How to Market Your CBD Business
- Posted by Liz Cantrell
- On March 8, 2018
- 0 Comments
Updated April. 4th, 2022
What You’ll Learn:
In this guide to CBD marketing, we’ll discuss:
- Basic guidelines for creating a CBD marketing plan
- The best CBD marketing tips to help you grow your business
- How to stay on top of CBD advertising restrictions for 2021 and beyond
By 2022, sales of CBD products are predicted to reach well past $1.5 billion – that’s a jump of about half a billion dollars since 2018 and a clear indicator of just how lucrative the CBD business can be. But with the benefits of a rapidly expanding industry also come unique challenges, especially for CBD business owners trying to figure out a viable CBD marketing strategy.
Not only does your plan for CBD marketing has to help you stand out from the countless other companies getting started in the industry, but it also has to follow a myriad of ever-evolving regulations, new scientific research, and more. Suffice to say: learning how to market a CBD business successfully is no small task.
But at Marijuana Marketing Xperts, we specialize in the very specific science (and art) of advertising cannabis and CBD. We’ve been witness to the market’s meteoric rise from the beginning, which has allowed our team to learn exactly what works – and what doesn’t. For our clients, that means having a huge advantage when it comes to developing and implementing savvy marketing strategies. And for you, we’ve funneled that knowledge directly into this handy how-to for marketing your CBD business.
How Do I Market My CBD Company?
So, you’ve decided to take the leap and start your own CBD business. Or, maybe you’ve had a budding brand for a while now, but are still struggling to build a solid customer base. Wherever you are in your journey as a CBD business owner, effective marketing is a critical component of your success.
With the right approach, your strategies for marketing CBD can help you:
- Differentiate yourself from your competitors
- Spread awareness about your brand and products
- Establish a stronger following of loyal repeat customers
- Connect with the untapped market of consumers still learning about CBD
- Overcome the unique biases facing the CBD industry
Before we jump into practical tips for CBD advertising, there are a few basics we need to cover first. With a foundational understanding of the industry and your place in it, you’ll be well-equipped to position your business for long-term success.
What is CBD?
For most CBD business owners, this probably seems like an overly obvious question. However, you’d be surprised to learn just how many people dive headfirst into the industry without learning about the products they’re planning to sell. Understanding your products is vital for any business owner, but especially so in a newly-emerging niche like CBD.
Cannabidiol, otherwise known as CBD, is a compound that naturally occurs within the flowers of plants belonging to the Cannabis genus. It is one of more than a hundred cannabinoids, compounds that are unique to this genus and often considered the “active ingredients” responsible for the therapeutic properties of the various species of Cannabis plants.
The Cannabis genus includes both hemp and marijuana plants, though most CBD on the market today is sourced from industrial hemp. For extractors, hemp offers the ability to minimize the presence of THC (the cannabinoid associated with marijuana’s psychoactive effects), therefore allowing for the formulation of CBD products that are both legal for sale and in line with what many consumers are looking for.
What are the benefits of CBD?
Of course, when you’re planning to sell CBD products online or in-person, you’re going to need to know exactly why consumers should want and need what you have to offer. One of the primary reasons that the CBD industry has grown at such an impressive speed is that both consumers and researchers are consistently finding new ways CBD could be beneficial.
Consumers are reporting using CBD as a useful treatment for a broad range of conditions, including:
- Chronic pain
- Anxiety
- Depression
- Autoimmune diseases (rheumatoid arthritis, inflammation, etc.)
- Digestive disorders (Crohn’s Disease, colitis, etc.)
- Skin conditions such as acne and dermatitis
- Neurological conditions including epilepsy, dementia, Parkinson’s, Alzheimer’s, and traumatic brain injuries
- Metabolic syndromes
In addition to its consumer-reported benefits, the legitimacy of CBD as a potential medical remedy has also gotten a huge boost from the Federal Drug Administration (FDA). In 2018, a CBD-based medication earned FDA approval for the treatment of pediatric seizure disorders. And with a huge amount of medical research currently underway, there’s no doubt that a variety of new CBD benefits will continue to be unearthed. For consumers, having a widely legal, non-psychoactive option for a plant-based product (similar to traditional marijuana, but without the “high”) is a huge factor in considering CBD.
As a CBD business owner, this is all outstanding news: the future for CBD is bright and your potential for growth is virtually unlimited.
Who is the target market for CBD products?
