Illinois has been one of the fastest growing cannabis markets in the United States (US) and we have seen an increase in mergers and acquisitions (M&A) as a result.
Last year, Illinois started to allow for the sale of recreational cannabis after a ballot measure was approved in 2018. Although it took several years for the state to allow for the sale of recreational cannabis, the sales numbers are very impressive and this is a market that our readers should be aware of.
Starting in March 2021, Illinois reported more than $100 million of cannabis revenue per month (according to the Illinois Department of Financial and Professional Regulation). From July to September, the state reported more than $120 million of revenue per month and we are impressed with how the market has strengthened throughout the year.
When compared to 2020, the amount of cannabis revenue generated by the state has significantly increased. In each of the first seven months of 2021, Illinois reported more than 100% revenue growth when compared to the same months in 2020. We are bullish on this trend and the state has generated more than $1 billion of revenue so far this year.
In 2020, the state generated more than $650 million of revenue from the sale of cannabis. This was an impressive start for the state’s legal cannabis industry and we are impressed with how demand has remained elevated since then.
Benefiting from the Tourism Market
One of the catalysts for revenue growth in Illinois is related to the amount of sales to out-of-state residents. We consider this to be a key metric when analyzing a burgeoning cannabis market and are bullish on the data we have seen in Illinois.
In each month of the year, the state has recorded more than 100% growth in the amount of revenue being generated from out-of-state residents. In markets like Colorado or Nevada, we have seen how important sales to out-of-state residents can be and consider this to be a positive sign for Illinois.
We attribute the increase in recreational cannabis sales to out-of-state residents to a larger number of tourists who are visiting Illinois when compared to 2020. Last year, the tourism market in the US was hampered by the COVID pandemic and states that rely on visitors were significantly impacted by this.
Going forward, we expect the Illinois cannabis market to continue to record impressive growth and this is a market that we are bullish on over the long-term. If you are interested in learning more about the cannabis market in Illinois, please send an email to firstname.lastname@example.org with the subject “Illinois Cannabis Market” to be added to our distribution list.
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