Planning and Expansion

Those Entering the Market

The research also considered those who don’t currently operate or work for an operation that grows cannabis, but who plan to within the next 18 months. Among this survey group, the largest percentage (67%) said that they plan to grow indoors in a warehouse.

More than a third (35%) said they plan to grow in a greenhouse, and 24% said they plan to grow outdoors. (Again, respondents were able to select more than one option, so the responses indicate that a number of cultivators plan to grow in multiple facility/grow types.)

Is the Grass Greener in the Greenhouse?

Of those growing in greenhouses, more than half of respondents (55%) say that 50% or more of their production is in a greenhouse.

Looking ahead to the next two years, greenhouse crop production will increase: Of those who grow in a greenhouse, the number of respondents who say that 50% or more of their production will be done in a greenhouse within the next two years jumps to 72%.

One Site, Two Sites, Three Sites, More …

As existing markets expand and/or new markets come online, it’s not surprising that successful cultivators with one cultivation operation may choose to expand their operations to multiple locations.

While the majority of cultivators (64%) operate just one facility/grow site, more than 36% of respondents have multiple sites.

No data exists on this front from 2016’s report; however, it’s not a stretch of the imagination to guess that experienced cultivators’ expansion efforts will continue to significantly increase the competition for licenses in new markets as they develop.


How many cannabis facilities/grow sites does your operation have?


The research for the “State of the Industry” report was conducted by independent research organization Readex Research, during January and February 2017. Results are based on a total of 237 research participants from North America.

The margin of error for percentages based on 237 respondents who currently own or work for an operation that grows cannabis is ±6.2 percentage points at the 95% confidence level.

April 2017
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