In today's fast-paced digital world, capturing the global consumer market's attention in a short time frame is a rare feat. Yet, cannabidiol – commonly known as "CBD" – has managed to do just that, sparking a wave of interest across the medical market. CBD, one of the most talked-about cannabinoids, has carved out its own niche, with projections suggesting it could generate up to $16.32 billion in the United States by 2026 alone.
The rising demand for savvy CBD marketing strategies is undeniable, driven by the compound's growing popularity and regulatory landscape. With over 113 active compounds identified in cannabis, the focus has shifted from THC (tetrahydrocannabinol), known for its psychoactive properties, to CBD, celebrated for its therapeutic potential without the high. This shift has opened the market to a wide range of consumers, from different age groups to pets, all seeking the benefits CBD offers.
At efelle creative, a Seattle-based ecommerce website design and development firm with significant background in building Cannabis, CBD & Hemp websites, we understand the intricacies of effectively and legally marketing CBD products. Whether you're launching an online business selling CBD oil or other related products, it's crucial to navigate the legalities of marketing CBD oil to align your business with state and federal laws.
What is CBD?
CBD is a non-psychoactive compound that can be extracted from both hemp and marijuana plants, with the majority of CBD products derived from industrial hemp. This distinction is critical for marketers to understand, as it impacts the legal status and marketing strategies of CBD products.
CBD products are categorized into two main segments: food grade and therapeutic grade, with therapeutic grade products dominating the market share, accounting for 59.90% in 2018. This segmentation highlights the diverse applications and consumer demand for CBD products, underscoring the importance of targeted marketing strategies.
The Evolving Legal Landscape of CBD
The legal status of CBD has undergone significant changes in recent years. Previously, both marijuana and hemp were federally illegal across the United States, but recent legislation and public opinion have shifted toward legalization. The 2018 Farm Bill was a landmark moment, removing hemp from the Controlled Substances Act and granting the FDA authority over certain hemp-derived products. Despite this progress, confusion persists around the marketing and sale of hemp-derived CBD products, necessitating a careful approach to comply with federal and state regulations.
The Importance of CBD Marketing
The burgeoning CBD market presents a unique opportunity for marketers. With an estimated 40% of U.S. consumers aged 21 and above open to trying CBD, identifying and engaging potential customers is crucial. Differentiating your brand in an increasingly crowded space requires constant education, engaging content, and a focused marketing strategy. Retaining customers through affiliate marketing, customer testimonials, and personalized engagement strategies can help build brand loyalty and encourage repeat business.
Navigating CBD Advertising Restrictions
Marketing CBD products online involves navigating a complex set of restrictions, particularly around health and medical claims. The FDA strictly prohibits unverified health claims, necessitating a cautious approach to content creation and advertising. Marketers must ensure all claims are substantiated and avoid making any statements that could be construed as medical advice. Despite these challenges, platforms like Facebook and Google are beginning to open up to hemp-derived CBD advertising, offering new opportunities for brand visibility:
- Facebook: Advertising cannabis-derived CBD on Facebook was prohibited, but since June 26, 2019, the platform allows ads for topical hemp-derived products. Advertisers can now link directly to their landing pages, though Facebook's stance on CBD ads could change due to its historically strict policies.
- Google Ads (Adwords): Running CBD ads on Google AdWords risks ad removal and potential penalties. However, Google has initiated a trial for CBD advertising, inviting select companies to participate, with outcomes pending.
- Twitter: CBD advertising is not allowed on Twitter due to its ban on promoting illicit substances and herbal drugs. Yet, marketers can still use the platform for indirect marketing by sharing product news, engaging content, and building brand awareness without making health claims to avoid account suspension.
- Instagram: Instagram's CBD ad policies mirror Twitter's, but with less frequent penalties for CBD marketers. Direct sales attempts could lead to account termination, but sharing educational content and engaging posts is encouraged to build brand visibility. Instagram also supports direct links in stories and bios for business profiles.
Essential Branding Strategies for CBD Businesses
CBD, more than just a component of cannabis, stands out as a remarkable and naturally occurring compound that has defied the odds, breaking through skepticism and regulatory barriers to claim its place in the mainstream market. In such a competitive landscape, establishing a strong brand is indispensable for survival and growth.
Six Effective Online Marketing Strategies for CBD Products
With CBD consumer product sales projected to hit $16 billion by 2025, according to Cowen Research, tapping into this market demands diligence, consistency, and patience. Here's how to refine your approach and become proficient in increasing your eCommerce CBD website's sales:
- Leverage SEO: Enhancing your online presence through search engine optimization (SEO) is a cost-effective and organic method to elevate your brand. While the intricacies of SEO may seem daunting, the investment in expert SEO guidance pays off by positioning your brand as a credible leader in the CBD field, ensuring your site appears prominently in relevant searches.
- Content Marketing: Integrating SEO with high-quality content marketing enhances your brand's authority and reach. By distributing engaging blog posts, articles, and product descriptions across social media, you can significantly increase your online visibility and establish your brand as an authoritative voice in the CBD industry.
