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Cannabis-Infused Beverages: A Lucrative Part of A Growing Industry

Companies that produce non-alcoholic cannabinoid-infused beverages are a part of the fastest-growing segment of the edibles market.

Jason SanderJason Sander · Jul. 15, 2020 · 10 min read
Cannabis-Infused Beverages: A Lucrative Part of A Growing Industry

Companies that produce non-alcoholic cannabinoid-infused beverages are a part of the fastest-growing segment of the edibles market. This increase is driven by the demand for healthy beverages with a focus on wellness. In this article, we briefly touch on the reasons for this massive spike and offer up some of our favorites in this space.

Financial analysts predict that the global cannabinoid-infused beverage market could reach up to almost 3 billion by 2025, according to a report by Grand View Research. In the report, analysts are predicting that the market will grow over 17 percent annually, positing the cannabis beverage sector as one of the most lucrative in the entire industry. In fact, those figures might actually be on the lower end, as there are some projections saying that the infused beverage market will already be worth $2 billion by the end of 2020.

The report says that the spike in the popularity of cannabis-infused beverages is largely being driven by millennials, women, and people who are newbies to cannabis consumption. These demographics tend to prefer cannabis wellness drinks over edibles like gummies, brownies, cookies, and other snacks that are loaded with sugar. Consuming beverages requires nothing but the container they come in - no vapes, bongs, dab rigs, papers, blunt wraps, and so on. They are discreet and relatively normal - because everyone hydrates. And unlike edibles, most people feel the effects of beverages in half the time of edibles. Their dosage tends to be precise, and not to mention - they are usually pretty delicious.

"...analysts are predicting that the market will grow over 17 percent annually, positing the cannabis beverage sector as one of the most lucrative in the entire industry."

While gummies and other edibles are still a part of the industry, especially the CBD market, many more experienced consumers have been trying their hand at cooking with cannabis from home - largely due to COVID-19 lockdowns. Making your own cannabis drinks at home is harder than making cannabutter, and this could be another reason why the infused beverage market is seeing rapid growth.

North America Leads the Way

According to the report, analysts are forecasting that North America will be the fastest-growing market for cannabis beverages. Canada is predicted to lead the way, as all cannabis consumables were legalized nationwide last October by our neighbors to the north. States with legal cannabis here in the U.S. will be a close second to Canada, with demand for weed drinks at an all-time high, with no end in sight.

Experts expect that sales of cannabis beverages in Europe will see an increase as well, although not nearly as big as here in North America. Cannabis edibles have been sold in Amsterdam coffee shops for decades, so they likely aren’t as fresh and new as they are to us. Due to the wide range of consumers, products, companies, and startups, involved, the cannabis beverage market is fragmented. This fragmented complexity is further complicated by multinational corporations looking to cash in on the cannabis beverage sector.

Popularity of Infused Beverages Not New to Corporations

Surprising absolutely no one, multinational corporations have noticed the demand increase for canna-beverages. Constellation Brands, who make the beers Corona and Modelo, invested a hefty sum in Canopy Growth a few years back. However, they may have gotten into the cannabis industry a bit too soon. Constellation reported a loss of millions in 2019, which led some financial analysts to speculate that perhaps the Canopy brand is too diverse. Canopy offers products ranging from edibles, beverages, vapes, flower, concentrates, and even hemp.

Some of the other most notable corporations that invested heavily in the legal cannabis industry include Marlboro, Arizona Iced Tea, Lagunitas, Jones Soda, Blue Moon, who are owned by MillerCoors, and InBev, brewers of Budweiser. How many of these investments will pay off, and how many of these cannabis-infused beverage companies will fail? To some in the cannabis industry, the infused beverage market is an over-hyped gamble. We can’t call it, and we certainly aren’t making any speculations or giving any investment advice. But to us, this highlights the ever-increasing need to support cannabis startups, local dispensaries, small farms, and so on.

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States that have legal cannabis have been taking a bite out of big alcohol for a few years now. So clearly, cannabis is impacting big alcohol, because connoisseurs understand that the best product is grown and made with love and care. States with legal herb have also seen a decrease in pharmaceutical use.

One smaller brewery in Pennsylvania is infusing terpenes into their IPAs and other brews. A company in California has been making alcohol-free, THC-infused wine, and they certainly aren’t the only ones doing so. As it stands right now, most states prohibit the sale of both cannabis and alcohol in the same establishment. Perhaps lawmakers think people will have too much fun in one establishment? All kidding aside, laws and regulations in all areas of the legal cannabis industry are constantly evolving all the time, so this could certainly change.

