Millennials Dominate the Growing Cannabis Pre-Roll Market

Millennials, currently the largest generation in the United States, are significantly reshaping consumer spending trends, particularly in the cannabis industry. A recent study reveals that this age group leads the charge in the pre-roll segment, accounting for nearly half of the $3 billion market.

This emerging dominance underscores the evolving preferences of cannabis consumers and highlights how millennials’ buying power and lifestyle are influencing the broader cannabis landscape.

Millennials: A Driving Force in Pre-Roll Consumption

Millennials, born between 1981 and 1996 and now aged 28 to 43, represent 45% of all pre-roll sales. This demographic’s purchasing power and lifestyle preferences make them uniquely positioned to fuel the growth of the pre-roll market.

In September alone, millennials spent $103.9 million on pre-rolls, amounting to 44.6% of total pre-roll spending. Compared to other generations, millennials are at a financial and social sweet spot that allows them to prioritize recreational cannabis consumption.

Cannabis Consumption Across Generations

While millennials dominate the market, other age groups also play significant roles in cannabis consumption:

Generation X (1965–1980): Accounted for 24.3% of pre-roll spending in September, spending $56.7 million.

Generation Z (1997–2012): Made up 18.5% of spending, totaling $43.2 million.

Baby Boomers (1946–1964): Contributed $29.2 million, representing 12.5% of spending.

Despite generational differences, pre-rolls are a unifying product, enjoyed by consumers across all age groups.

Pre-Rolls: A Fast-Growing Segment

The pre-roll segment has seen explosive growth, with 82% of cannabis consumers purchasing these products. Sales revenue for pre-rolls has surged by over 450% in the past five years, reaching $3 billion.

Why the Boom?

Convenience: Pre-rolls are ready to use, eliminating the need for rolling skills or accessories.

Accessibility: Retailers often position pre-rolls as add-on purchases, enhancing their appeal for immediate consumption.

Diverse Offerings: Infused pre-rolls and premium options with filter tips cater to varying consumer preferences.

Market Dynamics: Price vs. Potency

A notable disconnect exists between cannabis businesses and consumer expectations. The study found that businesses perceive price as the primary driver of purchasing decisions. However, consumers prioritize potency, favoring high-THC products over lower-cost options.

This preference explains the growing popularity of infused pre-rolls, which consistently offer higher potency. These products cater to consumers seeking a premium cannabis experience, driving demand for innovative and high-quality pre-roll options.

Declining Prices and Rising Value

The average price of a pre-roll has been steadily declining. In September 2022, the equalized price per gram was $8.13, but recent data shows it has dropped to $6.44. This trend reflects increased competition and market maturity, making pre-rolls more accessible while maintaining strong sales momentum.

Despite declining prices, consumers are spending more on premium products, indicating a willingness to invest in quality over cost savings.

Popular Pre-Roll Brands in the Market

Three major brands dominate the pre-roll landscape:

Jeeter: The top-selling brand, with $504.2 million in sales over the past two years, holds an 8.8% market share. Jeeter products are available in California, Arizona, Massachusetts, and Michigan.

Stiizy: Ranked second, this California-based brand sold 43.4 million pre-rolls for $320.9 million.

Dogwalkers: Known for pioneering the mini pre-roll, this brand placed third with $141.6 million in sales from 6.1 million units sold.

These brands exemplify the diversity and innovation driving the pre-roll market, offering products that cater to a range of consumer preferences.

Pre-Roll Packaging Trends and Usage

The study highlights significant trends in packaging and consumption patterns:

Single Pre-Rolls: Full-size, 1-gram pre-rolls are the most popular. Consumers typically purchase these for immediate use, often as an add-on to other cannabis products.

Multipacks: Half-gram pre-rolls are commonly sold in multipacks, catering to consumers seeking convenience and variety.

Retailers and manufacturers are adapting to these preferences by offering packaging options that align with consumer behaviors.

Consumption Methods: Why Pre-Rolls Thrive

Although flower remains the most popular cannabis product, pre-rolls are the preferred consumption method for many users. Unlike raw flower, which requires additional preparation, pre-rolls offer a ready-to-use solution that appeals to both new and seasoned consumers.

Beyond convenience, pre-rolls provide a communal experience. Whether shared among friends or enjoyed solo, pre-rolls fit seamlessly into a variety of social and personal settings.

Gender Dynamics in Cannabis Purchases

Men account for the largest share of pre-roll purchases across all generations. However, this trend doesn’t necessarily reflect consumption patterns.

It’s likely that men are often responsible for purchasing cannabis on behalf of households. This aligns with broader spending trends, where women typically control day-to-day purchases, but men take the lead in specific categories like cannabis.

Pre-Rolls: A Bright Spot in the Cannabis Industry

The pre-roll market represents a dynamic and fast-growing segment of the cannabis industry. With millennials leading the charge, the market is poised for continued growth, driven by evolving consumer preferences, innovative products, and expanding accessibility.

As more brands enter the space and competition intensifies, the focus will likely remain on delivering high-quality, potent, and convenient options that resonate with a diverse range of consumers.

Millennials’ influence on the pre-roll market is undeniable, reshaping consumption trends and driving innovation. With demand showing no signs of slowing, pre-rolls are set to remain a cornerstone of the cannabis industry for years to come.

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