Pre-rolls are definitely a thing in Europe but nowhere near as popular as in the U.S. or Canada.
Just for reference, pre-rolls are the second-most popular product category in Canada and the third-most popular in the U.S. Both countries have enjoyed a surge in pre-roll sales over the past 18 to 24 months, according to Headset.
So, as the European cannabis industry emerges, it begs the question – why aren’t pre-rolls catching on?
Regulatory Restrictions and Awareness Limitations
“Pre-rolls are less popular in Europe because of regulation,” said Florian Lorenz, B2B Sales Director at Canadelaar. “Every country has its own regulation.”
In Austria, Lorenz said, you can sell dried flower as smokeable, but it’s treated like a cigarillo. You have to include a health warning on the package and advertising is prohibited.
Or in Slovenia for example, Lorenz continues, cannabis flowers are sold like a souvenir, and you can’t sell them as a smoking product – which immediately means no pre-rolls.
“So there's this gray area which you have to work in or find workarounds within the regulation, and it limits the possibilities,” Lorenz said.
Low consumer awareness levels around pre-rolls could be another hurdle for the cannabis industry in Europe.
“In my opinion, a lot of the end consumers are not aware that there are pre-rolls available on the market,” Lorenz said.
It’s Still Too Early
If you conduct a quick online search for pre-roll sales reports in Europe, you won’t find much.
This is because the legal cannabis industry in Europe, different in every country, is overall still quite nascent in its development.
Legal cannabis operators are dwarfed by gray-market pre-rolls with CBD, Delta-8, etc., which often operate without stringent third-party tracking and record-keeping, further complicating any reliable sales data.
Meanwhile, European countries are slow-moving – if at all – with their medical and adult-use cannabis rollouts.
All eyes are on Germany right now in this regard as it moves forward with its adult-use program this year in seemingly methodical fashion.
Perhaps we’ll have official pre-roll sales data from this country later next year.
Pre-Rolls Have a Future in Europe
Pockets of Europe do have a tremendous appetite for pre-rolls.
Lorenz is overseeing Canadelaar’s participation in Holland’s Controlled Supply Chain Experiment, where 10 licensed operators were selected by lottery to supply Dutch coffee shops with legal products.
The experiment is a big deal because Holland’s current cannabis framework is completely unregulated. While retail sales at licensed coffeeshops are tolerated, the cultivation, production, and distribution of cannabis is completely illegal.
The feedback and the numbers that come out of this experiment from consumers, retailers, and the rest of the supply chain will give a clear picture on the nuances of regulated versus unregulated cannabis industry.
What does all this have to do with cannabis pre-rolls?
Canadelaar is producing them around the clock to keep up with demand within the experiment, and it’s still not enough.
“We had to purchase an AuraX from Hefestus to automate pre-roll production, and it’s running nonstop six days a week,” Lorenz said. “It’s doing an awesome job and we’re planning to invest in a second AuraX soon.”