The demand for CBD oil products has seen a rush of products released to the market, but given the importance of safety and management of these products, the packaging for cannabis and CBD related products are extremely well-regulated. There is a need for packaging that is child-resistant, that have lids that are tamper proof, that have resealable lids and for the packaging is clear. There are many assorted products on offer and there are many different formats with respect to packaging. New companies have entered the market to meet the needs of these new products and existing companies have been supplementing their product range with packaging solutions better suited to the needs of CBD users.
There is a need to ensure that CBD oil products are instantly recognised and that they are differentiated from other products available on the market. Many firms also want to ensure that their image and brand is well represented through their packaging, and this creates other opportunities for differentiation in a crowded marketplace. There is definitely an opportunity for product packaging companies to be innovative, creating solutions that drive sales and interest, but which also meet all the regulatory requirements of products in this market and sector.
An issue which has been led by banks and financial institutions in the United States, but which has trickled down throughout the world, is that many national banks are reluctant to engage with the legal marijuana market because not all states have legalised the product. Many financial institutions are concerned about the repetitional risk of being seen to support a potentially illegal product. It’s fair to say that, even if CBD oil is fully legal, some banks are concerned about the links that people will hold to CBD and marijuana. It is also a fact that some banks have been misinformed and may hold a perception about CBD and marijuana products that aren’t true.
Studies also show that major online payment processors, such as PayPal, have not provided services to some CBD companies because they are unsure about the industry and are erring on the side of caution. This has led to frustration for many firms operating in the industry but as always, when an opportunity arises, some firms step into the breach to fill the gap and provide the necessary services. In the United States, there has been a wave of smaller local banks and credit unions supporting the legalised cannabis sector. In fact, it is stated that there are more than 400 local banks and credit unions in the United States who provide services to legal marijuana clients, and this is a figure which has tripled since 2014. Some of these institutions charge a higher fee to legal marijuana firms than they do to standard businesses, but given their circumstances and lack of options, many firms are happy to pay.
The situation in the United Kingdom and Europe is different from the United States, but given the traditional nature of the banking sector, it is no surprise to learn that some CBD firms have experienced opposition in their attempts to operate as a normal business. However, as awareness of CBD oil grows, and the industry and products are better trusted, it is likely that the banking sector will move towards it.
Traditional banking is not the only way to move money about, and the cryptocurrency sector has shown itself to be willing to support the CBD sector. Bitcoin remains the leading cryptocurrency but there are many options to consider and some of them are even offering distinct services to firms operating in the CBD or legal marijuana sector. The cryptocurrency market is ideal for many operating in the CBD sector and the security features of this market will appeal to many. It is difficult to say for certain what the future of cryptocurrency is but many people feel that it will strengthen and flourish in years to come.
By partnering closely with sectors like the CBD oil market, the cryptocurrency market could find itself with a useful ally that will drive both sectors forward.
Hemp production is a major component of CBD oil, but of course hemp has many uses and can is used in clothing and textiles production. A major benefit to farmers and agriculture professionals is the fact that hemp takes up around half the land that cotton does to produce a ton of completed textile, and this means that many hemp farmers are developing an interest in this market.
A 2017 study suggested that CBD oil products provided the biggest market for farmers growing hemp in the US. Even though it is estimated that hemp can be used in around 25,000 other products, with the demand for CBD oil likely to rise even further in future years, this is a market that could have a hugely positive impact on farmers around the world.
There is no denying the e-commerce platform is likely to be huge with respect to CBD oil products. The market is already flourishing with online retailers offering more effective products at a lower price than what can be found on the High Street. There is still an air of caution surrounding the CBD oil sector and it may take a while for the product to be commonplace in physical stores or command a lot of space in this sector but buying CBD online, firms can reach out to their market in an effective and appropriate manner.
One of the biggest challenges the CBD oil sector faces is spreading the word about its product range and what it has to offer. While there will be people actively searching for CBD oil online, there are many people who would appreciate what the product offers who may not even know it exists.
