PRE-ROLL MARKET REPORT

Maryland

As experts in the pre-roll category, RollPros is proud to present the ninth release in our series of market reports.

Our analysis identifies both positive trends and red flags to help you make better decisions for your brand and business.

Note: Data provided by BDSA and reflects the trailing three months (T3M) May-Jul 2024 vs. previous three months (P3M) Feb-Apr 2024 unless otherwise noted.

Executive Summary

The Maryland cannabis market is on the upswing, with pre-rolls showing particularly strong performance. While overall state sales grew by 4.1%, the pre-roll category outpaced that, jumping by 13.6% over the same period. This segment is forecasted to hit $148.2M by 2028, driven by a steady 10.5% annual growth rate.

Marylanders are all-in on inhalables, with a strong 79.7% consuming them over other options and 60.9% actually preferring them. The growing love, up 4.6% in the last quarter, becomes even more interesting when you look at the surge in pre-roll sales.

Maryland’s market is becoming somewhat competitive with 50 active pre-roll brands and an expanding product line – but we might simply say maturing fast. There are 1,402 total pre-roll products, but Dogwalkers (GTI) leads the way with an impressive 17.2% category share, driven by a robust 63.4% growth rate versus P3M. Infused pre-rolls are hindered by supply issues but gaining traction, making up 10.3% of total pre-roll sales and up 5.16% vs P3M.

Maryland’s market is on a clear path to expansion, with innovation and brand identity becoming key to staying ahead. Dive into our report to see who’s making waves, what’s trending, and where the market is headed next.

Maryland

pre-roll market

by the numbers

Feb-Apr 2024

Revenue:

$31.42M (+13.6%)

Standard pre-roll sales:

$28.19M      -5.16%

Infused pre-roll sales:

$3.23M    +5.16%

Total brands:

50    -2 P3M

Total products:

1,402    +15 P3M

1 Dogwalkers
2 SunMed Growers
3 Curio Wellness
4 District Cannabis
5 Fade Company

1

Dogwalkers
Afternoon Delight
Pre-Rolled (0.35g), 5 Pack

2

SunMed Growers
Snoop Dogg OG
Pre-Rolled (0.50g), 2 Pack

3

Dogwalkers
Animal Face
Pre-Rolled (0.35g), 5 Pack

4

Dogwalkers
Brownie Scout
Pre-Rolled (0.35g), 5 Pack

5

Dogwalkers
Show Dog – Hybrid Strain Blends
Infused Pre-Rolled (0.45g), 5 Pack

Who’s Smoking

Dogwalkers (GTI)

Dogwalkers is straight-up winning Maryland’s pre-roll game. Did they crack some code? Combine premium flower (ie., “no shake, ever”) with a mission that hits people right in the feels – it’s that simple, and it’s working. Founded by Ben Kovler and some inspiration he had strolling with his four-legged friend, Dogwalkers created a brand that people actually want to get behind. They partner with five rescue organizations across the states, so every purchase supports an animal in need. But we wouldn’t count out resources and expertise just yet, either. Owned by GTI, they’re leading the Maryland pre-roll market with a significant 17.2% share. Dogwalkers’ strong portfolio of popular products, including Afternoon Delight and Animal Face, showcases their ability to meet consumer demand. Their growth rate of 63.4% versus P3M solidifies their position as the top brand in the market. Other brands should take note that attaching your name to a purpose other than profit is a great way to differentiate, especially in crowded markets.

SunMed Growers (SunMed Growers)

sunmedgrowers.com

SunMed Growers seem to be onto something with their back-to-basics, sun-grown approach, and it’s paying off. They’ve locked in a solid niche as Maryland’s second-largest brand, becoming the go-to for folks who want quality without fluff. Their local positioning, quality flower, and sustainable practices seem to resonate with today’s more eco-conscious consumer base. That commitment to quality might just be why they’ve secured a solid foothold in a fast-growing market. Despite a modest growth rate, they maintain a strong presence with an 11.6% share and their popular Snoop Dogg OG pre-roll 2 packs. Note that those little half-grammers outsold every other item on the list in units out the door. With the rapper/figure being everywhere this year, was there some sort of halo effect that helped prop sales? Household figures might be a comfort for newer markets, and any brands with popular names on their packaging might take note.

