The CBD market is experiencing exponential growth each year. The growing acceptance of CBD oil for its potential health benefits is one reason for positive market growth. Moreover, CBD’s wide availability from various places such as an Online CBD Shop has also caused the industry to surge. In 2018, the global CBD industry rose to approximately $4.6 billion. In 2019, the market reached $7.1 billion. With such rapid growth, the CBD’s market is expected to reach $9.3 billion by the end of 2021.
The following are 10 reasons why the CBD industry will reach 9.3 billion by 2020:
- Health benefits
CBD oil gained popularity because of its various health benefits. It can help with pain relief, anxiety, stress, migraines, inflammation, nausea, insomnia, and muscle recovery. CBD oil can also be used as an alternative to over-the-counter pain medication such as ibuprofen and naproxen sodium.
- High safety profile and low risk of side effects
According to the World Health Organization (WHO), CBD has a high safety profile and low side effects. CBD produces therapeutic effects without making you high, unlike its counterpart, tetrahydrocannabinol (THC), the most abundant active compound in the cannabis plant. Moreover, CBD is also non-addictive.
- The wide availability of CBD
CBD sales have boosted mainly because of its wide availability. CBD can be purchased from supermarkets, pharmacies, farmer’s markets, health food stores, yoga studios, and numerous online CBD shops.
- Adoption of different CBD products
CBD can be consumed in so many different forms, and continuous product development increases the CBD market’s growth opportunity. CBD can be purchased as CBD vape oil or tinctures; CBD infused creams, balms, or lotions for topical application; CBD edibles including gummies, candies, or chocolates, or CBD vape oil for consumers who prefer vaping CBD. CBD is being infused in all sorts of products, and the possibilities are endless.
- Rapid technological advancements
Technological advancements in the CBD extraction process yield high quality extracts so consumers can purchase high-quality products.
- Legalization of CBD products
CBD is legal in the UK. This immensely helps the industry’s growth. However, the law states that CBD products should be EU-approved and can only contain up to 0.2% THC.
- Regulation of CBD products
Even though the CBD market is unregulated, and there are many fake products available. Reliable stores have their products tested by third-party laboratories, which helps consumers ensure their quality and safety.
- Young and elderly consumers
Thirty-nine percent of CBD users are 18-34 years old, potentially creating a long-term market for CBD. Seniors also rely on using CBD products, with 64% of seniors saying that CBD positively affected their lives since they experience cognitive improvements, pain reduction, and improved sleep.
- Daily usage of CBD
CBD users usually consume CBD daily, making them finish the products quicker, which requires regular purchasing. CBD also tends to come in small packaging, making it likely that people have to buy a reasonable amount.
- Price differentiation among competing brands
CBD products are available at different price points among competing brands so that everyone can buy them.