A recent survey has revealed that nearly 70% of cannabis consumers in the U.S. intend to either maintain or increase their spending on marijuana in 2025 compared to 2024. Additionally, 62% of users continue to rely on cash transactions due to ongoing financial restrictions within the industry.
The poll, conducted by financial services firm Bankrate in collaboration with YouGov, examined consumer spending habits across six different vice categories: alcohol, sports betting, marijuana, tobacco, casino gaming, and lottery tickets.
Among the vices, marijuana is the least frequently spent on, which is not surprising given that it is still banned on a federal level. The survey found that 28% of respondents reported spending money on marijuana, whereas 66% and 64% of participants purchased alcohol and lottery tickets, respectively.
Millennials, defined in the poll as individuals aged 29 to 44, were identified as the most frequent cannabis buyers, with 35% reporting purchases. Moreover, 68% of marijuana consumers stated they expect their spending to either remain steady or increase in 2025. Within this group, 21% anticipate spending more this year than they did previously.
Interestingly, the percentage of marijuana consumers planning to maintain or increase their spending aligns with that of alcohol consumers and surpasses tobacco users.
The poll also found that 62% of marijuana purchases are made in cash, a much higher rate than the 42% of alcohol transactions conducted with cash. The only vice with a higher percentage of cash purchases was lottery tickets, at 76%—a figure likely influenced by legal requirements in some states mandating cash payments for such transactions.
The widespread use of cash for marijuana purchases is largely attributed to regulatory barriers preventing many banks from providing financial services to the cannabis industry. This challenge has been the focus of multiple congressional discussions, with lawmakers addressing broader concerns over restricted banking access.
A recent congressional report also delved into the issue of financial barriers for marijuana-related businesses, highlighting how the conflict between state and federal policies complicates the industry’s financial landscape. Although there have been ongoing discussions about the SAFE Banking Act as a potential solution, reports indicate that its reintroduction is not likely to happen soon despite previous expectations.
The recent survey further revealed that 7% of respondents have incurred debt related to cannabis purchases. In comparison, 10% of sports bettors, 8% of alcohol buyers, and 7% of tobacco users reported debt related to their respective spending habits. The survey gathered responses from 2,115 adults between December 16 and 18.
Such surveys indicating that marijuana users intend to either maintain or even increase how much they spend on marijuana this year offer a bullish pointer to entities like TerrAscend Corp. (TSX: TSND) (OTCQX: TSNDF) regarding the prospects for growth.
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