The cannabis extract market has witnessed a significant growth over the past few years owing to the rising demand for various cannabis extract products across different industries such as food and beverages, cosmetics, pharmaceuticals and nutraceuticals. Cannabis extracts offer various health benefits such as relief from chronic pain, depression, epilepsy, nausea and other medical ailments. Growing awareness about medical advantages of cannabis extracts coupled with legalization of medicinal cannabis in various countries has boosted demand for cannabis extracts. The legalization of medicinal cannabis has eased restrictions on cannabis cultivation and production, thereby facilitating growth in the cannabis extracts market.

The global Cannabis Extract Market Demand is estimated to be valued at US$ 12331.66 billion in 2024 and is expected to exhibit a CAGR of 23% over the forecast period 2024 to 2031. Key players operating in the cannabis extract market are Zeta Global Corp, Oracle Corporation, mParticle Inc., Salesforce.com Inc., BlueConic, Adobe Inc., Tealium, SAP SE, Acquia Inc., and Segment.Io Inc. (Twilio).

Key Takeaways
Key players operating in the cannabis extract market are focusing on product innovations and introducing new product formulations to cater to dynamic consumer needs. For instance, in 2021, Zeta Global Corp launched a brand tracking tool to help brands measure reach and engagement across various digital platforms.
The demand for cannabis extracts is growing significantly owing to rising consumer awareness about health benefits of cannabis. With legalization of cannabis in new regions, the market is expected to witness robust demand over the coming years.
Technological advancements are playing a key role in driving growth of the cannabis extract market. Use of advanced processing technologies allows high-yield extraction of different cannabis compounds in their raw form. This is supporting commercial production of various cannabis extract products.

Market Trends
Increased product launches: Major players in the market are focusing on launching new cannabis extract formulations to capitalize on the growing market demand. This is expected to further drive sales volumes over the forecast period.
Formulation diversification: Companies are diversifying their product portfolios by introducing innovative cannabis extract formulations in different forms such as tinctures, topicals, edibles, infused beverages etc. This is expanding use cases and attracting newer consumers.

North America currently dominates the global cannabis extract market and accounts for the largest share in terms of value, estimated at over 35% of the total market in 2024. This is attributed to the growing adoption of cannabis for medical use in countries like the US and Canada where it is legal at the federal level. Several states have approved recreational cannabis use as well which is fueling sales. Europe is the second largest regional market driven by increasing product approvals and new product launches. Countries such as Germany is at the forefront of medical cannabis research and serves as a major hub.

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