There is a need for the CBD oil sector to grab the attention of people who aren’t aware of their existence and the billboard advertising sector should pay close attention to the needs of the CBD sector. With an increasing number of positive reviews and testimonials for CBD oil, there is scope for a billboard advertiser to create campaigns for firms within the sector that capture the imagination and drive attention to products within the sector.
Beyond traditional billboard advertising, the online world could see an influx of advertising as legalization increases. Cannabis businesses are currently excluded from paid advertisements on popular platforms such as Facebook, Twitter, and Google. As legal cannabis becomes more mainstream, we could begin to see more digital advertisements, commercials, and other forms of marketing.
So far, the leading platforms are wary of advertisements for CBD oil and related products. However, this is unlikely to be the case in the future. There is a growing awareness of the market, of how many users have enjoyed using the product and there will be many more companies entering the market.
The increased level of competition in the market will lead to some firms willing to pay a substantial amount of money for digital advertising, which is likely to be the factor that persuades a leading platform to open up its digital advertising channels. Once one firm platform operates in this sector, it is likely that many similar platforms will follow on, which could lead to a boon in the market for CBD firms advertising on digital platforms.
It is not always helpful to look to the American market to see where the UK or Europe may follow, but when it comes to the food sector, there is a lot to be learned from looking at the American market. In 2017, consumers in California alone bought $180m worth of cannabis-infused food and drink. This represented 10% of California’s overall marijuana sales. For February of 2018, according to Green Market, food and drink made up 18% of the state’s marijuana sales.
It’s not just in California where the marijuana edibles market is growing. Washington state has experienced a significant increase and Colorado have also watched sales increase significantly. This is a market that people are interested in and with so many consumers stating that CBD oil products have improved their life in one way or another, it is natural that many people hold an interest in CBD oil infused products.
Reviews state that many people use CBD oil when baking at home, placing it into their food and drinks to make it easier for them to consume and feel the benefit. Not everyone is happy baking in this manner, perhaps being worried about the measures they use or the methods they undertake, so there will be a demand for products which already contain CBD oil.
Taking CBD related products and their development into account, there is a lot for the alcohol industry to be concerned about. Numerous studies suggest that young adults are less likely to drink today and are much more concerned about health and health risks, which will impact on industry sales and create concerns for the future.
The drink sector needs to find new products or new ways of engaging with a younger (but of legal drinking age) sector and it may be that CBD related products will be of benefit and interest to the market, however what will CBD food products taste like?
It is believed that Diageo, a UK based firm who hold brands like Guinness, Smirnoff, Johnnie Walker and Baileys have been in discussions with cannabis producers in Canada with the aim of making a drink infused with marijuana. It is not inconceivable that CBD oil will present a way for firms to enter this market, change their image and develop an interest from young adults
There are many reasons why youngsters are turning away from alcohol with health issues being a major factor. Given that many people believe CBD oil offers health benefits, it could be a tie-in between the sectors which could deliver fresh impetus to the alcohol sector, it may of course be that the markets are too opposed for any major collaboration work to be a success.
It would be fair to say that the tobacco industry has been hugely affected by CBD products and the legalisation of marijuana in certain states of America. However, while the two markets are adversaries now, there is scope where the two sectors could come together.
It would be no surprise if tobacco companies tried to incorporate CBD oil into their products. There are already vape products utilising CBD oil, allowing users to gain benefits that way, and the tobacco industry is likely to see the benefits of using CBD oil in cigarettes.
With companies like Amazon distributing countless packages and parcels every single day, it isn’t as if online sales of CBD oil will transform the industry. However, the growing popularity of the product and market may lead to even more pressure on these professionals. This could lead to more professionals being taken on or it could lead to existing firms and professionals requiring larger vehicles.
It may even be that some firms have to consider the nature of the products they transport and determine if their current methods and mechanisms are reliable enough. However, a growing demand for CBD oil products is likely to lead to more demand for delivery services and that can only be positive for professionals in this sector.
Given the level of research that is currently being undertaken in regard to CBD products and their impact on people’s health and well-being, it would be wrong to hypothesise too much on how these products will change people lives. However, the volume of testimonials of people saying how much better their lives are, or how more active they are or how more optimistic they are could impact on countless organisations.