Fade Company (Story Cannabis)

thefadecompany.com

With their lifestyle-forward approach, California-based outsider Fade Company has curated a vibe. Their branding screams modern and sleek, with little information available to end consumers aside from in-depth reviews of their popular strains and stylish photography. In dispensaries, the bright orange accents that pop on their packaging like an Insta-worthy sunset could be a secret to success..it’s all so pretty. Fade Company is making waves in Maryland’s pre-roll market with a steady climb up the ranks. Boasting a 5.3% category share and a growth rate of 21.9% versus the previous three months, they’re ones to watch. A standout in their lineup is a Super Boof 2 Pack, which has muscled its way into Maryland’s top 20 pre-roll products.

Maryland’s Big Dog

Maryland’s pre-roll market is buzzing, with 50 active brands competing for dominance. What’s surprising? The top dog, Dogwalkers, isn’t just leading—it’s lapping the competition with a staggering 63.4% growth rate, capturing 17.2% of the market. This is pretty surprising, especially when you compare it to more mature markets like Oregon, where the top brands sit around 4% of the category revenue.

Maryland’s market is still fresh, but brands like Dogwalkers are acting like seasoned pros and quickly becoming household names. This kind of brand establishment shows the value of experience when building a business in new markets, or a consumer base that’s eager to find and stick with favorites early on.

To Infuse or not to Infuse

Yes, infused pre-rolls are in Maryland. And yes, they’re already grabbing 10.3% of the market But is that high? No. It’s actually one of the lowest percentages we’ve ever seen. Compare this to a more mature market like California or Michigan, and Maryland looks microscopic, yet poised for more infused products in the coming months. As Marc Duckworth from Grow West MD noted in our interview below, this could primarily be a supply issue as opposed to a demand one. As processing permits are better distributed to businesses, we’ll see sales follow.

Infused pre-rolls are usually a slow burn in new markets, but Maryland already has signals that their consumers could be more adventurous than we might have expected with a solid 5.16% growth rate. At the product level, we see Dogwalkers’ Show Dog infused pre-rolls growing 196.3% and Kaviar’s single 1.5g infused single at 107.6% vs P3M.

Multipacks are the Standard

Single packs? Sure, they’re cool. But in Maryland, multipacks are where it’s at. It’s hard not to continue to mention Dogwalkers’ 5-packs flying off the shelves here – just as they are in New Jersey and Massachusetts, with growth rates hitting over 40% vs P3M. As we’ve seen with Grow West MD, the demand for multipacks have made some businesses shift away from even bothering to create single pack SKUs.

A handful of stand-out single packs are still showing some great growth numbers, but only two of them hit the top ten spots. This shift in buying habits and value of multipack SKUs in a product line is something brands need to pay attention to, like, yesterday.

Premium Positioning: High-Priced Products

Maryland’s cannabis market is growing up fast, with a clear tilt towards premium products. Being a beacon for states where recreational cannabis has not yet been legalized, our guess (and from our interview with Marc from Grow West MD) is there is an excess of demand. It’s not just about the infused options, non-infused pre-rolls with top-shelf strains and slick branding are raking in the cash with high prices. SunMed Growers’ Snoop Dogg OG or Kaviar’s Indica Strain Blends for example, at $13.25 and $16.61 per gram respectively, are priced higher than similar products in other markets, yet still selling strong.

Sure, part of this might be because the market’s still very fresh, but Maryland consumers are clearly down to splurge on quality. The strong growth in premium segments suggests that the state might be on a fast track to maturity.

