Selling CBD Online
Often described as new to the mainstream market, cannabidiol (CBD) is rapidly becoming a trending commodity. The growth of CBD in the last few years is nothing but fantastic. CBD oil has grown from being just an alternative treatment to a multimillion-dollar market. The health and therapeutic benefits of CBD can be credited to the buzz its market is generating. Daily, people make use of CBD, thus increasing credibility from doctors, researchers, lawmakers, and users. Going by the growth rate, the CBD market is growing at an annual rate (CAGR) of 30.7%. If the current growth is sustained or even improved, by 2022, the CBD market will expand to an estimated $2.5 billion. By 2024, as estimated by BDS Analytics, U.S. CBD market will eclipse the $20 billion mark.
In a bid to make a profit from this booming market, you have to understand what CBD is and how to correctly and legally set up your market online. The competition is fierce, and there are legal clauses attached to the market.
What is CBD?
Cannabis is made up of many compounds, one of which is cannabidiol. The most famous among the compound is tetrahydrocannabinol (THC). It is chiefly responsible for the intoxication you get from consuming cannabis. Unlike THC, CBD does not intoxicate; instead, it offers therapeutic health benefits. CBD alleviates a wide range of conditions ranging from cold to chronic pains and in some cases, epileptic seizures. The body is equipped with an endocannabinoid system (ECS). The system produces cannabinoids on its own. It achieves homeostasis sent by cannabinoids such as CBD.
Legality of CBD
CBD has undergone a lot of legal processes in the past, and even in the present, there are still clauses that make it hard for anyone to market it. The 2018 Farm Bill may have federally legalized industrial hemp, but that doesn’t eradicate other significant regulations. The Farm Bill has placed the regulation of CBD under the control of the Food and Drug Administration (FDA). The FDA on its part is still devising regulation to keep CBD in proper check, leaving the industry in some limbo. At the moment, marketing CBD is prohibited in most of the mediums. CBD infused foods and beverages are also deemed as illegal. FDA regulation is a significant concern for merchants hoping to sell online. As a merchant, if you are wondering what the best strategy for making online sales are, the answers to your questions are about to be answered.
Selling CBD online
Selling CBD online does not stop at having CBD licenses or having a certified supplier. Even with a permit and a supplier, marketing and selling CBD products online is still quite tricky. The Farm Bill may have legalized industrial hemp, but it is always challenging to sell CBD on major e-commerce platforms like Amazon or eBay. Employing the use of social media advertising is not allowed. Paid Ads on Facebook or Google are even more detrimental, as you risk the ban of your product or suspension of your account. To sell anything that is CBD related, you have to be creative enough to have your own website.
Given that you have all valid documents and paperwork to sell CBD, your website should be the next step. What you need is a website with an effective e-commerce solution. Having a successful website involves:
Product development: Your products should evoke a strong appeal. Your product descriptions should be explanatory enough with catchy descriptions to attract your target market. In addition, product Labeling and packaging plays a vital role in product branding
Organized User Interface: Establishing an e-commerce site that is easy to navigate will significantly increase product sales. Sales in CBD products translate to the credibility and relevance of your business.
Traffic through SEO: With a website up and running, your best alternative to an advertisement is to drive traffic to your website with the use of an organic search strategy. Search Engine Optimization (SEO) is a sure method of driving online traffic to your site. SEO is known to entice the general public to websites. Tailoring your content in a way that suits their lifestyle will do the trick.
The key to gaining a competitive advantage in the CBD market is to provide quality products backed up by an effective website.