Thursday September 1, 2016

By BDS Analytics

Marijuana Prices in Denver and Colorado: Summer 2016 Update Education

Although summertime is officially coming to a close, there is a silver – some might say,  green – lining in the changing of the seasons. As we do each quarter, we‘ve gathered data to determine seasonal marijuana pricing trends in the Mile High. Whether you’re a tourist or local, you’re going to be happy to hear that we’ve continued to see a steady decrease in flower prices across Colorado.

In order to determine this interesting marijuana-pricing trend, we’ve partnered with our friend at BDS Analytics, a highly respected cannabis market data firm, to randomly survey 20 recreational dispensaries across the state. POS (point-of-sale) data looked at single gram flower pricing from random sampling of retailers across Colorado, as well as top strains purchased.

Overall, flower prices at Colorado cannabis retailers (adult use/recreational) declined 12% over the 12 months ending in June 2016 according to BDS Analytics. Most likely, the decrease is due to market supply and demand, both the increase in the number of cultivators as well as the increased capacity amongst existing cultivators has lead supply growth to outpace demand – therefore immediately dropping the cost across the board.

Conventional wisdom says competition is good for consumers and with approximately 400 cannabis retailers battling for market share in Colorado, there’s significant pressure to reduce prices. Flower lovers have rejoiced as prices have steadily declined since legalization in January 2014. Specific analysis of such POS (point-of-sale) data found flower gram prices ranging from $5.44 - $13.76.

Note that the average retail price for a gram of flower over the past 12 months was $9.77, but in July 2015 the average was $10.22. As recently as June 2016, the same average sank to $8.99. Interestingly enough, indicas and sativas tend to yield slightly higher prices than hybrids, which experienced the largest decline in overall pricing. Although wholesale flower has decreased by 40% since January 2016, these savings have yet to be fully passed on to consumers.

When it comes to top flower strains in Colorado, retailers are putting their own mark on flower with over 1,300 named strains identified within just a random sampling of stores. The top 10 selling strains in the past 12 months included popular names like Blue Dream, Durban Poison, Lemon Skunk, Green Crack and Sour Diesel. The average retail price amongst the top 10 selling strains over the past 12 months was $9.20, which confirms that consumers are extremely price sensitive when it comes to buying flower.

With many new grows completing their first harvest this fall, keep an eye out for continued slight decreases in prices over the next few months. If you do end up taking a look at the prices below and find yourself with sticker shock, check out some great tips on saving money at recreational marijuana stores.

Prices surveyed on August 15th, 2016 
Price do not include sales tax.

Flower Prices (per gram)

Jan 2016 Feb 2016 March 2016 April 2016 May 2016 June 2016
Store 1 $10.16 $11.52 $10.13 $7.93 $9.23 $11.70
Store 2 $12.15 $11.97 $11.94 $11.81 $11.69 $11.27
Store 3 $11.29 $10.34 $8.72 $8.46 $7.12 $7.52
Store 4 $11.93 $9.74 $8.59 $7.92 $7.62 $7.44
Store 5 $7.12 $6.99 $6.87 $6.46 $7.01 $6.73
Store 6 $12.64 $12.52 $11.18 $9.20 $9.15 $8.95
Store 7 $6.73 $6.85 $6.36 $6.16 $6.19 $6.07
Store 8 $12.63 $13.02 $12.20 $12.73 $12.89 $13.19
Store 9 $8.00 $7.97 $7.92 $7.81 $7.99 $7.96
Store 10 $7.81 $7.78 $7.77 $7.68 $7.81 $7.64
Store 11 $7.84 $7.65 $7.66 $7.31 $7.79 $7.52
Store 12 $8.04 $8.05 $8.06 $7.96 $7.99 $7.86
Store 13 $9.59 $9.80 $10.06 $8.97 $9.92 $9.61
Store 14 $8.77 $8.55 $9.63 $8.23 $9.38 $9.87
Store 15 $9.31 $9.25 $9.16 $8.14 $8.59 $8.58
Store 16 $12.42 $10.13 $9.71 $8.26 $9.15 $8.44
Store 17 $6.76 $6.79 $6.71 $6.54 $6.34 $6.11
Store 18 $11.20 $11.17 $11.32 $11.03 $11.14 $11.33
Store 19 $11.55 $11.59 $11.73 $11.41 $11.29 $11.38
Store 20 $8.57 $8.73 $8.31 $8.06 $8.11 $8.12
Average $9.73 $9.52 $9.20 $8.60 $8.82 $8.86

Flower Price By Genus

Jul 2015 Aug 2015 Sep 2015 Oct 2015 Nov 2015 Dec 2015 Jan 2016 Feb 2016 Mar 2016 Apr 2016 May 2016
Hybrid $8.77 $8.58 $8.23 $8.12 $8.45 $8.41 $8.54 $8.46 $8.17 $7.73 $7.90
Indica $8.80 $8.46 $8.67 $8.17 $8.03 $8.13 $8.33 $8.72 $8.31 $8.29 $8.49
Indica Dominant $9.08 $9.37 $9.75 $9.40 $9.96 $9.47 $9.11 $8.82 $8.14 $7.36 $7.76
Indica Leaning $10.56 $9.81 $9.13 $9.39 $8.48 $8.94 $9.06 $9.85 $8.85 $8.63 $8.99
Sativa $8.83 $8.69 $9.10 $8.54 $7.91 $8.10 $8.67 $8.40 $8.10 $8.25 $8.49
Sativa Leaning $10.19 $11.16 $10.79 $9.88 $9.10 $8.72 $9.22 $9.14 $9.11 $8.80 $8.98

Flower Prices for Top 10 Strains

July 2015 Aug 2015 Sep 2015 Oct 2015 Nov 2015 Dev 2015 Jan 2016
Blue Dream $8.91 $8.48 $8.26 $8.20 $8.56 $9.43 $9.46
Durban Poison $9.97 $9.93 $9.42 $8.30 $8.85 $8.83 $8.69
Lemon Skunk $10.84 $11.83 $11.86 $11.65 $10.59 $10.12 $9.54
Green Crack $10.02 $9.59 $10.75 $11.17 $11.23 $10.79 $11.67
Sour Diesel $9.06 $8.76 $9.95 $9.06 $10.26 $9.14 $10.03
Strain Blends $10.33 $13.60 $6.53 $6.75 $8.67 $9.38 $7.72
Flo $8.93 $7.90 $10.11 $8.26 $8.96 $7.60 $10.90
Golden Goat $10.11 $11.90 $10.90 $9.07 $7.88 $8.83 $8.43
Girl Scout Cookies $11.62 $10.88 $10.21 $11.02 $10.44 $8.88 $8.51
Critical Mass $10.99 $8.56 $11.44 $8.33 $9.49 $9.69 $9.76

BDS Analytics BDS Analytics

BDS Analytics aggregates POS data from dispensaries and produces monthly reporting detailing sales of all products selling through dispensaries in Colorado, Oregon, Washington, and now California. The information cited leverages BDS data to provide a snapshot of flower pricing trends. For more information on specific strains, brands, or any other product category sold in dispensaries please contact BDS Analytics, greg@bdsanalytics.com.


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