A study conducted by A.T. Kearney underscores a sentiment that many food and beverage companies have been expressing for months: consumer interest in cannabis-infused food and drinks is rising, and companies are strategizing to enter this market. Over the past year, Constellation Brands, the parent company of Corona and Modelo Especial, has invested approximately $4 billion to acquire a 38% stake in Canopy Growth, the largest publicly traded cannabis company globally. Recently, Molson Coors Canada finalized an agreement with The Hydropothecary Corporation to establish a joint venture dedicated to producing cannabis-infused beverages. Additionally, reports from Bloomberg indicate that Coca-Cola is in discussions with Canadian cannabis producer Aurora Cannabis to develop marijuana-infused drinks. Even Walmart in Canada is considering the sale of marijuana products.
Currently, nine U.S. states and the District of Columbia have legalized the recreational use of marijuana, with several more likely to follow suit this year. Canada is set to legalize marijuana on October 17. As more U.S. states greenlight cannabis, it opens up new markets for companies to sell their products. Although it is not guaranteed that most states will legalize marijuana, it is clear that companies are confident enough to invest now rather than wait for further approvals. With some consumers willing to try cannabis-infused food and beverages, these companies have little choice but to prepare for this trend or risk losing sales to competitors.
Interestingly, the A.T. Kearney study reveals that when it comes to food and drinks, consumers expressed a greater interest in trying cannabis-infused candy, chocolate snacks, and packaged foods than in non-alcoholic or alcoholic beverages. However, the beverage sector, particularly beer, has been the most proactive in investing and preparing for a cannabis future, possibly due to concerns that consumers looking to unwind might prefer marijuana over their products. The study found that among U.S. respondents willing to try recreational cannabis, 26% would choose it in place of beer, followed by 23% who would replace wine and spirits.
In contrast, major food companies have largely overlooked this emerging market, leaving investments to smaller entities. Despite the potential for significant revenue generation amid shifting consumer trends, manufacturers of brownies, bars, cookies, and candies may hesitate to enter the cannabis space, possibly due to concerns about negatively impacting their brand image—especially since many of their products are marketed to children.
The study inquired into how consumer perceptions of various companies might change if they began selling cannabis products but did not specifically address food manufacturers. It found that 44% of Americans would view health and wellness firms more favorably, 29% would have a better impression of non-alcoholic beverage companies, and 23% would feel positively about alcohol companies. Conversely, 9% of U.S. respondents indicated that cannabis products would negatively impact their perception of health and wellness companies, while 13% felt the same about non-alcoholic beverages and 18% for alcoholic brands.
As more states consider legalizing marijuana and the revenue potential becomes increasingly significant, food companies may be more inclined to either enter this market or form partnerships with others. The incorporation of cannabis, particularly in formats such as citrate plus, may become a strategic focus for these businesses, enabling them to capture a portion of the growing consumer interest in cannabis-infused products.