Zuanic & Associates has recently released a report that reveals the top performers in the flower segment of the Canadian cannabis market. The report provides insights into their market shares, pricing strategies, and overall success in the second quarter of 2023.
Tilray (including HEXO) TLRY ranks first among the market leaders in the flower segment, followed by Village Farms International, Inc. VFF in second place. Organigram OGI, BZAM (including TGOD), Cronos CRON, and Auxly XLY also hold significant positions in the market.
Interestingly, only BZAM and Village Farms International managed to maintain or surpass the average market prices, while the others fell below the average.
Pablo Zuanic, a renowned analyst from Zuanic & Associates, will be a featured speaker at the upcoming Benzinga Cannabis Capital Conference in Chicago on September 27 and 28. Attendees can expect to gain valuable insights from his wealth of knowledge.
The Battle for the Top Spot: Tilray Vs. Village Farms International
Tilray currently holds a 14.0% share of the flower market. However, their average price of $4.23 per gram is 20% lower than the market average. The report highlights that 58% of Tilray’s flower sales come from Aphria legacy brands, while HEXO brands contribute 30%, including 10% from Original Stash, which now has an above-average price of $4.49 per gram.
The acquisition of HEXO brands will undoubtedly impact Tilray’s future performance in the flower market, especially as their legacy share decreased from 4.2% to 1.7%. The Aphria portfolio consists of various brands, with Good Supply being the most dominant, holding an 82% market share at an average retail price of $4.00 per gram.
Village Farms International maintains a robust 13.1% market share, demonstrating that quality comes at a higher price. Their average price of $5.28 per gram surpasses the market average.
The company’s success is attributed to the inclusion of a Quebec deal and the introduction of Original Fraser Valley. This strategic approach has helped Village Farms International establish itself as one of the top players in the segment.
The Remaining Contenders
While Organigram, BZAM (including TGOD), Cronos, and Auxly compete for recognition, BZAM and Village Farms International stand out for their pricing strategies that meet or exceed the market averages.
These insights not only provide a glimpse into the competitive nature of the flower market but also shed light on the delicate balance between product quality and consumer appeal.
Meet Pablo Zuanic in person at the upcoming Benzinga Cannabis Capital Conference, the leading event for cannabis investment and branding. The conference will take place in Chicago on September 27-28. Get your tickets now to secure your spot at the forefront of the industry.
Photo: Courtesy of Franklin BioScience with Fluence Bioengineering LED Grow Lights.