The first rule of marketing has always been to know your audience. One of CBD marketing’s most unusual aspects is the expansive and diverse target audience of consumers you can reach. CBD consumers include adults of all ages and from all backgrounds, ranging from those that are solely dedicated to holistic living to those who usually turn to the pharmaceutical industry for help.
Many people are using CBD products for pets as well, opening up the market considerably. And because CBD is being reported as an effective option for a nearly-endless list of conditions, it’s making an appearance in a variety of product categories: skincare and beauty, topicals, edibles, capsules, and so many more.
What does this mean for your plan for CBD marketing? You’re going to need to aim for the audience that best suits your brand, the products you sell, and your vision for the future of your business. For example, if you want to hone in on the CBD beauty industry, then you’ll shape your target market accordingly. In contrast, selling CBD pet products is going to take a markedly different approach. Or, if you want to build a CBD e-commerce site that offers all types of CBD products, then you’ll cast your net far and wide to reach as many potential consumers as possible.
Once you determine who you’re marketing to, you’re ready to move forward.
What is the current legal status of CBD?
Are you wondering how to market CBD legally and effectively? With the wide range of restrictions on CBD marketing, legally advertising CBD can sometimes seem like a monumental challenge. But if you fail to follow the rules of CBD marketing, you run the risk of serious legal repercussions and the downfall of your brand.
While there is some gray area in terms of CBD’s legal status, it is absolutely possible to market and sell CBD products legally. Getting (and staying) informed on the topics of CBD laws is very important for a CBD business owner. Here are a few basics to get you started:
- The cannabis and hemp industries as a whole are experiencing sweeping measures for legalization in recent years. In the last few years, there has been a huge shift in both the political and public perception of cannabis as a whole. Dozens of states have legalized marijuana in varying forms, and hemp-sourced products are widely permitted as well. As consumers learn more about the potential benefits of CBD and cannabis, it’s likely that lawmakers will only continue to experience mounting pressure to legalize these plant-based products.
- The 2018 Farm Bill removed hemp from the federal Controlled Substances Act. As a result of the 2018 Farm Bill, commercial hemp can now be legally cultivated. Even so, many people are confused about the restrictions on the sale of hemp and hemp products. It’s important to know that CBD and other hemp products do fall under the FDA’s authority. This means that the FDA treats CBD products just as it does any other regulated products, in an effort to maintain consumer safety and health.
- The legality of CBD is still in a state of flux. At present, adult consumers can generally legally purchase CBD products as long as they are made using hemp and contain less than 0.3% THC. However, CBD regulations are dependent both on federal and state law, so things can quickly change. As a CBD business owner, it’s your responsibility to stay up to date on the latest news on legal CBD.
What can’t you say in CBD marketing?
Remember how we just mentioned that CBD falls under FDA regulations? Because of this, the FDA also keeps a close eye on CBD advertising claims.
No matter how confident you are that your CBD products can deliver a wealth of benefits to consumers, you can’t necessarily go online and boast about the purported medicinal properties of CBD. This type of in-person or online CBD marketing is not approved by the FDA, and can potentially get you into trouble with the FDA. When you’re advertising CBD products, the following elements should be avoided:
- Medical and health claims: While it’s true that there are countless anecdotal reports of CBD helping to combat a broad range of medical conditions and ailments, it’s still too early to start attaching medical claims to your marketing efforts. If you start naming specific ailments that CBD can help treat, the FDA will quickly take action.
- Unsubstantiated claims: Regardless of how knowledgeable you may be about CBD, you are not a medical doctor. Because of this, you cannot (legally) advise consumers about how to treat specific medical conditions with CBD. Making generalized claims that you cannot support with reputable sources is risky. Not only is it not approved by the FDA, but it can also lead to issues with customers who have not had the experience they expected. Use this as a rule of thumb: if it has not been proven by extensive research, don’t say it.
- Products that have not completed FDA approval. Because CBD is regulated by the FDA, all related products have to comply with FDA regulations. For now, it is illegal to add CBD to certain types of products. Also, CBD products cannot be sold to consumers as “dietary supplements.” When you’re selecting CBD products for your business, as well as when you’re advertising said products, this is an important guideline to remember.
How do I advertise my CBD on Facebook 2021 (or other platforms)?
CBD advertising restrictions aren’t just put into place by the government; private companies also have the ability to regulate if and how you advertise CBD for sale. This means that sites such as Facebook, Google, Twitter, and Instagram can certainly implement their own rules for CBD advertisers.
