The Future of White-Label Cannabis Beverages: A Five-Year Outlook

White-label cannabis beverages are carving out a significant place in the industry, and the next five years promise an even bigger role for this category. While drinks currently account for only about 1% of total cannabis sales in most legal markets, reports from Headset show that the beverage segment is one of the fastest-growing, attracting both seasoned consumers and new entrants who prefer alternatives to smoking. Growth in this niche provides fertile ground for retailers to build house brands with contract manufacturers, turning white label into a strategic lever for expansion.

Market Growth and Consumer Shifts

The cannabis beverage space continues to evolve with consumer behaviors. Data from MJBizDaily estimated U.S. THC beverage sales surpassed $1 billion in 2024, reflecting both consumer curiosity and demand for healthier, social alternatives to alcohol. Headset’s analysis highlights that while beverage share is small compared to flower or vapes, its steady gains in multiple states position the category as a growth driver for retailers willing to invest in white-label opportunities.

As more consumers shift toward wellness-driven products, cannabis beverages fit seamlessly into the “better-for-you” trend. Functional additions like L-theanine or caffeine combined with nano-emulsion technology for faster onset make drinks more appealing and reliable. White-label partnerships allow retailers to test these innovative formats without heavy infrastructure investment.

Regulatory Landscape and Distribution Channels

State-level regulations will continue to play a decisive role in shaping the trajectory of white-label cannabis beverages. Minnesota, for example, set a precedent by allowing hemp-derived THC drinks in bars and restaurants, giving consumers the chance to order cannabis beverages on tap. Analysts note that such frameworks normalize cannabis alongside beer and wine, reducing stigma and paving the way for broader adoption.

Hemp-derived, low-dose beverages are especially well-positioned to expand into mainstream retail channels like grocery and convenience stores. Reports from NielsenIQ confirm that consumers are increasingly open to purchasing THC-infused drinks from the same “cold vault” where they buy sodas, sparkling waters, or energy drinks. White-label retailers that align their strategies with these regulatory and distribution opportunities will have a first-mover advantage.

Manufacturing and Innovation

Co-packers with advanced nano-emulsion technology are enhancing the reliability of cannabis drinks by ensuring stability, taste, and consistent dosing. These manufacturers now provide scalable platforms for retailers to launch private-label beverages at competitive costs. Seasonal runs, mocktails, spritzers, and functional seltzers can all be produced with shorter development cycles, enabling quick experimentation and consumer feedback.

As co-packers expand production capacity, economies of scale will lower unit costs. This means retailers can build private-label portfolios that compete effectively against branded products while offering unique flavors or limited-edition batches that build customer loyalty.

Market Variability Across States

White-label beverage strategies will need to be nimble as state-by-state dynamics vary. For instance, BDSA reports that states like Michigan and Ohio have seen triple-digit growth in cannabis beverages, while more mature markets like Colorado and Nevada have experienced declines. This divergence underscores the need for retailers to design market-specific beverage portfolios that reflect local regulations, pricing, and consumer demographics.

Brand Strategy and Consumer Segments

White-label cannabis beverages are expected to evolve along two main consumer lanes. The first is low-dose, sessionable beverages designed for social occasions, typically in the 2–5 mg THC range. These products compete directly with alcoholic beverages, offering a healthier, hangover-free alternative. The second lane caters to more experienced users who prefer higher-potency options—10–20 mg THC beverages in single-serve cans that provide convenience and discretion.

Retailers that establish house brands spanning both lanes will be able to capture broader audiences and build category loyalty. California’s experience shows that beverages can grow even as flower sales decline, proving their incremental value to the overall cannabis market.

The Road Ahead

Looking forward to 2030, the future of white-label cannabis beverages appears disciplined but full of opportunity. Retailers and manufacturers that align with evolving regulations, invest in reliable co-packing partners, and respond quickly to consumer demand are likely to lead the category. The result will be a mix of dispensary-exclusive high-dose products and hemp-derived beverages on mainstream shelves, each fulfilling specific consumer needs.

In short, the next five years will define whether cannabis beverages transform from a niche novelty into a household staple—and white-label strategies will be at the heart of that transition.