The era of “high THC, nothing else matters” is over. A new trend is emerging that fuels the growing premium cannabis market, where locally-grown, small-batch flower is preferred over mass-produced options.
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Table of Contents
Key Takeaways
- Craft cannabis is redefining industry standards by focusing on quality rather than quantity.
- Craft cannabis differs from commercial cannabis through small-batch production, organic farming practices, a focus on unique strains, and strict quality control.
- The rise of craft production is transforming the cannabis landscape, with consumers showing loyalty to premium brands while larger companies shift towards small-batch cultivators.
High-Quality Craft Cannabis
High-quality craft cannabis is establishing itself as a symbol of excellence and innovation within the industry, setting new benchmarks for potency, flavor, and variety. With careful cultivation methods and a commitment to small-batch production, craft growers provide products that are free of contaminants and rich in unique strains like Miracle Alien Cookies.
In British Columbia, the hub of top-notch craft cannabis, an enthusiastic community of cultivators is changing perceptions and pushing the limits of what is possible.
Craft Cannabis vs. Commercial Weed
| Craft | Commercial |
| Produced in small batches by local growers | Grown in large-scale operations |
| Cultivated using organic or sustainable farming practices | Utilizes synthetic fertilizers and pesticides |
| Emphasizes unique strains with distinct flavors and effects | Focuses on popular strains for mass-market appeal |
| Quality control is prioritized with personalized care | Quality control may be less stringent due to high production volume |
| Growers possess deep knowledge and passion for their product | Large scale can limit personal knowledge of the product |
| Products undergo rigorous testing for consistency and quality | Testing protocols may vary, with some products not receiving thorough scrutiny |
What is a AAAA Craft?
Quality Control
Growers meticulously monitor each plant, ensuring they receive precise nutrients and care throughout their growth cycle. Every bud is hand-trimmed with precision—no shortcuts or mechanical processes that could compromise the final product’s integrity.
Craft growers also emphasize curing, allowing buds to dry slowly in controlled environments.
Small Batch Sizes
By nurturing limited quantities, growers can closely observe each plant’s development, ensuring proper water, nutrients, and care.
Maintaining small batches also allows producers to uphold higher cleanliness and health safety standards, applying organic composts and natural fertilizers more effectively than larger operations.
Grown by Organic Methods
Craft cannabis is cultivated using organic practices, including natural fertilizers and composts, optimizing plant potential while minimizing its carbon footprint.
By prioritizing sustainability, craft producers promote environmental responsibility and deliver products that align with eco-conscious cultivation principles.
Differences in Potency
Craft cannabis boasts higher potency than commercial cannabis due to the careful selection and breeding of specific strains. Growers focus on maximizing cannabinoid and terpene content, resulting in more potent and flavorful products.
This attention to detail and genetic manipulation allows craft cannabis to provide a more intense and unique experience for consumers, meeting the demand for high-quality, potent marijuana.
How Craft Cannabis is Changing the Industry
Consumers are increasingly loyal to craft and premium brands due to perceived consistent quality. Consequently, large Canadian cannabis producers are shifting towards small-batch cultivators to meet the growing demand for high-quality “premium” marijuana products.
Partnerships and acquisitions between major licensed producers and craft companies are on the rise. Larger companies are learning from smaller craft producers, who are evaluated based on their cultivation techniques, finishing methods, team expertise, and regulatory compliance.
The overall focus is shifting from mass production to quality, with craft cannabis gaining momentum in the Canadian market.
Market Potential
Market research predicts a compound annual growth rate (CAGR) exceeding 25% for the craft cannabis market in the coming years. This positive forecast is driven by evolving consumer preferences for higher-quality products and the expanding acceptance of cannabis in various global regions.
Market Analysis by Types
- Dry: Traditional flower buds consumed by smoking or vaporizing.
- Oil: Extracted oils used for various purposes, including edibles or concentrates.
- Other products: Includes topicals, capsules, tinctures, and more, catering to diverse consumer preferences.
Market Industry Research
- Recreational market: Growers focus on cultivating high-quality strains with distinct flavors and effects, appealing to many enthusiasts.
- Medical market: Craft is produced to offer therapeutic benefits to patients, adhering to strict quality standards.
Emerging Trends in Global Craft Cannabis
- Growing demand for organic and sustainably produced cannabis products, promoting natural cultivation practices.
- Increased emphasis on quality and unique strain varieties, with consumers seeking differentiated and premium products.
- The rise of cannabis-based wellness and medicinal products as more countries embrace it for medical purposes.
- A shift toward direct-to-consumer sales and online platforms, exploring innovative extraction techniques to enhance product potency and purity.
Major Market Players
Canopy Growth Corporation
Canopy Growth stands as a leading entity in the craft cannabis market. Established in 2013 and based in Ontario, Canada, it has experienced remarkable growth, becoming a global industry leader with an estimated market size in the billions. In its latest fiscal year, the company reported sales revenue of around $399 million.
Aurora Cannabis Inc.
Located in Alberta, Canada, Aurora has undergone substantial expansion both domestically and internationally, evolving into one of the world’s largest cannabis companies, with a market size in the billions and approximately $249 million in sales revenue in its most recent fiscal year.
Cronos Group Inc.
Founded in 2012, Cronos Group is a globally diversified cannabis company based in Ontario, Canada. It has played a pivotal role in the craft cannabis market and has experienced significant market growth, with an estimated market size in the billions and sales revenue of approximately $108 million in its latest fiscal year.
Why Commercial Cannabis is Losing
- Existential Pricing Challenge: The decreasing prices of marijuana present an existential challenge, with thin margins impacting growers, retailers, and other stakeholders.
- Market Saturation in Mature Markets: Regions with established cannabis programs may be reaching “peak weed,” where lower prices fail to attract new buyers, leading to tight profit margins.
- Strategic Responses: Companies are addressing pricing challenges through deep merchandising and price strategies, adopting a store-by-store approach to adapt to market dynamics.
- Impact on Sales and Growth: Falling prices have led to declining sales in some markets, despite efforts to stimulate demand through deals and promotions.
Craft Cannabis: High Quality Products
The rise of craft production is transforming the cannabis industry, emphasizing quality over quantity. This shift is prompting larger companies to pivot towards small-batch cultivators and driving partnerships and acquisitions within the sector. Despite facing challenges like pricing pressure and competition from the black market, the craft market shows promising growth potential, fueled by changing consumer preferences.
Frequently Asked Questions
What are the Best Craft Strains?
While the “best” strains are subjective, popular choices feature unique terpene profiles, providing distinctive flavors and effects.
Can I Grow Craft Cannabis Myself?
Yes, with the right knowledge and resources, growing craft cannabis at home is achievable. Emphasizing organic practices, careful strain selection, and attentive care is crucial for producing craft-quality cannabis.
What is Craft Cannabis in Ontario?
At the OCS, craft is defined as dried flower that is hang-dried, hand-trimmed, hand-packaged, and grown in a small-batch facility (producing less than 10,000 kg of dried cannabis annually).
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