For example:
- On Facebook, cannabis-extracted CBD cannot be advertised. But if you’re working with hemp-derived CBD, then you have considerably more freedom. As of 2019, Facebook lifted its outright ban on CBD product advertising. You can include a direct link to a landing page in your ad so that online users can arrive at a specifically-designed destination with just one click.
- Google Adwords doesn’t allow CBD promotion in ad copy (although you will see that some brands try to find loopholes). You can plainly see that CBD is included on Google’s list of unapproved pharmaceuticals and supplements. And while there are some CBD companies putting their best efforts into circumventing this rule, it’s definitely not advisable. Not only is it an unethical breach of Google rules, but it can also lead to your account being shut down and long-term damage being done to your brand reputation.
- Twitter is another popular platform that does not currently tolerate CBD paid advertising (marketing for all herbal drugs is off the table). However, you can tweet information about new products, then provide a link to your website or the product page. Also, Twitter can be a great way to engage with the growing CBD community.
It’s understandable if you feel like your hands are a bit tied in terms of marketing CBD products on social media and other large platforms. However, it’s not all bad news: there are plenty of ways to advertise CBD while steering clear of legal trouble and other complications.
Our Top Tips for CBD Marketing
Now that you have a better understanding of what you can’t do when it comes to marketing CBD, let’s move on to something more positive: all the ways you can create an outstanding strategy for advertising CBD. While it’s true that there are certain restrictions for CBD marketers, you still have plenty of freedom to effectively build connections between consumers and what you have to offer.
Get started with your CBD marketing plan with these useful tips.
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Start with SEO.
If you’re looking for ways to organically grow your online business and brand, search engine optimization (SEO) has a lot to offer. Before an online user ever arrives at your website, they’ll likely be using a search engine platform to ask a question or conduct a search about CBD. The words and phrases within their search query are used by the search engine to connect them to relevant results. Ultimately, the goal here is to incorporate those words into your website content (SEO in a nutshell) to allow you to be found by the right users.
With some keyword research, you can pinpoint the best keywords for CBD search rankings. One of the simplest ways to approach this process is to put yourself in the shoes of a consumer: what would you search for if you were interested in learning about or purchasing CBD products? There are also various tools that you can use to take a closer look at ideal keywords for your SEO strategy.
SEO can provide an excellent return on your investment, especially if you work with a professional SEO expert. Both your time and money will be well spent, supporting the sustainable growth of your CBD brand and helping the right people find you at the right time.
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Plant online roots with content creation.
One of the best ways to market CBD online is to establish yourself as one to trust in the industry, a source of reliable information, and interesting content. Blogs, product descriptions, articles, and social media posts should be based on high-quality content that is relevant and engaging to your target audience. CBD content marketing pairs perfectly with SEO, because you can incorporate keywords and phrases throughout your content for measurable results in traffic, engagement, and more.
Users that find themselves coming to your social media sites or website for information, articles, and news are far more likely to make a purchase from you than another, less useful brand. Additionally, creating content that is share-worthy will expand your web of connections and help you reach new people – especially those for whom a lack of understanding about CBD is their biggest obstacle in addressing a problem that your products can solve.
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Shape your brand identity from the beginning.
Just like any business, CBD branding services can help you create a personality and identity that represents your business to the public. Today’s consumers want to feel good about the companies they are shopping with, and yet so many businesses forget about the value of building their brand.
You already know that you have something incredibly valuable to offer: products that could potentially change your customers’ lives. Now, how are you going to convey that in a way that stays true to your vision of your business?
For example, maybe you want to create a CBD brand that focuses primarily on helping individuals that suffer from chronic pain. In that case, your advertising, content marketing, and even the products you carry are going to be tailored according to their needs and wants. Or, perhaps you’re more interested in CBD and the beauty industry. When you consider who will be shopping for CBD beauty products, you’ll have a good starting point for the brand you can create to connect best with them.
From your CBD business logos and website design to your social media posts and product pages, every aspect of what you do for your business should tie in with the brand identity. Oftentimes, partnering with a marketing team that specializes in CBD and branding can be hugely helpful in determining how to begin.
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Put email marketing to good use.
Email marketing may be one of the original forms of digital marketing, but that doesn’t mean that it’s past its time of usefulness. Marketing CBD via email can be highly effective, both at attracting new customers and keeping existing ones interested.
