Hemp-Based Wellness Goes Mainstre

Want to know why hemp CBD has earned strong sales growth in the natural health and wellness sector? These five big reasons explain it…

Hemp is hot – and it’s soaring popularity impacts multiple retail markets. No longer associated with Cheech and Chong or excessive use of the word ‘dude,’ hemp-based products earned $170 million in sales last year, according to market research firm Brightfield Group.1

The U.S. is the largest consumer market for hemp products worldwide, and the market for hemp-derived cannabidiol (CBD) is on track to reach an astonishing $1 billion by 2020, representing a 55% compound annual growth rate.23

CBD made from hemp contains less than 0.3% THC, the psychoactive ingredient associated with marijuana. Often called hemp oil, hemp CBD is now sold in most states and online, making it more accessible than marijuana-derived CBD.4

Hemp CBD market overview
Understandably, demand for hemp CBD products is strongest in states where marijuana is difficult to buy, mostly in the Midwest.5 In terms of distribution channels, Brightfield reports 65% of sales come through e-commerce websites, followed by smoke shops (18%) and dispensaries (9%), as well as health stores and doctor’s offices.

The top five online brands are CW Hemp, PlusCBD Oil, HempMeds (RHSO), Elixinol and CannazALL.6 Among CBD Hemp makers, only three are publicly traded companies with sales of $100,000 or more: CV Sciences, Medical Marijuana, and Laguna Blends.7 This means small and medium players across the U.S. are fueling the market’s massive growth.

5 reasons hemp CBD is so hot
Want to know why hemp CBD has earned strong sales growth in the natural health and wellness sector? These five big reasons explain it:

  1. Versatility
    Hemp products are available in the form of balms, capsules, and drops across diverse product categories such as nutritional supplements, skin care products, beverages, foods, recreational and medicinal uses.8Hemp seeds can be pressed and made into hemp oil to make such items as cleaning products, body care products, building materials, health food, textiles, and plastics.9 Supermarkets have increased their offerings of plant-based milks, including hemp varieties.10
  2. Therapeutic value
    Consumers increasingly turn to hemp CBD products help to solve common health care conditions. For instance, hemp CBD items are used to improve skin health, reduce stress and anxiety, and promote weight loss, digestion and joint pain relief, among other health conditions.11 Among the food and beverage categories, hemp seeds are considered the most nutritious seeds in the world, used for thousands of years as an edible source of fiber.12
  3. Millennial demand
    Boston Consulting Group found 10% of Millennials are cause-driven, environmentally-minded consumers who love hemp-based, recycled, eco-friendly products.13 This generation also greatly values health and wellness. Millennials particularly crave healthy, fresh, on-the-go foods that are convenient – including prepared hemp seed salads. As such, hemp is being marketed to Millennials as a nutrient-rich superfood, as it is high in omega 3 and antioxidants.14
  4. Mainstream appeal
    Several retail giants sell hemp CBD products, adding to the booming industry. Hemp-based clothing and other textiles are readily accessible through companies like Patagonia and REI, plus smaller suppliers.15Walmart.com offers multiple lines of CBD products. However, rather than sell CBD products directly, Walmart uses their website as a third-party seller, meaning the retail giant assumes no legal liability. Amazon is also a third-party provider of CBD products.16Although hemp products are legal, certain retailers distance themselves from these items to mitigate risk to their brand and avoid liability. For instance, although Target advertised four hemp supplement products on their website, the company promptly removed them following media attention.17 While sales of cannabis-derived products could be allowed under certain state-based marijuana programs, selling such products across state lines is illegal. That said, Target sells other hemp-derived food and beauty products, including hemp-seed hearts and hemp-based milk, soaps and shampoos.18
  5. Legislative changes
    While hemp CBD is legal as long as it’s under 0.3% THC content, Americans also demonstrate changing attitudes toward the legalization of recreational marijuana in California and Nevada, which contributes to hemp CBD’s popularity. To date, 31 states have passed legislation that allows hemp farming in line with the 2014 Farm Bill.19 Currently, only 15 states allow CBD, in addition to the 28 states plus Washington DC, which have legalized medical marijuana, Forbes reports.20

Hemp CBD is emerging as a powerful retail trend, impacting grocery, pharmacy, apparel and health and beauty, among other categories. To gain a competitive advantage, retailers and suppliers can educate consumers by emphasizing the wide range of health, wellness and therapeutic applications hemp CBD products offer. Retail companies must also stay up-to-date with evolving political, competitive and consumer trends to stand out and sell in this thriving market.