Our Top Three Cannabis-Infused Beverages

Finally, we get to the fun part - some examples of amazing cannabis beverage products! While there are many companies producing high-quality cannabis-infused beverages, these just happen to be our favorites at this time. They all produce clean, responsibly sourced products that are sent to 3rd party labs for purity testing. We don’t make any money from these companies (at least not yet), we just love their products and want to share their awesomeness with you, dear reader. These companies sell their products exclusively in specific states, as noted below - but we would love to see that change in the near future.

1. Cann

Cann is brilliantly combining two things that are hot in the cannabis industry right now - infused beverages and micro-dosing. They call their beverages social tonics. They say that their non-alcoholic, low-dose tonics produce a social buzz. Tonics are consumed to produce a feeling of vigor and well-being. Their beverages are micro-dosed with a blend of 2mg THC and 4mg CBD, lightly carbonated, low calorie, and lightly sweetened.

Their flavors are lemon lavender, blood orange cardamom, and grapefruit rosemary. Because their beverages contain a relatively low dose of 2mg of THC, experienced cannabis consumers might not feel much after one. Everyone is different, so just keep that in mind if you try Cann beverages. Cann products are available exclusively in California at the moment. They also deliver to the Bay Area, LA, Sacramento, and Humbolt.

cann-cannabis-drink Image credit: drinkcann.com

2. Mood33

New York-based Mood33 produces hemp-infused herbal teas. All of their beverages are < 0.3% THC, so they are legal in all 50 states following the passing of the 2018 Farm Bill. The Farm Bill defines hemp – as cannabis with less than 0.3% THC, and makes hemp an agricultural commodity that all Americans are now free to legally consume. Mood33 sources its hemp from Evo Hemp, who are helping to economically stimulate rural Native American communities facing long-term financial challenges. Mood33’s hemp-infused teas each contain 33mg of full-spectrum hemp extract. They come in six flavors: Peach, Raspberry Lemon, Mint Watermelon, Blueberry, Passionfruit Lime, and Lavender.

Our only knock on this awesome brand is that Mood33 beverages aren’t exactly low sugar - each one contains at least 25% of your recommended daily intake. Perhaps as the brand grows, we will see them offer beverages with lower sugar content. As of right now, Mood33 beverages are sold in Michigan, Florida, Ohio, and New York City.

mood33-drinks Image credit: mood33.com

3. Dixie

Colorado-based Dixie Brands is the only company on our list of favorites that makes more than just beverages. In fact, everything they make is solid - which sets them apart from other companies who excel in one area but come up short in others. Dixie Brands makes chocolates, mints, tinctures, taffy, gummies, topicals, and sour candies. But since this article is all about beverages, we will be focusing on their elixirs.

Dixie’s beverages come in 5 different flavors, and each bottle contains an impressive dose of 100mg of THC. If you fall into the category of seasoned consumer who prefers the effects of THC, you will probably love Dixie’s beverages. The five flavors include Berry Lemonade, Cherry Limeade, Fruit Punch, Half and Half Iced Tea/ Lemonade, and Root Beer. Four of the Dixie brand beverage flavors are available in California, Colorado, Maryland, Nevada, and Oklahoma. You can only buy their Root Beer in Colorado and Nevada at this time.

Dixie recently announced they would change their brand name, because of the negative connotation that comes with the historical context of the word Dixie, according to their Instagram. At the time of this writing, the brand has not yet made its name change. Until the name change comes, they still create some great products that we love.

Dixie-drinks Image credit: dixieelixirs.com


The content on this page is provided by HashDash for educational and entertainment purposes only and is not intended as medical advice or as a substitute for professional healthcare advice. Do not use this information to diagnose or treat any medical condition or ailment on your own. Always consult a physician or qualified healthcare provider before making any decisions about treatment. The information and products mentioned herein have not been evaluated by the FDA and are not intended to diagnose, treat, cure, or prevent any disease or condition.

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As a thinking cannabis consumer, you’ve got a lot of really great questions, and our goal is to give you a one-stop to get answers. Be sure to connect with us on social media and let us know what you’d like to see us cover and what you are curious about regarding all things cannabis consumption - @hashdashdotcom on all platforms.

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Jason Sander
Jason SanderJason is a versatile writer and marketer with over ten combined years of experience working with clients in various industries. He couples this expertise with six years of writing for the cannabis sector as well as a passion for the business side, and the science behind the plant medicine.




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