Since the legalization of CBD earlier in 2018, the global CBD retail business has undergone a phenomenal growth which is about to turn into a mind-boggling $24 billion industry within the next 3-4 years. This exceptional growth behaviour has led to a massive influx of entrepreneurs to this industry.
Like the other industries, the good, the bad and the ugly players exist here too. There are some top-notch CBD brands that really care about the consumer market and provide the customers with the best quality products. Similarly, there are brands that produce the low-grade CBD products and creating the misconception about the potential of CBD among the consumers.
According to the Journal of American Medical Association, most of the CBD products available online did not contain the right amount of CBD in them and about 69% of these products were mislabeled. Some were found to have less and some had a higher level of CBD than that was mentioned on the label of the products. Even some products were found to contain hidden cannabinoids and a remarkable amount of harmful substances.
As a consumer, you do not want to purchase a product that is not suitable for you or that can worsen your condition. So, it’s very important for you to shop the top quality products from reputable brands.
As an entrepreneur, it’s a challenging job to survive in this reckless competition and build a trustworthy brand. On the other hand, the need for authenticity and reliability among the consumers leaves a wide room of opportunity.
So, if you are looking to build a CBD business there are certain factors you need to consider so that you can make sure to provide the consumer market with a bunch of good quality products.
The quality of the CBD extracted from hemp depends a lot on the geographical location of the place where it is grown. So it is important for you to know where your CBD is coming from.
Among most of the countries that grow hemp commercially, plants grown in the United States are the finest because they maintain the best environmental regulation. It’s safe to source the CBD extracted from the hemp grown in the United States because it is compliant with the U.S. government standards.
The reputable and the plain-spoken CBD companies test their CBD in third party laboratories so that they can inform the wholesalers and the consumers about the chemical composition of the product. On the other hand, testing is crucial for any brand to maintain the quality of the products and to make sure the products don’t contain any sort of impurities. It’s also important for the consumers because they want to make it certain that the products they are going to purchase are safe and pure.
As an entrepreneur, it’s one of the most important factors that you should consider very seriously and don’t forget to be assiduous with your assessment.
It is always a good idea to have a clear vision towards your business goals. While starting a CBD brand, the first thing you have to consider is whether you are going to provide a wide variety of products, focus on a few products or are you going to produce only a single product.
The fewer products you have in your catalogue means that you can ensure enough energy and time on each product. And if you are going to specialize as a craftsman of a single product, you will be able to invest a significant amount of your effort to it, which we think is the best to start off.
It’s important for you to be aware of the reputation of your company and how you are deemed in the marketplace. The best ways to do this is by having a website, in addition, being active on social media and encourage the customers to write positive reviews about your products. This way you can stay conscious of your consumers’ demand and know how they perceive your products. It gives you an opportunity to work consistently and make things better.
Before building a CBD brand or selling CBD products, it’s very important to do extensive research on the consumer market. In addition to that, you have to keep in mind that, the consumers who are shopping for a CBD product are no different than the customers who are shopping for any other products day in and day out.
Once you can make sure that your products meet all the traits which are considered to be the standards of a reputable brand, you can rest assured that the customers are going to make sound purchase choosing the products of your brand.
When the Farm Bill was passed in 2018, it made all the CBD products that contain less than 0.3% THC legal in 50 states. It’s better if you start only with the products which are legal in all 50 states. This will give you the opportunity to have access to a substantial marketplace and on the other hand, it’s the best way to avoid troubles with the law-enforcement officials and the federal government.