Coronavirus Spikes Demand For Cannabis Delivery As People Stockpile Products.

Posted On March 20, 2020 at 4:08 pm by / 1 Comment

This was driven by a modest increase in total sales transactions (about 6 percent increase in tickets) and a large increase in the average amount of weed each consumer was purchasing. The average amount consumers spent on their cannabis purchases on Sunday were $33.70 before taxes, up 22 percent over the prior week and 28 percent compared to the monthly total transaction amount seen in January and February of this year.

The increase in average basket size was driven by consumers who felt the desire to stock-up, Headset found. Over 21 percent of baskets amounted to a bill greater than $50 (before taxes), which compares to only 16 percent the week before.

While the data for the month is still being collected, cannabis companies across the country have confirmed a rise in sales and weed deliveries. 

Some theories as to why: Many consumers are stockpiling products perhaps because, much like toilet paper, cannabis goes pretty quickly. In addition, consumers are using cannabis to deal with the mounting anxiety and potentially trauma-triggering fears that a pandemic brings with it. 

“We’ve seen a slight increase in sales over the last two weeks as news of COVID-19’s impact on our community continues to spread,” says Amanda Denz, co-founder and CEO at MCM , a San Francisco-based delivery company that caters to the northern region of the state. “While our average order value usually holds pretty steady, we’ve seen an increase to that as well in March. Anecdotally, we’re noticing people buying multiples of the same item, but haven’t fully digested the data from March yet, as the month is still ongoing.” 

Weed deliveries up

Sales aren’t the only thing going up in the cannabis industry. With social distancing the new social norm, weed delivery is on the rise. 

Tokgr, a Los Angeles-based delivery service, reports a delivery increase weed delivery of 287 percent since March 12, 2020. The company also says that its average cart size has tripled. “People are really stocking up anticipating they will be home for an extended period of time,” a Tokr representative tells Mega cannabis Dispensary management. Its drivers also remain 6 feet from all consumers during delivery transactions, Tokr says.

Steve Allan, President ofCaliva, reports a spike-level increase in delivery service during the month of March. “Yes, so far in March our delivery business is seeing double-digit growth. We have seen an increase in our delivery services across all of our locations, with record-breaking sales over the past two weeks.”

“We know that many cannabis users rely on our products and services for their ongoing well-being, so having a delivery option that can continue to service them during these unprecedented times is something we’re proud to keep up and running,” says Allan, adding that, “the safety of our own employees and our community is front of mind.”

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