The CBD industry has been booming in 2019. Countless consumer-facing food and drink businesses are capitalising on the popularity of cannabidiol by investing in quality CBD products.
Have you invested in a CBD product yet? The sooner the better. You should make sure to capitalise on the explosive growth of CBD to meet your customers’ desires and boost your bottom line.
Here’s a look at the top nine reasons that CBD is going to continue its explosive growth throughout the fourth quarter of 2019 – and far beyond into the new year.
9. Consumer demand continues to grow
All signs show that consumer demand for CBD continues to grow at a breakneck pace. In fact, estimates show that the global CBD market is anticipated to be worth a staggering $20 billion by 2024.
This value is being driven by consumer demand, which in turn is being driven by a host of factors including that:
- People are becoming more open to the idea of using hemp-derived products
- Anxiety and stress are big issues across the world
- Aches and pains are becoming more common than ever before
These factors will continue to drive the growth of CBD over the rest of 2019 and in the coming years. If you want to get a more developed idea of how effectively your CBD product meets the needs of your customers, be sure to learn how to collect customer feedback on your CBD product.
8. Payment processors are embracing CBD
One of the biggest barriers facing players in the CBD industry has always been a lack of financial services support. This was an issue because these payment processing providers often had outdated policies on selling controlled substances.
With the passing of the Farm Bill, hemp and its derivatives were made legal in the US. This means that payment processing providers have been putting the infrastructure and legal framework in place to process the payments related to the sale of CBD products.
Square has done a fantastic job and made itself the first to market. In a blog post published this week, it outlined the details of its CBD early-access program.
While this does not have an impact on sellers operating in the UK, it’s still a positive sign that the global industry is moving in the right direction.
7. More products continue to emerge
Another reason the popularity of CBD has surged in 2019 is the variety of products available on the market. This variety means that consumers have countless ways to unlock the benefits of CBD in a way that fits with their priorities.
As new products continue to emerge and hit the shelves, the profile and legitimacy of all CBD products is elevated. This helps the industry as a whole, and it means that more customers become familiar with CBD and its benefits.
There are a wide range of unique products available on the market. Earlier this year, Carl’s Jr experimented by offering a delicious CBD burger for just one day in Denver. This is just one example of the way that big brands have been experimenting with CBD in 2019.
There are also rumours that Coca-Cola and other food and beverage giants are eyeing the promising CBD industry. While some of those rumours have been proven false, it’s only a matter of time until a big player makes their entry into the maturing CBD market.
When that happens, we can look forward to CBD’s popularity and public perception hitting new heights.
6. The “Farm Bill” has matured for almost a year
On December 20, 2018, Donald Trump signed the 2018 Farm Bill into law. This important law did not make many significant changes to the farm and nutrition policy in the US, but it did deschedule a range of cannabis products from the Controlled Substances Act.
This bill is helping to facilitate the commercial cultivation, processing and marketing of hemp. This has helped farmers and other processors to generate additional revenue, and it also means that it is easier for businesses to access high-quality CBD.
The success of the bill demonstrates the demand for CBD products among customers in the US and beyond.
The legislative acceptance of CBD around the world is also helping to legitimise CBD products in the eyes of consumers.
5. Big players continue to invest
If you want to assess the health of an industry, you should always look at the level of investment that is being made by big players. The CBD industry has consistent growth potential over the next decade and is on the radar of large investors.
In the US, there are a range of companies securing success in the CBD space. Just this week, a new player entered the market: International Flavors & Fragrances. This company provides flavour compounds to the food and beverage industry.
Now, the company has decided to invest in the CBD market and produce a range of CBD products. This company isn’t alone, either: Abercrombie & Fitch and American Eagle Outfitters have also made steps into the market.
The fact that such large businesses have faith in the power of CBD should give business in the UK a lot of faith in the potential of the CBD market.
4. Medical research continues to uncover the potential of CBD
The buzz around CBD began within the medical community, and researchers and medical professionals are still uncovering the wonderful potential of the cannabinoid in 2019.
Just this week, researchers at Western University announced that they had uncovered the molecular mechanisms that make CBD so effective at counterbalancing the psychoactive effects of THC.
