In recent years, the CBD industry has exploded in popularity. The power of the hemp plant is being recognised by health and wellness communities all over the world. This new, holistic approach to healing is being welcomed into the lives of many individuals, especially since there are no reported side effects or health risks associated with CBD. Now is an excellent time for entrepreneurs to enter this market and make their impact. In this article, we will be discussing ways in which you can make money selling CBD; whether it be through white labelling your own products, or through reselling an existing brand.
Things To Consider Before Selling CBD
-
Study The Laws
In the UK, it is legal to produce, sell, and use CBD. However, there are certain laws and regulations that can bring about limitations in this industry. First and foremost, there are limitations on the legal THC content of a CBD product. Additionally, there are rules surrounding the advertisement of CBD products, making medical or health claims, and more. These laws and regulations will vary from country to country, so always ensure you study the laws fully and gather a complete understanding of them.
-
Obtain Licenses
Do your research, and perhaps get in touch with a license expert to ensure you have all necessary licenses. These will vary depending on where in the world you are looking to sell.
-
Find a Reliable Manufacturer/ Supplier
Look for a reliable manufacturer or supplier who can provide you with high quality products. Always check for the necessary certifications, and ask for testing reports for any products or materials you are looking to buy.
-
Pricing
It is – of course – very important to consider pricing; what is your budget? What quantity of product are you hoping to get for that price? Bear in mind that more expensive prices don’t always mean the products will be better or more potent. However, abnormally low prices may also be a red flag.
-
Branding & Packaging
If you are going to create your own brand from scratch, consider your brand identity, logo, design features, and packaging options. Will you create these yourself, or do you require an additional service whereby these tasks can be done for you?
-
Wholesale or White Label?
And finally, what method are you going to use to approach your CBD business venture. Will you buy wholesale bulk products or materials, and create a product range for yourself? Will you team up with a manufacturer to create a white label product? Alternatively, you can sell an existing brand. Let’s cover these final points in more detail below.
Selling White Label CBD
‘White labelling’ refers to the process of rebranding a product created by a manufacturer in order to sell it as your own. This offers a number of advantages over some of the other methods for starting a CBD business. It is easier than purchasing bulk wholesale products and doing the rest from scratch, and it is far more personalised than stocking an existing CBD brand. At SVC Labs, we have 3 different white label services. These services can provide you with research & development, branding & design, shipping, and more. To view the full descriptions of these services, check out our recent article here.
Purchasing Bulk Wholesale CBD Materials
Alternatively to white labelling, you can buy bulk CBD materials to create your own products with, for example CBD oils, capsules, or raw materials. This provides you with complete freedom to create your products in your way; it is generally very affordable; and it means you will be receiving completely pure materials with no other ingredients, ready for you to start from scratch. However, this is only ideal if you have the capability to carry out the rest of the production process on your own. At SVC Labs, we are bulk suppliers of many CBD products, including: broad-spectrum CBD, full-spectrum hemp oil, pure CBD, terpenes, CBD wax, CBD pills, CBD water, CBD creams, CBD gummies, CBD hemp flowers, and much more. Click here to find out more about our bulk materials.
Stocking an Existing CBD Brand
Purchasing wholesale quantities of an existing CBD brand and reselling them is probably the easiest and quickest way to make money selling CBD. There are fewer costs involved, and fewer steps required to reach the final checkout point. Selling an existing brand means there is already an existing customer base or community, and an established brand identity. It allows you to take advantage of an expertly created product whereby all of the manufacturing and design work has already been done. At SVC Labs, we manufacture a CBD brand called Honest Hemp which is available for wholesale purchase or drop shipping. Click here to view our article about why you might want to stock this luxury brand.
Marketing Your Products
Once you have decided on a method to obtain your CBD products, it’s time to focus on how you are going to sell them. When it comes to selling and marketing CBD, there are a few laws and regulations you need to be aware of. Due to the nature of the product, it is difficult to sell on sites like Amazon or eBay – we would recommend steering clear of this altogether. Additionally, there are rules against doing paid advertising; if you do this via your social media, you risk having your account suspended or banned. You must be careful about making claims about the health benefits of CBD – although we all believe CBD can be a powerful tool for health, it is not legally classed as a pharmaceutical product and therefore cannot be marketed as one.
But, there are ways around these limitations: instead of using paid advertising and making health claims, you need to be creative with your marketing in order to obtain organic growth. Use content marketing (social media, blogs, emails, influencers, affiliate marketing) to capture an audience. This provides you with an excellent opportunity to create a brand identity and message that stands out from the crowd. Think of it like this: all CBD companies are in the same boat with these restrictions, so you are not at any disadvantage compared to the competition.
The CBD market is a huge business opportunity for entrepreneurs if you approach it correctly. Contact us today for more advice or guidance – with SVC Labs, you are not alone in this venture! We look forward to hearing from you.
