The CBD industry is experiencing lively and fast growth like never before, as scientific advancements in the study of cannabis are quickly leading to a mass de-stigmatization in the eyes of the general public. As researchers have shown the powerful benefits of non-intoxicating cannabis, more and more consumers are turning to cannabidiol products for a wide range of reasons. In the form of creams, oils, and sprays, CBD has become a proven treatment for pain relief related to issues ranging from arthritis, to inflammation, to eczema and beyond. As gummies, capsules, or in various candy forms, CBD is also popular for treating anxiety and insomnia.
CBD has even become a popular option with pet owners and veterinarians, who use it to calm hyperactive or volatile dogs and cats. With its popularity surging and further growth being essentially a sure thing–CBD retail sales are projected to reach $16 billion within the next four years. And as a result, many entrepreneurs and small business owners recognize that now is the perfect time to enter the CBD industry.
But with CBD, it can certainly be overwhelming to know where to start. These seven steps can help a CBD business entrepreneur get started:
- Commit to a specialty. You want to get into the CBD business, but what’s your angle? CBD beverages? Natural pain relief? In an increasingly crowded marketplace, it’s essential to decide exactly what you want your product to be and what makes it special. It’s nearly impossible to be completely unique, but look for a niche within the industry and stick to it. You want to be the authority in whatever lane you choose.
- Know your customer. Is your product intended for adults of a particular demographic? Senior citizens? Dog Owners? Athletes? Focusing on a target audience and understanding both their needs and their preconceived notions regarding CBD will be vitally important in marketing to them effectively.
- Understand the law. Laws regarding CBD are complex and vary from state to state. While medicinal use of CBD is legal in most states, recreational use is not legal everywhere. Research will be necessary to understand what the law allows and prohibits specific to where you plan to sell.
- Find your CBD supplier. Just like any natural product, the quality of CBD can vary depending on how and where it’s sourced. Do your homework and find a supplier who you trust.
- Choose the right e-commerce platform. The widespread growth of e-commerce platforms has given so many business owners the power to build and run a business anywhere in the world, as long as they have access to the internet. BigCommerce and Shopify are two of the largest e-commerce platforms that are CBD-friendly, but there are also smaller options that may be right for you.
- Marketing can be (almost) everything. With dozens–if not hundreds–of variations of nearly every type of CBD product available to consumers, you’ll need a smart and clever marketing plan to ensure that your product stands out from the rest. From the name you choose to the color of your packaging, careful and unique thought will need to be put into achieving the right blend of marketing elements that will influence consumers to choose you from the others.
- Let’s hear it from your customers. From Amazon to Yelp, online consumers look to their peers to help make their decisions. While good marketing is key to getting noticed, authentic and compelling customer reviews are often crucial when it comes to sealing the deal. Generating these reviews may require outreach, free samples, rewards, and other additional expenses–but the trust and confidence they’ll inspire will be worth it. And nothing beats repeat customers who love your product enough to spread the word themselves.
At Mad Mind Studios, our team specializes in providing branding, logo design, labeling and packaging for CBD products. If you are interested in learning more about how we can help build your business, contact us to get started.