Cannabis Daily Use in the US Climbs, Overtaking Alcohol with a 15x Increase Since 1992 – The Average Joe

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    Cannabis Daily Use in the US Climbs, Overtaking Alcohol with a 15x Increase Since 1992

    Rhea Lobo

    May 29, 2024

    As the smoke settles, it’s clear — cannabis is the new king of daily consumption, leaving alcohol a bit hazy. For the first time, daily marijuana users have surpassed daily alcohol drinkers, driven by increasing legalization and acceptance by younger generations. Despite this, alcohol remains more mainstream among Americans.

    • A recent Carnegie Mellon University study found that by 2022, around 17.7M people were using marijuana daily or nearly daily — surpassing the 14.7M daily alcohol consumers.
    • This represents a 15-fold jump in daily cannabis users since 1992, when only 900K Americans reported such frequent use — a far cry from the 8.9M daily drinkers.

    Joint efforts: Marijuana stocks like Canopy Growth Corp.($CGC) and AdvisorShares Pure US Cannabis ETF ($MSOS) have surged 75% and 15% this year. This growth is driven by the Drug Enforcement Administration’s plans to reclassify marijuana, boosting investor confidence. With fewer young adults reaching for booze and the rising availability of non-alcoholic alternatives, traditional beverage companies are facing a crucial need to rethink their strategies. This growing shift towards marijuana is not only poised to negatively impact beer sales but is also prompting the alcohol sector to consider strategic mergers and investments. To defend their market share and hedge against declining sales, companies within the industry are increasingly exploring partnerships or acquisitions in the burgeoning cannabis market.

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