The Cannabis Beverage Market comprises non-alcoholic drinks infused with cannabidiol (CBD) or tetrahydrocannabinol (THC) which provides several health advantages. Cannabis beverages help relieve pain, reduce anxiety and depression, ease inflammation and other symptoms.
The Global Cannabis Beverage Market is estimated to be valued at US$ 630.64 Bn in 2024 and is expected to exhibit a CAGR of 8.2% over the forecast period 2024 to 2031.
Key Takeaways
Key players operating in the Cannabis Beverage Market are IBM Corporation, Microsoft Corporation, SAP SE, and Oracle Corporation. Key players are focusing on partnerships and new product launches to strengthen their market position. IBM Corporation launched Cannabis 360 to help regulators and businesses.
The growing demand for Cannabis Beverage Market Demand infused beverages is due to increasing consumer preference for natural alternatives to manage health issues. Cannabis drinks are popular among millennial for recreational purposes which is fueling market growth.
The Cannabis Beverage Market is expanding globally due to increasing legalization of medical and recreational cannabis across countries. Canada fully legalized adult-use cannabis in 2018 generating huge market opportunities. Several US states have also legalized medical and recreational cannabis boosting international trade.
Market Key Trends
One of the key trends in the Cannabis Beverage Market is the launch of CBD infused beverages by mainstream beverage companies. Coca-Cola and Constellation Brands are exploring opportunities in the cannabinoid market.they see huge potential as CBD gains mainstream acceptance. This kind of collaboration will expand the market reach and bring more consumers into the category.
Porter’s Analysis
Threat of new entrants: The threat of new entrants is low due to large investment required and established brand recognition of existing players.
Bargaining power of buyers: The bargaining power of buyers is high due to availability of substitutes and undifferentiated products.
Bargaining power of suppliers: The bargaining power of suppliers is moderate due to availability of alternative supplier options.
Threat of new substitutes: The threat of Cannabis Beverage Market Size And Trends new substitutes is high as there are many alternative beverage options available for customers.
Competitive rivalry: Competitive rivalry is intense among existing competitors.
North America accounts for the largest share in terms of value due to growing consumer awareness about cannabis-infused products and presence of major manufacturers in the region. The U.S. is expected to dominate the North America cannabis beverage market over the forecast period due to wider product availability and growing acceptance rate for cannabis.
Europe is expected to be the fastest growing market for cannabis beverage due to favorable regulatory environment and increasing research& development activities in the field of cannabis compound usage in food and beverage products. Countries like Germany, United Kingdom, Italy and Netherlands are anticipated to boost the regional market over the forecast period.