Tough competition for cannabis shops in Manitoba as stores outnumber Tim Hortons in the province

Tough competition for cannabis shops in Manitoba as stores outnumber Tim Hortons in the province

According to the Liquor, Gaming and Cannabis Authority of Manitoba there are now 155 licensed cannabis cannabis shops in Manitoba, as of April, compare to just 100 Tim Hortons locations.

Cannabis retailers are saying the market has become oversaturated, and predictions point to store closures in the near future as competition grows

.cannabis shops in Manitoba

However, it hasn’t stopped stores from popping up all over the province.

Big retailers like Delta 9 and Canna Cabana that are constantly expanding their store fronts in the province. Delta 9, is one of Canada’s largest cannabis retailers with 13 locations throughout Manitoba.

Owner John Arbuthnot spoke to CBC Manitoba stating “the approach that we’ve taken in Manitoba [is] allowing for the free market to essentially dictate who those winners and losers will be.”  He believes the market is reaching oversaturation, and consumers will be a factor in store closures.

Delta 9 just announced an agreement with the province to become one of the first licensed cannabis distributors. Arbuthnot believes this will help create more market efficiencies that will see more out-of-province suppliers ship their product to Manitoba.

A local owner broke down the events of someone starting a new cannabis store in the market.

The main challenge he listed is establishing what differs between his store and the market where other competitors have been fully established for over 4 years, and who are publicly traded and have many resources.

The company had to be analytical and strategic in terms of where the location they decided to build. Their hope was that they can work with other brands because that makes it a lot easier.

Smaller cannabis stores do not have the resources as publicly traded brands which makes it increasingly detrimental when smaller stores do make mistakes.

People in the city do support local and it means a lot more than other provinces store owners have noticed. They hope that this can be their “saving grace” moving forward.

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