- Participate in Trade Shows: Personal connections made through industry trade shows can be invaluable. These events offer a platform to showcase your brand, meet peers, and potentially attract new customers and investors by demonstrating the unique value of your products.
- Develop an Affiliate Network: Affiliate marketing is a powerful tool to amplify your message without direct effort on your part. With the affiliate marketing sector expected to grow, leveraging networks like ShareASale, CannAffiliate, and Clickbank can broaden your reach and enhance brand visibility.
- Engage with Influencer Marketing: Diversifying your marketing strategies to include influencers can dramatically expand your audience. Influencer marketing, a rapidly expanding field, offers a unique way to connect with potential customers through trusted voices, provided influencers clearly disclose their relationship with your brand.
- Optimize Email Marketing: Despite being one of the oldest digital marketing tools, email marketing remains highly effective. Tailored newsletters offering special deals to subscribers can foster loyalty, encourage repeat business, and keep your brand top-of-mind among consumers.
By adopting these six strategies, CBD companies can not only navigate but thrive in the dynamic and growing online marketplace. Establishing a robust brand and leveraging diverse marketing channels are key to capturing and retaining a significant share of the burgeoning CBD market
Stay Informed and Adaptive
Navigating the evolving landscape of the CBD market requires vigilance and adaptability from marketers. As regulatory frameworks are refined, understanding the intricacies of federal, state, and local regulations governing the marketing and sale of hemp-derived CBD products is crucial for online success. Key areas to monitor include:
- Legal Developments in CBD: With cannabis normalization on the rise – over 94 million Americans have tried cannabis at least once – the legal environment is rapidly changing. Despite this growing acceptance, the volatility of the hemp-derived CBD market, influenced by the uncertain legal status of CBD, demands constant vigilance. Laws are in flux across different jurisdictions, necessitating ongoing awareness.
- Updates on Advertising Guidelines: This article's insights are current as of its publication, but the landscape of CBD advertising and marketing is dynamic, with potential shifts as advertisers review and possibly revise their policies. Being proactive and informed about these changes is essential for compliant marketing strategies.
- Trends and News in Cannabis: Staying informed about developments within the broader cannabis industry, including both marijuana and hemp sectors, is vital. Resources like High Times, Canna Law Blog, and Marijuana Business Daily offer valuable insights. Engaging with these sources through RSS feeds and email newsletters, much like engaging customers on your digital platforms, ensures you remain well-informed and ahead of industry trends.
By maintaining a proactive stance and keeping informed about legal changes, advertising guidelines, and industry news, marketers can navigate the complexities of the CBD market more effectively, unlocking the potential for significant rewards.
Next Steps for CBD Marketers
For marketers new to the CBD scene looking to tap into its lucrative potential, adopting certain strategies can place you ahead in this competitive market. Key tactics for effective CBD product promotion include:
- Conducting Keyword Research: Customers often start their journey with a search query. Achieving a high ranking on search engines like Google begins with thorough keyword research. Incorporating these keywords into your website's titles, meta tags, and content can significantly improve visibility.
- Implementing SEO: Optimizing your website with selected keywords targets your specific market segment. Ensure your site is submitted to directories and meta tags are well-crafted. Including relevant search phrases throughout your site enhances your SEO efforts and drives traffic.
- Emphasizing Content Marketing: Investing in quality content marketing, whether through outsourcing or in-house creation, is invaluable. Producing engaging, keyword-rich content not only draws in visitors but encourages them to stay engaged with your brand.
- Building Links: Link building remains a cornerstone of digital marketing. By contributing guest posts to authoritative sites, you gain valuable backlinks that boost your search engine ranking. Remember, linking out to credible sources within the cannabis and hemp sectors can also drive additional traffic to your site.
Note: Be mindful that the content you link to and from could be considered as part of your promotional materials. Ensure any linked content, including articles and scientific studies, complies with advertising standards to avoid implying unverified health benefits.
- Leveraging Analytics: Tracking your marketing campaign's performance through analytics tools like Optimizely, SEMrush, and Kissmetrics can be highly motivating. Watching your efforts translate into improved results offers insights into what works and what needs adjustment.
As global perceptions of cannabis shift, entering the CBD marketing space now positions your brand for success. Staying informed through daily industry news can enhance your market understanding, helping you build a trustworthy and reputable brand.
Let us help with your cannabis business with their website project:
Despite the challenges posed by advertising restrictions and legal uncertainties, the CBD market offers significant opportunities for growth. By staying informed about legal changes, leveraging digital marketing strategies, and focusing on brand building, businesses can successfully navigate the CBD landscape. At efelle creative, we're committed to helping our clients thrive in the evolving world of CBD ecommerce, offering expert guidance and tailored strategies to ensure success in this dynamic market. Click here to discuss how we can help YOUR CBD business thrive online.
This overview does not constitute legal advice, and we encourage businesses to consult with legal professionals to ensure compliance with all applicable laws and regulations.