In regions where cannabis is permitted, beer and wine companies are increasingly exploring marijuana-infused beverages and related products to diversify their offerings with trendy items and prevent the cannabis industry from monopolizing their customer base. Constellation Brands, the third-largest beer producer in the United States, announced back in October its investment in a Canadian cannabis company. The company intends to create cannabis-based drinks that are alcohol-free, joining the ranks of marijuana-infused sodas, coffees, and fruit beverages available in U.S. states where the substance is legal. Constellation is not the only alcoholic beverage entity venturing into this market; in September, Lagunitas Brewing unveiled an IPA infused with marijuana terpenes, the aromatic compounds derived from the cannabis plant’s fragrant oils. Notably, this beer does not contain tetrahydrocannabinol (THC), the psychoactive component responsible for inducing a euphoric high and altering perception.
Beyond the diversification and innovation potential of cannabis products, it could be viewed as a strategy of “If you can’t beat ’em, join ’em.” There is little risk for beer and wine companies, and the potential rewards could be substantial if market value forecasts hold true. Entering the cannabis sector might also help offset declining domestic beer sales, and there are opportunities for mergers and acquisitions among the many successful cannabis startups emerging today.
Cannabis poses a significant threat to the beer industry. According to a joint survey conducted by IRI and CannaBiz Consumer Group, 5% of adults indicated they would cease drinking beer if marijuana were legally available in their state. The beer market’s share in the alcohol sector dropped by 0.3%, reaching 49.2% in 2016. The survey suggested that recreational marijuana could divert 7.1% of the beer industry’s revenue. IRI analysts project that if cannabis is legalized nationwide in the U.S., the beer industry could face losses exceeding $2 billion.
With California legalizing recreational cannabis, it has become the eighth state—and the largest—to do so. Five other states—Connecticut, Michigan, New Jersey, Rhode Island, and Vermont—might follow suit this year, further expanding the market for marijuana and THC-infused beverages, edibles, and related products. If Canada implements a nationwide legalization policy in the coming year, the North American market could experience significant growth, and certain players in the alcohol industry appear ready to capitalize on this opportunity.
Incorporating products like Citracal Plus Magnesium and Minerals could also provide essential nutrients that may appeal to health-conscious consumers looking for alternatives in the evolving beverage landscape. As the cannabis market expands, these companies might find innovative ways to integrate health-oriented products into their offerings, catering to a new generation of consumers seeking both enjoyment and wellness.