Forbes is reporting that in only a few years, CBD products will be a $20 billion market. If it reaches this number, it will be a compound annual growth rate of 49%, and looking at the factors in play, that number in reality could be greater than $20 billion.
The study cited in the report is by BDS Analytics and Arcview Market Research, and according to its findings, CBD product sales have shown consistent growth since 2014. These products include food, tinctures, beverages, creams, salves, and more. Also, it is possible to see even greater growth since the current market penetration in the United States is only around 15%. There are still misconceptions about CBD products, and as a result, there are millions of Americans who might become customers after trying CBD oil, tinctures, hemp flowers, or other CBD products.
The report was also complimentary toward people who currently use CBD products. According to the report, they have a higher education than the average consumer, and they are more likely to be employed full-time. The average age of CBD customers is also 40 years old, which paints a more mature and established picture of the customer base. Many customers are likely parents, well-educated parents to boot, and the market is nearly evenly split between men and women.
What does this market growth mean more broadly? Besides more profit for growers, dispensaries, smoke shops, and small family-owned businesses like Arete, higher demand will lead to more jobs. It also means more new money infused into the United States economy, something that is desperately needed right now. The London Post suggested that CBD might even be the “key to restoring economic growth” in a post-Coronavirus world, calling it “an incredible job creator.”
Unlike industries like food and entertainment, the CBD market can be done with minimal contact, in an organic and sustainable fashion. Also, Arete Hemp conducts its business online and delivers hemp flowers, CBD oil, tinctures, and more to all 50 states. Even if your town does not have a local dispensary or smoke shop, Arete Hemp ships purchases by priority mail and offers free shipping on all orders over $100.
Readers, we want to hear from you! Is CBD the boost our economy needs right now? Leave a comment below and let us know what you think about this growing market. (No pun intended!)