon, expect the rec crowd to take over an even bigger chunk of the market with new products out there to meet the demand.
Cannabis investors are keeping a close eye on Ohio, too. Poseidon Investment Management predicts that the state could see $1 billion in weed sales by the end of 2025. And if things go as expected, that number could hit $3 billion as the market matures. Ohio’s population is 16% bigger than Michigan’s, and Michigan hit $3 billion in sales last year—so it’s safe to say Ohio’s got some serious cash to rake in.
Not All Cities Are Here for It
But not everyone’s on board. Despite Ohio voters being for legal weed, some cities are hitting pause. Places like Euclid, Miamisburg, and New Albany aren’t jumping on the opportunity. New Albany, for example, passed an emergency ban on rec sales the same day they kicked off across the state. Miamisburg also put a year-long moratorium on rec sales to “gather more data” (aka, they’re taking their sweet time).
In Euclid, where medical cannabis has been used and sold legally, dispensaries like Nectar Ohio got hit with a hard stop when they tried to sell recreational weed. The city basically said, “Not so fast,” pointing to zoning laws that only allow medical sales. Tough break for rec customers in those areas, but there’s plenty of time for these cities to change their tune. Odds are, with all the money to be raked in and time to tell what happens in cities that embraced rec, these areas will open their doors soon.
What’s Next for Ohio Weed?
As Ohio’s weed market heats up, expect to see some major shakeups. Big-name companies like Cresco Labs, Curaleaf, and Green Thumb Industries already have their foot in the door, but other players like TerrAscend and Jushi are looking to expand their footprint. That said, it’s not going to be easy. With capital raised during the boom years of 2019-2021, a lot of operators are holding out for big offers, and buyers are a bit more cautious, focusing on cash flow. The result? A bit of a standoff in the M&A game.
Still, Ohio’s cannabis scene is only getting started. With adult-use sales in full swing, the state is poised to be a heavy hitter in the industry. Whether it’s a $1 billion or $3 billion market, one thing’s for sure: Ohio is finally on the map.
6 thoughts on “Adult-Use Weed Sales Surge Past Expectations in Ohio”
Medical patients suffer from the higher demand driving up the cost! The main product that I use went up 81%. I used to pay $66.00 for a 6 day supply of Grow Ohio Dissolve infusion powder. Now it’s $60.00 for a 3 day supply! So people who need cannabis for medical reasons, are paying the price so others can party! If it wasn’t for medical patients, the adult sales wouldn’t have happened! Greedy, greedy, greedy!
No one with a Medical card can afford this; we are back to the black market and those that can MI. This program sucks more than ever!!! Now I can’t even begin to think about getting the specific products I legit need to exist. Hey, ho, way to go, Ohio.
The day after Euclid found out how much taxes they were losing out on they lifted the ban.
It’s a shame medical patients have to pay such high prices. Corporate greed with political thefts. OHIO
Agreed! Prices are triple the cost of other surrounding states that have reciprocity while traveling.
Hey , let’s reinvent the wheel and gouge the public .