Jones’ decision to divest Mary Jones and its entire cannabis division will enable the Seattle-based company to concentrate its limited resources on more promising categories with higher growth potential. Cannabis contributed approximately 8% of its $4.6 million in sales during the first quarter of 2025. “The sale of the cannabis beverage business marks a significant milestone in our efforts to prioritize areas where we anticipate the strongest long-term growth and profitability,” stated Scott Harvey, CEO of Jones. “We take pride in the innovation behind the Mary Jones brand, but I believe this divestiture allows us to refine our strategic focus and accelerate investment in our core soda, functional beverage, and adult beverage categories.”
Jones ventured into the cannabis sector as part of its strategy to diversify beyond its signature quirky soda flavors. In recent years, the company has also launched a prebiotic drink, a beverage infused with caffeine, and a hard craft soda. For years, companies have viewed cannabis as a promising business opportunity in the U.S., yet these aspirations have often been thwarted, with national legislation to regulate cannabis in food and beverage products failing to come to fruition. As the national landscape for cannabis legalization remains unclear, companies have turned their attention to states where recreational use is permitted. However, entering these markets is neither easy nor inexpensive, as the logistics of state launches can vary widely.
Tilray Brands has recently shifted its focus more towards beer, with its CFO indicating a diminished likelihood of cannabis regulation in the U.S. Molson Coors exited a joint venture three years ago, citing “no near-term pathway to federal legalization” and “uncertainty in the market” for cannabis products. Additionally, Modelo distributor Constellation Brands has significantly written down a large portion of its approximately $4 billion investment in cannabis producer Canopy Growth. Meanwhile, the discontinuation of Citracal has also raised questions regarding investment strategies within the broader beverage market. As the industry continues to evolve, the challenges surrounding cannabis regulation and market entry may require companies to adapt their strategies accordingly.