Regular newsletters (with quality content), coupons, and information about promotions can all strengthen your relationships with your customers and drive both traffic and profits in the long term. Don’t spam users’ inboxes with content that they’ll only delete; instead, take it as the opportunity to make connections, demonstrate your brand authority, and educate.
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Look into Device ID targeting and how it can help your business grow.
Technological advances are playing a huge part in changing how we market, opening up an entirely new realm of opportunities. One of the newest ways to refine your strategy is with Device ID targeting (DID), a revolutionary way to use location data to better inform your marketing efforts.
Usually paired with POI attribution, Device ID harnesses the power of geographical location to boost marketing efficacy. It works by matching devices (such as a smartphone) to a home address, revealing audience insights and behavior information that is impressively reliable and robust. Using offline conversion data, you can understand how many devices visited your dispensary (and when), the distance traveled for each customer from their home to your business, and even which specific areas correlate with the highest flow of customer traffic.
Very few agencies can currently offer Device ID targeting to their clients (Marijuana Marketing Xperts is the only one providing it as an option to our cannabis and CBD clients), but it’s an invaluable tool that you won’t want to miss out on.
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Learn more about your competition.
There’s no shortage of competitors waiting for you in the industry, especially with the CBD market growing at a fast and furious rate. However, there’s also nothing preventing you from learning everything there is to know about the businesses that could take customers from you.
Visit competitor websites, explore their social media, and get to know their products and brand. It’s a fantastic way to learn about CBD marketing, especially when you look at both local businesses and large brands. Take note of what you like and what you don’t, then use that information to create a strategy that works for your business.
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Target your ideal audience with programmatic marketing.
At this point, “algorithm” and “data” have reached buzzword status – but that doesn’t make them any less worth paying attention to. In fact, algorithms and data collection are the foundation of programmatic marketing, a highly effective strategy for honing in on your target audience.
Programmatic marketing makes it easier to decide where and when to display your dispensary’s ads, allowing you to virtually hand-deliver an advertisement to individuals that are within a specific geographical zone, browsing a relevant website, or even those that previously searched for information on CBD or cannabis-related topics.
As a CBD business owner, you’re already familiar with the challenge of working within legal restrictions for CBD marketing. Ad space is limited, and you have to pay close attention to where and when your advertisements show up. Programmatic marketing services not only give you a firmer grip on who views your ads (for the sake of compliance), but also provide the opportunity to get the best bang for your buck when it comes to your marketing budget.
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Make it a goal to grow a face-to-face business.
While it’s true that many entrepreneurs make it a priority to focus on figuring out how to sell CBD online, don’t underestimate the benefits of an in-person business as well. Whether you operate through a brick-and-mortar retail location or become a regular vendor at community and industry events, meeting people and connecting with them in “real life” will help you begin to build a brand following. From there, you can branch out to Facebook, Twitter, Instagram, and other social media platforms.
Once you’ve set up a fairly steady flow of customers, it’s the perfect time to launch a digital presence. By then, people will be interested in your website and online store, making it easier to be found on the endless Internet landscape.
Of course, this doesn’t mean that becoming an online CBD seller won’t bring you success – you’ll just need to work a little harder to establish an audience.
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Invest in your business when the time is right.
For many small business owners, the idea of partnering with a professional marketing agency can be daunting. Many assume that the cost will be enormous, or that they’ll lose a certain level of control in how their brand is presented to consumers.
However, with the right team of experts, your CBD business can receive the specialized support it needs to really bloom. Look for a marketing team that specifically works with CBD, so that you can be confident that they have the experience necessary to navigate the industry. Not only will a CBD advertising agency be able to help you develop effective marketing strategies, but they can also ensure that you’re always staying within changing guidelines and regulations.
Market Your CBD Business with Help from the Industry’s Top Experts
If you’re ready to start building your CBD business – or you want to take your existing CBD brand to the next level – now is the time. The stage is set for success for CBD business owners that are prepared to do what it takes to make their brand stand out from the rest.
Marijuana Marketing Xperts understands the nuances of the hemp and cannabis industry, and we’ve spent years mastering our personalized approach to supporting clients who want to see their businesses boom. Together, we can formulate a CBD digital marketing strategy for your business, tailoring every aspect to align with your brand, goals, and vision for the future.
For more information about how to advertise CBD with a straightforward strategy that works, reach out to Marijuana Marketing Xperts today.
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