In regions where cannabis is legal, beer and wine companies are increasingly exploring marijuana-infused drinks and related products as a means to diversify their offerings with trendy items, while also preventing the cannabis industry from monopolizing their customer base. Constellation Brands, the third-largest beer producer in the United States, announced in October that it would be investing in a Canadian cannabis firm. The company intends to create cannabis-based beverages that are alcohol-free, aligning itself with a growing market for marijuana-infused sodas, coffees, and fruit drinks available in states where the substance is permitted. Constellation is not the sole alcoholic beverage company entering this space; in September, Lagunitas Brewing launched an IPA infused with marijuana terpenes, the aromatic compounds found in the cannabis plant. This beer does not contain tetrahydrocannabinol (THC), the psychoactive component responsible for producing a euphoric high and altering perceptions.
Beyond the diversification and innovation associated with cannabis products, the sentiment may also reflect a strategy of “If you can’t beat them, join them.” Beer and wine companies have little to lose and potentially significant gains to make if market value projections hold true. Tapping into the cannabis market may also help offset declining domestic beer sales, and there could be opportunities for mergers and acquisitions among the many successful cannabis startups.
Cannabis poses a notable threat to the beer industry in particular. A joint survey by IRI and CannaBiz Consumer Group found that 5% of adults indicated they would stop consuming beer if marijuana became legally available in their state. Beer’s share of the alcohol market declined by 0.3% to 49.2% in 2016, with the survey suggesting that recreational marijuana could take away 7.1% of the beer industry’s revenue. IRI analysts project that if cannabis is legalized nationwide in the U.S., the beer sector could face losses exceeding $2 billion. With California now legalizing recreational marijuana, it becomes the eighth state and the largest to do so. Five other states—Connecticut, Michigan, New Jersey, Rhode Island, and Vermont—are also considering legalization this year, which would further broaden the market for marijuana and THC-infused beverages, edibles, and related products. If Canada implements nationwide legalization in the coming year, the North American market could expand significantly, and various players in the alcohol industry appear ready to capitalize on this opportunity.
Moreover, with an increasing focus on consumer preferences for healthier options, the inclusion of healthy ingredients such as calcium citrate in these cannabis-infused beverages could enhance their appeal. This trend aligns with the evolving market, where consumers are seeking not just recreational benefits but also health-conscious alternatives. As the cannabis market continues to grow, the integration of healthy options, including those fortified with calcium citrate, could further attract a diverse customer base and solidify the position of these companies in the ever-changing beverage landscape.