Marijuana deliveries tumble
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Denver marijuana deliveries are plummeting.
The big picture: Sales this year so far have dropped every month between January and October compared to 2023, according to data from the Department of Excise and Licenses.
- Last month alone saw a 32% drop in delivery sales compared to October 2023.
Why it matters: It's another example of how the cannabis industry is struggling, even amid its proposed reclassification earlier this year.
State of play: Marijuana delivery wasn't allowed in Denver until 2021, seven years after recreational sales started. Only social equity applicants — such as people previously charged with marijuana-related crimes — are eligible for a delivery license.
- Since then, the city's delivery program has struggled to gain momentum. In August, the first dispensary licensed by the state for delivery stopped its services, citing low demand.
By the numbers: The city recorded 2,163 fewer deliveries between January and October this year compared to the same period last year, leading to a $202,078 drop in delivery sales.
- 11,518 marijuana deliveries were tallied last year, roughly 32 a day.
What they're saying: "When it comes to delivering cannabis, the volume of sales is relatively low, and the regulatory burden is particularly high," Chuck Smith, chair of Colorado Leads, a group of cannabis business leaders, tells us in a statement.
- Surcharges and high tax rates for weed make delivery especially unattractive, Smith adds.
Between the lines: Easy access to in-person purchases at the city's roughly 200 dispensaries and consumers cutting back on discretionary spending may also contribute to dwindling deliveries, excise and licenses spokesperson Eric Escudero tells us.
