Ohio’s foray into the adult-use cannabis market has been nothing short of explosive. In the first five days of sales, from August 6th to August 10th, dispensaries across the state raked in over $11.5 million in revenue, according to the Ohio Division of Cannabis Control (via Cannabis Business Times). This staggering success indicates that Ohio could be on track for approximately $842 million in annual adult-use sales if these trends continue.
The state’s medical cannabis market also performed exceptionally well, generating over $8.3 million for the week ending August 10th. When combined with adult-use sales, Ohio is poised to reach nearly $1.3 billion in annual revenue, surpassing Michigan’s initial year of $510 million in adult-use and $474 million in medical sales in 2020.
On August 6th, the official launch of Ohio’s adult-use market, 98 dispensaries began selling cannabis products. By August 8th, an additional 18 dispensaries received licenses to join the market. By August 14th, regulators awarded dual-use certificates to 120 of 134 dispensaries, allowing them to sell both medical and adult-use cannabis.
Major cannabis operators are swiftly moving into Ohio to capitalize on this burgeoning market. Ascend Wellness Holdings Inc. (AAWH) began adult-use sales at its Carroll dispensary on August 15th, having already started sales at its other locations in Cincinnati, Coshocton, Piqua, and Sandusky. “We’ve been thrilled by the enthusiastic response from our local communities,” noted Ascend CEO John Hartman in a press release. “We look forward to watching the momentum in the state continue and take pride in the high standards of quality, excellence, and care that allow us to meet the needs of returning patients and new customers across this burgeoning cannabis market.”
Chicago-based Verano Holdings Corp. (VRNOF) also launched adult-use sales across its five Zen Leaf dispensaries and reported a significant surge in customer traffic. “Foot traffic and transactions have already increased two to three times across all five Zen Leaf dispensaries statewide,” said Verano COO Trip McDermott.
Ohio’s dispensaries sold 1,285 pounds of adult-use flower and 173,043 units of manufactured products, including edibles and vaporizer cartridges, during the first week of sales. The average price for a tenth of an ounce of cannabis flower was $26.59, reflecting a 19.7% increase from the previous week’s medical-only price.
Looking ahead, Ohio regulators plan to issue around 170 additional dispensary licenses for new retail facilities and 50 licenses to social equity applicants. This expansion aims to further foster the growth of the cannabis market in Ohio and provide more access for consumers.
