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Tourism: The next big innovation in cannabis

  • Cannabis tourism is emerging as a valid business alternative in places that have legalised cannabis.
  • Among the threats that may hinder sector growth is the uncertainty caused by legal ambiguity.
  • Meanwhile, aided by digital platforms, cannabis-friendly accommodations are gaining in popularity.
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The holiday period is that time of the year when we take a break from work obligations and focus on our personal interests. And when it comes to hobbies, travelling is king. Choosing a destination has a lot to do with personal taste and inclinations, and as cannabis gets legalised in an increasing number of countries, more and more cannabists embark on tailor-made trips crafted to their requirements

The social stigma attached to the plant is losing ground, and cannabis is now an important economic engine with amazing potential for growth that can bring benefits to the public and private sectors as far as legalisation remains on the agenda. Cannabis tourism is a cross-cutting sector that attracts everyone from businessmen and lawyers to truck drivers. In fact, the figures show that this new form of tourism reaches people from all types of background, with visitors and revenues increasing every year.

A booming sector in the U.S.

In Colorado, one of the U.S states that has legalised cannabis use, cannabis tourism has grown by 51% since 2014 according to official data. The Colorado Department of Revenue estimated the number of cannabis tourists in 2016 at 6.5 million, and the trend is expected to continue - in 2017 the number increased by at least 6%. Since cannabis was legalised in 2014, the state has racked up over $5.2 billion in cannabis sales.

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Colorado found that cannabis costs more in areas with the most tourists, which in turn generates higher sales tax revenues. In 2017, cannabis sales overtook alcohol sales in Aspen for the first time. Retailers in this Colorado city famous for its snow and mountain tourism hauled in $11.3 million in revenue, compared to 10.5 million for liquor stores. Also, cities close to the border with states where cannabis is legal have higher per capita income than interior areas, probably as a result of the positive effect of tourism in neighbouring states.

Since 2014, Colorado has racked up over $5.2 in cannabis sales

Cannabis tourism is picking up steam also in California, where tours that combine cannabis and other activities are becoming increasingly sought-after. Particularly popular are the "wine and weed" tours, which cater for cannabis and wine enthusiasts alike. Thus, it's not unusual to see party buses that tour wineries and dispensaries, allowing tourists to sample the products on offer but also to smoke during travel - with the driver properly isolated, of course. Also in vogue are the packages that combine cannabis and local gastronomy.

Other less conventional options explore the creativity of participants. Such is the case of the "puff, pass and paint" events, where clients are given the opportunity to show their painting skills in front of a white canvas while taking a puff or two. All of which is advertised in newspapers, magazines and even travel guides. 

Spa de cannabis

With legislation getting increasingly cannabis-friendly, the U.S is emerging as a laboratory where a variety of pioneering companies are testing new types of services linked to health and well-being tourism. One of the latest projects is the creation of the Utopia All Natural Wellness Spa and Lounge in Denver, Colorado, which would be the first cannabis spa in the U.S. under federal law. The Utopia initiative involves transforming a historic Victorian mansion into a massage, yoga and bath centre where cannabis will also be allowed. This will mean access to cannabis-based topical treatments, but also to smoking and vaping, which will be equally welcome in the facilities. 

But if there is one place that makes things easy it is Nevada, a state at the forefront of cannabis tourism. 2017 data indicate that cannabis sales generated about $70 million of tax revenue for the state, prompting Nevada to allow cannabis lounges in an effort to make smoking easier and attract more tourists. Later in the year, a massive cannabis dispensary will open its doors in Las Vegas. This sort of theme park will feature interactive laser graffiti walls, giant flying spheres and water and light shows, among other things.

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Room for concern

Despite the undeniable success of this emerging sector, there are some major problems that, if unaddressed, could end up curbing its growth. One of them is the lack of consistency between state and federal laws. Despite the autonomy of the states, this generates a sense of legal uncertainty, which in turn results in reluctance among tour operators to promote and invest in cannabis tourism. Denver authorities, for instance, have started to require cannabis tour operators to obtain a special license to consume cannabis in public spaces, a measure that could be a serious blow to this highly profitable industry.

Spurred by Las Vegas, the State of Nevada is at the forefront of cannabis tourism

And like with all things cannabis, there is also a banking problem. Because the substance is classified as dangerous by the DEA, banks tend to refuse to do business with this industry, and cash is often the only payment option available. As a result, tour operators are hard put to find a place where tourists can consume cannabis, even in states where consumption is legal.

Cannabis-friendly accommodation

People interested in experimenting with cannabis tourism can resort to all types of cannabis-friendly accommodations. Many of them are available through traditional platforms like Airbnb, but there are also sector-specific options like Bud & Breakfast and Travel Joint. These offer everything from traditional hotels and apartments - where the only innovation is precisely the cannabis-friendly policy - to more unconventional options like hotels tucked away in the woods, vans fitted out for the purpose or tree houses where the closest thing to a shower are the nearby cascades.

Also popular are platforms like My420tours.com, which offer workshops and cooking classes in design hotels. For $200 euros per night, besides a room, guests are entitled to a city guide featuring cannabis "green points", a vaporiser and a cannabis delivery service via Uber.

As it stands, the sector's potential may lead companies and governments to promote this new form of tourism, allowing to expand and diversify the offer, which is of paramount importance in places where tourism is the backbone of the economy. Only time will tell whether cannabis tourism continues to grow and expands to other countries. And also if this makes governments regard legalisation as a driving force for local economies.

05/12/2018

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