According to market research released in March by leading cannabis researchers BDSA (formerly BDS Analytics) and Arcview Market Research, the U.S. market for cannabidiol (CBD) products sold through general retail channels is likely to reach $12 billion by 2024. That figure may reach even greater heights if pandemic-period buying trends continue.
Rather than hindering CBD sales as consumers sheltered in place, the crisis inspired shoppers to seek out wellness products to help them cope with pandemic-induced stress, anxiety and other health issues. IRI data shows that for the 12 weeks ending June 14, 2020, sales of CBD health and beauty products jumped 37%. For some CBD product manufacturers, the gains have been even more dramatic.
Boston Hempire, a Hanover, Mass.-based CBD company, has seen a major increase in sales—up to 300% for some products—since the COVID-19 crisis began. The company offers an extensive line of CBD wellness products, including bath bombs, gummies, tinctures and topicals.
“Our gummies have seen a huge spike,” says Chief Marketing Officer Gregory Stearns, who attributes the sales surge to pandemic stress. “Our hemp flower is always a big seller, but the gummies, Hemp Extract Healing Salve Stick and melatonin CBD oils have been the biggest sellers.”
Stearns predicts that the market for CBD products will continue to grow in the coming months. “We are currently coming up on the new hemp flower harvest around October,” he says, “so we will see more hemp flower strains come to market this year and with that, more CBD companies as well as new and innovative products.”
Demand for CBD pet products is also on the rise. “Our line of calming products has done enormously well during this period,” says Min Lee, president of brand development and co-founder of League City, Texas-based Honest Paws, producer of CBD oils, chews, peanut butter and balms for dogs and cats. “Our pets are so in tune with us, often mirroring our emotional states, so when we humans display stress or anxiety, our pets experience the same emotions.”
Currently, calming and mobility products are the company’s top sellers, particularly in the form of tinctures, bites, soft chews and peanut butter. “We are always continuing to innovate,” says Lee, “and our pet balm is now our fastest-growing SKU.”
In terms of overall trends in pet-focused CBD products, Lee says he’s seeing a move toward human-grade ingredients and more sophisticated packaging design. “At the beginning of 2020, we overhauled our entire product line to stay ahead of this movement," he says.
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