Insights from Grow West

An Inside Scoop from the Front Lines:

Marc Duckworth is the Post-Harvest Manager at Grow West MD. His experience gives us a front-row seat to the ins and outs of the Maryland cannabis market, especially when it comes to pre-rolls.

Q: Can you tell us a bit about your journey with Grow West MD?

“I started with Grow West MD back in October 2017, initially in security. I was the eighth person hired, and like the company, my role quickly evolved. Now, I oversee everything from harvest logistics to automation and packaging, including pre-rolls. My team has grown to over 80 employees, reflecting the rapid expansion we’ve experienced.”

Q: What sets Grow West MD apart in Maryland’s competitive cannabis market?

“We’re one of the few mom-and-pop grows left in the state. While others are being bought out by major companies, we’ve remained independent, and that’s allowed us to focus on what really matters—quality. We’ve also partnered with RollPros to produce rolled joints instead of using traditional cones, which has been a game-changer for us. Maintaining at least a 10% moisture content in our pre-rolls is something that really sets us apart… It’s something that’s not possible with tapered cones because they require the bud to be dried out so much that it ends up running like sand.”

Q: How would you describe the consumer landscape in Maryland?

“Maryland’s demographics are really economically polarized. On one side, you have areas like Montgomery County, where consumers are more affluent and prefer premium products. These are the folks who might swing by a dispensary, pick up a five-pack of pre-rolls, and enjoy them during a weekend at their summer cottage. On the flip side, near West Virginia, where economic conditions are tougher, customers are more focused on value. They’re looking for the best bang for their buck, and might scrutinize the details like THC percentages and terpene profiles.”

Q: What impact has the legalization of recreational cannabis had on your operations?

“When recreational cannabis was legalized in July 2023, we had to scale up six times our previous capacity to meet the new demand. It wasn’t just Maryland residents either; our location in the panhandle meant we were attracting customers from neighboring states like West Virginia and Pennsylvania as well. The spike in demand was huge—by January 2024, we were allocating about 8% of our flower to pre-rolls, but that figure has now more than doubled to 18%.”

Q: What can you tell us about the popularity of multipacks in Maryland? They look hot.

“Multipacks sell, and we’re definitely fine with sticking to what’s working for now. We haven’t even bothered with singles recently because the demand for multipacks is just so high.”

Q: Infused pre-rolls are big in other states, but why are they lagging in Maryland?

“It’s mostly due to regulatory hurdles. We don’t have a processing license, which makes it difficult for us to produce infused products. Without the time or means to acquire more licensing, we’re limited. This keeps the supply of infused pre-rolls lower than expected, but it also suggests there’s significant untapped potential. We’d honestly love to do it in the future.”

Q: What does the future hold for the pre-roll market in Maryland?

“Just speaking for ourselves, we’re looking to triple our production within the next month to keep up with the growing demand. Many micro dispensaries are going to come online so we’re getting ready for that. Scalability is pretty much crucial for brands that want to stay competitive. We’ve faced challenges in scaling operations while maintaining quality, but that’s where thoughtful automation has been key. The market is booming, and we’re gearing up for even more growth.”

Summary

The Maryland pre-roll market is on an upward trajectory, with a strong 13.6% growth rate in the last quarter. Leading brands like Dogwalkers and SunMed Growers are capitalizing on the growing demand and quickly changing consumer preferences. Even though Maryland is still a relatively new market, it’s already starting to see the benefits of diversification. Multipacks are making a notable impact, and the rise of infused products suggests they’ll probably be winners in the near future. 

Keep an eye on Maryland, this market’s just getting started. Talking dollar value, it’s showing all the signs of a future heavy hitter.

RollPros is the manufacturer of the Blackbird, the only automated joint machine that makes joints the same way you do: rolled, not stuffed. Brands across the US and Canada use the Blackbird to create unique, value-added products that 4/5 of consumers prefer over pre-rolls made with cones. RollPros is dedicated to helping customers build successful, profitable brands through continuous innovation, exceptional customer support, and category expertise.

Want to learn more? Reach out to one of our Pros now.

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