Cannabinoids, or CBD, have become a popular thing in the medical world. The Cannabis Industry started to enjoy unprecedented growth after its legalization after the farm bill of 2018. CBD extracted from hemp containing 0.3% THC composition was made legal in all 50 states of the USA.
This industry has grown into a multi-billion-dollar industry on its own. According to a market survey, the CBD industry will harvest a generous $16.32 billion in the United States by 2026.
As a result, a growing number of players are joining the market. Trying to set your company apart from the rivalry is still tricky. Therefore, if brands are to climb to the top of the graph and stand out from their competitors, they must implement a proper CBD marketing plan.
What IS CBD?
Cannabidiol (CBD) originated from the Cannabis Sativa family, from which hemp originates. The main element present in hemp is CBD. CBD has no psychoactive properties that mean you will not get high because tetrahydrocannabinol (THC) is not present in it as present in marijuana.
CBD comes in various forms, such as candies, tinctures, vapor, cream, and more. It helps in reducing anxiety, depression, swelling, epilepsy, and pain.
HOW VAST IS THE CBD MARKET?
The CBD market is now enormous, and it is quickly expanding, thanks to rising customer awareness, ongoing studies into its advantages, and supportive legislation such as the federal Farm Bill 2018. Some research estimates, CBD revenues would exceed $1.8 billion a year by 2022, a significant increase from sales of about $500 million in 2018. Experts also predicted that the CBD consumer market would quickly outperform the entire legal cannabis industry by many years.
However, a closer examination of success patterns reveals that the CBD industry in the United States is trailing in the footsteps of the legal marijuana market, which will reach over $23 billion in the next half-decade.
Why are CBD products being used by millions of people these days? Its success may be due to the following notable advantages:
- CBD is not psychoactive
- CBD is legal
- CBD helps in the treatment of wide varieties of problems like depression, anxiety, and pain
WHY IS MARKETING OF CBD IMPORTANT?
Marketing plays a big part in the success of any company. Marketing helps to inform your customer about your products or offerings. The CBD marketing craze has arrived in full force. The spike in CBD marketing is hard to miss online as it might be in the form of a CBD-focused Facebook ad that grabs your attention.
A Google-optimized CBD advertisement campaign that directs visitors to an online store is also typical.
Some of the steps to keep in mind for good CBD marketing are as follows:
1. Acquiring new customers
According to a survey by High Yield Insights, roughly 40% of U.S. customers aged 21 and up said they might pursue CBD-Based products. This number will rise in the future, making it crucial to find buyers by using the strength of CBD marketing. Customers are looking for assistance, and you must be the one to have it!
2. Making the brand stand out
The CBD industry is overflowing, with new businesses popping up regularly. You should abandon your plans to make money with CBD marketing, and you should learn how to stick out and distinguish your brand from the competition. Frequent marketing can ensure the same.
Create engaging video content to engage your viewers, conduct business polls, and don’t be shy to show customers how they will profit from your services. You may also think about concentrating on a particular niche.
3. Customer Retention
CBD marketing will assist you in attracting loyal customers. Affiliate marketing is a perfect way to increase customer satisfaction, but only big brands seem to recruit associates, demonstrating the value of brand recognition. Having genuine consumer testimonials on your website, which includes legally sound statements, will improve your credibility and keep customers coming back for more. If you want to maintain the overall loyalty and raise the chances of consumers returning, send out emails, give discounts to recurring customers, and allow them to invite a friend in exchange for a free product.
Conducting surveys will inform you of consumer desires, as well as places where you might be unable to meet them. You should also concentrate on problem-solving, continuing assistance, and, of course, maintaining contact with the client base!
LIMITATIONS OF CBD ADVERTISING
It is the best practice for a brand to advertise Cannabidiol-based product’s medical properties to the world for gaining traction but the Food and Drug Administration (FDA) disapproves of this. There are some limitations in CBD advertisement which every company should keep in check, which are as follows:
1. Health and Medical claims
You may have seen reports on the internet that CBD is a magic cannabinoid that can treat many medical conditions, illnesses, and disorders, including epilepsy, autism, arthritis, insomnia, and severe pain.
Your advertisement should not be making any health or medical claims because FDA does not approve any company to claim any such thing.
2. False or Untested Assumptions
When attempting to entice consumers with an online CBD marketing strategy, anything you claim must be backed up by credible sources and quoted if needed. Claims must be substantiated, reliable, and always authenticated. Know that something that is not a fact should not occur in the marketing scripts.
CBD obtained from cannabis cannot be advertised on Facebook. However, if you are mainly interested in hemp-derived products, you are in luck.
On June 26, 2019, Facebook announced that its ban on CBD products is not valid anymore, allowing marketers to run advertisements on the social media website advertising topical hemp products.
4. Google Ads
If you plan to run a Google AdWords commercial advertising CBD goods, you risk having your ad removed and potentially being barred from running all potential ads, even if they are not CBD marketing ads.
In the modern world, branding your product is an essential step as the online footprint of users has increased over the last decade. Creating demand, satisfying the customers, and sharing those positive reviews is a great tactic to do the same.
Major social sites currently do not accept CBD ads, but there are many ways to get around this issue. When used together, social media and content marketing provide CBD marketers the ideal opportunity to inform their audience and raise brand awareness without resorting to coercive selling tactics that could result in account suspension.