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How will Ohio’s cannabis market shape up as it transitions to adult-use recreational sales? Senior analyst Pablo Zuanic outlines in his recent report the potential growth and value creation for state multi-state operators (MSOs). Zuanic’s report provides crucial insights into the market dynamics and opportunities for significant returns for cannabis investors.
Ohio’s Cannabis Market Projections
Ohio is expected to begin recreational cannabis sales on or about July 1, 2024. Zuanic projects the market could grow fourfold within a year, reaching a total market size of $2.3 billion. This projection is based on an estimated $200 per capita spend, compared to other states like Arizona at $173, Maryland at $180, Missouri at $224 and Massachusetts at $250.
“We assume market share based on the future number of stores versus our projected market total by the end of year one. For example, eight stores would mean a 3.1% share of a total of 254,” Zuanic said.
He also notes that “the current medical program is underdeveloped compared to states like Florida and Pennsylvania, but low store density and high demand are expected to drive this substantial growth.”
These calculations consider Ohio’s unique market conditions, including low store density and anticipated high demand, which will likely result in tight initial supplies.
Ohio’s Cannabis Market Dynamics
