Maybe it’s because of the wide-spread legalization and the ongoing research that’s generating an exponentially exploding market for CBD products, or it’s because CBD really works… either way, according to the Hemp Business Journal, the CBD industry is predicted to expand to a $1.3 billion market in consumer sales by 2022. With a vast selection of products to choose from, there’s no greater addition to any mind-body-spirit store, no matter what your merchandise focus. If you’re considering selling CBD at your shop, here are some practical answers and valuable technical information to help guide you:
1. Get Educated About the Topic
Count on being inundated with questions, which is why brick-and-mortar selling is recommended. Direct customer contact lets you offer immediate answers and give personal advice, which will be much appreciated. Have a deep understanding of the product and information gathered from reputable sources. Once you know, educate everyone working for you. Your team should be able to handle questions while never offering claims.
2. Standard Questions and Answers to Know
>> YES, CBD derived from industrial hemp is legal in all 50 States of the United States, thanks to the 2018 Farm Bill , as long as it contains less than 0.3% THC.
>> NO, it won’t get your customers high! For this reason, it’s imperative to confirm the levels of THC in any products you’re carrying.
>> What About claims? Although there’s ample research that supports phenomenal benefits, at this point, it’s illegal for suppliers and sellers to make medical promises. Make sure there’s a visible disclaimer notice on whatever you’re carrying.
>> Does CBD have side effects? Research is ongoing, but so far, side effects are negligible if any. When taken in high quantities, some report drowsiness, while others report stomach discomfort.
>> Do I need a special license to sell CBD? No, and retailers can add it to their stock as long as they have a resale number and business license.
>> Does my merchant processor allow CBD sales? Call your credit card processor to confirm they allow selling it on their equipment. If they don’t, consider finding another cc processor that does.
Quality Matters. Quality offerings build an important tier of customer loyalty. Do ample research to find a reputable distributor since there are oodles available in the marketplace. To ensure quality, look for the following:
Sourcing. Since there’s still little regulation, where CBD sources from often predicts quality. Many reputable wholesalers source from the U.S. or Europe, where farmers have years of experience growing hemp. Research farming practices to confirm the use of above-standard, if possible organic, methods.
Extraction method. Extracting CBD oil from hemp using CO2 is the safest and cleanest way, rather than harsh chemicals that are difficult to fully remove from the final product.
Certificate of Analysis (COA). This report confirms the levels of THC and other compounds in a CBD product, ensuring that customers are receiving a pure product that contains exactly what’s on the label. You can send for a third-party test to confirm.
Price. Be wary of CBD that’s available at an incredibly low price. You get what you pay for.
4. Custom Services
It’s good to know if a distributor offers additional services to support sales. Some provide private labeling, employee training and in-store demonstrations. Request product samples for you, your staff
5. Other Things to Keep in Mind
Make no claims. Selling CBD does not give you the authority to make claims that it prevents, treats, diagnoses, or cures a disease. Be overly cautious with your choice of language, never using terminology that could infer CBD is medicine.
Information overload. For those busy times, make sure to post informational signage. This allows customers to make an informed purchase and will increase the visibility of the product. Offering info handouts can create return business if a customer isn’t ready to make a purchase.
Spotlight inventory. Proudly display in high traffic areas to grab customers’ attention. People are curious, enthused, and want to check out this exciting new product, so help them find it fast.
Diversity helps. Don’t overdo it at first, but a good selection expands your audience and augments the appearance of expertise. Or, just simply add some lotions into your body products section. You know your target audience, so make them happy.
Toot your horn. Like carrying any new product, announce it on social media, including product images. Use location targeting. Add keywords to your website. Host in-store events and classes. Partner with other compatible businesses (i.e. yoga studios). Write blogs and pitch press releases to local publications. Be creative, educational, excited!
Go online. Develop an online store to capture an audience outside your shop environment. This will also make it easy for those who didn’t make an in-store purchase but are now ready to do so. Remember: People want to support local businesses. Make it easy for them.