This is a very exciting finding that could have far-reaching implications for the CBD industry as a whole. Research will continue, focusing on discovering methods to improve the effectiveness of CBD-derived therapies. The team are also looking at ways to formulate THC with fewer side effects.
Each of these exciting studies helps to deepen our understanding of CBD and elevate its public profile.
3. The Arthritis Foundation is embracing CBD
Arthritis is a very serious condition and it affects the lives of more than 10 million people in the UK. The condition can lead to restricted movement due to inflammation and it is often incredibly painful.
Thankfully, CBD is emerging as a natural solution so that those 10 million people can tackle their arthritis effectively. This is possible because CBD has anti-inflammatory properties that help to ease the burden on joints and other areas.
As more people suffering with arthritis uncover the potential of CBD, we can expect the market to experience explosive growth. That came one stop closer this week, too, when the Arthritis Foundation released CBD guidance for adults with arthritis.
These guidelines mean that more arthritis sufferers will see the potential of CBD, and that businesses will benefit from a new group of enthusiastic customers.
2. Celebrity endorsements are growing
Celebrity endorsements can help to push products to new heights, and it’s also a sign that a product is reaching the mainstream.
Many CBD products are receiving celebrity endorsements these days – a sure sign that the CBD’s reputation is improving and that new customers will explore its potential for themselves.
Kim Kardashian recently explained in an interview with People magazine that CBD has helped her get through a lot. The beauty superstar explains that she uses CBD as a natural alternative to prescription medication, and that it’s also very helpful when trying to fall asleep.
These endorsements are more common than ever before and celebrities are trying to capitalise on the promising potential of CBD. Here are just some of the various celebrity-led CBD initiatives:
- Willie Nelson is launching a range of CBD products
- Rob Gronkowski – the NFL legend – launched a line of CBD products in partnership with Abacus Health Products
- Mark Wahlberg plans to release a range of CBD-infused products in the near future
There are countless other instances of celebrities and superstars mentioning how CBD has helped them in their interviews.
1. The holiday season will provide growth
While high street stores are still struggling with slow sales, the upcoming holiday season always produces a boost. Shoppers are often on the lookout for a unique gift, so a CBD-infused product is the perfect candidate.
We are confident that companies with a CBD offering will witness a strong end to 2019 as more eager shoppers are on the lookout for CBD than ever before.
Grow Your Business with CBD Capital
We hope that you have a fantastic final quarter of 2019 and that your CBD products sell well. As you can see, things are looking very promising indeed for the CBD industry.
Here at CBD Capital, we are confident that 2020 is going to bring even more growth and excitement. Our clients are experiencing growth and their products are selling well – our high-quality wholesale CBD certainly plays a role, too.
Are you thinking of creating a CBD product for your customers, but you’re not sure where to get started? We have put together the following resources to help you:
9 Steps to Put Your CBD Product Ahead of the Competition
So, you’ve decided to make the leap and invest in your very own CBD product. But how are you going to stand out from the crowd in such a competitive and ever-evolving industry? You’ve got to develop a strategy.
In this guide, we recommend nine steps that you can take to put yourself ahead of your competitors.
How to Build the Reputation of Your CBD Product
In the nascent CBD industry, reputation really is everything. If you decide to launch a CBD product and try to grow your revenue, you’ve got to consider how you are going to grow its reputation.
In this guide, we take a look at why reputation matters so much and how you can improve it.
How to Help Your Customers Shopping for CBD
CBD is very popular – but your customers are often still uncertain about whether or not to take the leap. If your product is going to succeed, you have to be ready to offer expert advice to your customers.
In this guide, we explore the steps that you can take to help your customers make an informed purchase.
How to Communicate the Benefits of Your Products
There’s a good chance that your customers have a basic understanding of CBD, but your particular product’s benefits may not be immediately clear to them. It’s very important that you can articulate the benefits of your product to differentiate it from the other available options.
In this guide, we suggest ways to ensure that you are effectively communicating the benefits of your CBD product to your customers.
If you are interested in finding out more about CBD and taking your first steps, we’re here to help. We would be very happy to discuss your plans with you and offer you the guidance that you need.
Here at CBD Capital, we offer the best wholesale CBD on the market. Be sure to get in touch with us today to discuss how we can meet your needs.