Yeah, I don't think a lot of people that purchase by the OZ or 1/4 lb are going to retail to buy the stuff, but even with the supply shortage the stores have a shit ton of options compared to your average dealer down the block.
I'm also a casual smoker, so buying an eighth and paying $35-$40 for Hindu Kush is fine by me and will last a month... back when I was stoned off my ass all day every day I would have only purchased a few grams here and there to try out different strains. Maybe legalizing will push regular dealers to expanding their product lines :)