With the popularity of CBD products in recent years, it isn’t surprising there is high demand for them and a great business opportunity. So, if you are considering starting a CBD business, now’s the time.
There isn’t much to think about whether CBD businesses can be successful. The truth is that they are. With awareness rising more and more about CBD and the fact that people know these products aren’t the ones that cause that “high”, intoxicating effect – which is actually caused by products containing large amounts of THC, or tetrahydrocannabinol – many have started to see the benefits of cannabidiol.
CBD is the second most prevalent substance in cannabis or marijuana, as well as hemp, which, as mentioned earlier, doesn’t cause the intoxicating effects for which its cousin, THC, is responsible. This cannabidiol is used in various professionally-produced products, such as oils, cosmetics, beauty products, edibles, capsules and more, which people purchase in an attempt to alleviate particular symptoms of anxiety and depression, for example, or it is used for better chronic pain management.
Indeed, more research is necessary into how beneficial CBD is and how it can help improve one’s health, and there are many studies currently ongoing. But, so far, results look promising, so the future of CBD products is bright. Some of the health benefits of CBD include the better management of multiple kinds of anxiety disorders, helping individuals with symptom relief. But perhaps the most encouraging result comes from the research on epilepsy forms of treatment which revealed CBD could support the treatment of two types of epilepsy: Dravet and Lennox-Gastaut syndrome. Therefore, there is no denying the advantages of taking CBD products. However, an essential and noteworthy mention would be to always consult a professional health care specialist who can advise you on the correct dosage and the right CBD product type, depending on your medical history and considering your preferences.
This being said, whether someone chooses to take CBD orally as edibles or capsules, sublingually as oil, or to take it from beauty products and cosmetics such as CBD soap, it is up to every person in particular and their health condition.
If you decide to start a CBD business, it is of the utmost importance to focus on a couple of CBD product types, at least in the beginning, until you get the ball rolling and gain significant brand awareness. But before you make a decision on your product range, there are many other things you should consider if you want to launch your own CBD business.
Without further ado, here are some of the most important things you should know before starting a CBD business:
- Understand The Laws and Your Local Legal Obligations
There is no secret that the CBD industry is rigorously governed by various laws, and businesses have to follow strict rules so that they can sell CBD products. For this reason, if you want to enter this industry and market, it is of the utmost importance to know and understand all these laws and get acquainted with your local legal obligations.
For instance, in the US, the Hemp Farm Bill was passed by the government in 2018, allowing the sale and use of CBD products as long as they have a maximum of 0.3% THC. The regulations are slightly different in the UK, with the THC amount allowed at no more than 0.2%.
Therefore, it is crucial you research all the laws and regulations applicable in the state or country you want to open your CBD business to make sure you adhere to all the legal procedures.
- Know The Market and Gain a Competitive Advantage
With more awareness raised regarding CBD products, more people understand the differences between them and marijuana. As a result, an increasing number of individuals have started using some form of CBD product. In fact, during the pandemic, as many as 9 million people used CBD for the first time.
An industry analyst has predicted the CBD market will increase exponentially by 2024, with sales reaching $20 billion. So, considering the current high demand and analyst predictions, it can be safely assumed that the CBD industry will grow. This means an excellent opportunity for anyone who thinks about starting a CBD business. But with high demand and great business opportunities, competition will soon become fierce.
For this reason, you must research the CBD market well and understand your audience’s needs and wants to gain a competitive advantage. One of the most vital aspects of gaining this advantage is the quality of your products.
If you are committed to selling high-quality products and providing third-party lab tests that confirm this quality, your business is one step closer to success. Transparency is the key.
- Market And Advertise Your CBD Products Effectively
As with any type of business you have, how you market it and how you advertise your products or services says a lot about the brand’s future. It is crucial to have an online presence and create a brand identity that is successfully showcased through the brand image in this day and age. This will help you market your products well online and offline.
However, with CBD products, marketing and advertising can be a bit tricky, meaning there is a great challenge to sell them on well-established e-commerce platforms. At the same time, creating marketing campaigns on social media, especially paid ads, can interfere with the platform’s bans. So, it is necessary to tread lightly.
This being said, it doesn’t mean you should have an online presence at all. In fact, it is encouraged to bring your CBD business into the online environment by establishing an e-commerce store rather than selling your products on other online platforms. With a professional website and store, you can effectively market your CBD products. It is recommended to include a blog area so that your clients can access vital information about the products and how they should be used.
- Research All the Popular Types of CBD Products
To find your niche in this market and create a successful CBD business, it is vital to research all the popular types of products. From CBD-based cosmetics and beauty products, CBD pills, and edibles to even CBD pet products, there is no denying that you have a wide-ranging variety to choose from.
When deciding on which product your business will sell, it is highly recommended to zoom in on all these types of CBD and their features and research your target audience. At the intersection, you will find your product.