1, 9, 11, 12. Hemp Seeds Aren’t Just for Hipsters Anymore and Are Going Mainstream. Be Healthy. July 19, 2017.
2, 19. The Growth of the Hemp CBD Markets. Business Insider. May 2, 2017.
3, 4, 5, 6, 7. Borchardt, Debra. Hemp Cannabis Product Sales Projected To Hit $1 Billion In 3 Years. Forbes. August 23, 2017.
8. Consumer Demand and Wave of Innovation in CBD Cannabis Market Exploding. Business Insider. July 25, 2017.
10. Clark, Melissa. Vegan Ice Cream Enters a Golden Age. The New York Times. July 21, 2017.
13. Van Petten, Vanessa. he 6 Gen Y Spending Types: Which One Are You? LearnVest. July 10, 2012.
14. Rivero, Tanya Rivero. Wall Street Journal. The Hemp Craze Comes to Salads. July 10, 2015.
15. Pot’s parent plant produces all sorts of benefits. The Spokesman-Review. September 28, 2017.
16, 17. Thompson, Chris. Target Pulls CBD Products After Offering Them Online. Freedom Leaf. September 29, 2017.
18. Wallace, Alicia. Update: CBD oil hits national stage with Target.com — briefly. The Cannabist. September 28, 2017.
20. CBD and Hemp Sales Projected to Remain Strong. The New York Times. October 4, 2017.

Legal Pot Sales Will Hit $10 Billion This Year

North American cannabis sales have once again managed to shatter expectations, with legal pot sales set to hit $10 billion this year

It’s no secret that the cannabis industry is a lucrative one, but it appears we may have underestimated just exactly how lucrative it might be.

While plenty of experts expected the industry to see rapid growth in North America, no one could have predicted the extent to which it’s happening right now.

Record-Breaking Highs

According to a report from Arcview Market Research, retail cannabis sales are set to increase 33 percent from 2016’s figures and hit the $10 billion mark in 2017.

Additionally, researchers believe 2018’s number will increase by an even higher percentage, due to the pending legalization of recreational pot in several prominent areas.

“Aside from cryptocurrency, there is simply no other industry changing as rapidly or as unevenly as the cannabis sector,” said Troy Dayton, CEO of The Arcview Group.

Canada, for example, is set to legalize recreational pot on July 1, 2018. It will become the second country to ever do so after Uraguay did so back in 2013. Canada will, however, own the distinction of being the largest (and most prominent) country to federally legalize the plant.

Nevada, who legalized recreational weed this past July, saw $27 million in sales during its first month of retail. Due to its early success, the state is now expected to expand the industry by introducing cannabis tourism, something that is, by and large, expected to exponentially increase its profits.

But perhaps the biggest contributing factor to another exponential increase is California’s recreational weed market, which will debut in just under a month on January 1.

As it stands, California’s medical marijuana industry (which has now existed for over two decades), is as big as the markets in Colorado, Oregon and Washington… combined. The introduction of recreational pot is poised to drive the market to new highs.

Final Hit: Legal Pot Sales Will Hit $10 Billion This Year

Currently, Arcview projects the legal cannabis market to reach sales of $24.5 billion by 2021. However, this number remains simply an educated guess, as the same experts could not predict the $10 billion figure we are seeing today.

Growth in the burgeoning marijuana market remains exclusively dependent upon states changing their own laws regarding the plant. If certain states like New Jersey, which is currently in discussions to legalize the plant, manage to do so successfully, there’s no telling just how high the market could rise.

And if it ever becomes legal on a federal scale, those original projections would be shattered. Although at this point, that doesn’t seem likely by 2021.

Regardless, what’s happening now is a step in the right direction.

To read more visit: https://greenrushdaily.com/legal-pot-sales-will-hit-10-billion-year/

Why The Green Rush Means A New High In Real Estate Markets

What exactly is causing this new high in real estate markets? As it turns out, cannabis legalization is beneficial to a wide variety of businesses.

Is cannabis legalization causing a new high in real estate markets? Experts in the field seem to think so. Images of people relocating to other states in search of better access to the medicine they need may come to mind. But it’s not just people looking to consume legal weed who are causing a new high in real estate markets. It’s the people who are looking to grow it.

Follow The Green

Now that more states are starting to get in on the Green Rush, more business owners and growers are making their love of the plant public. Marijuana industry hopefuls find themselves making what might be the most important decisions of their lives. Or at least, of their career aspirations. They are considering the possibility of completely uprooting their lives to follow the green. Literally.

Real estate agents and other professionals in the field have noticed a recent boom in the demand for suitable spaces for those in the legal cannabis industry. While it would be understandable to think that the spaces in demand are storefronts, this is not actually the case.

Those working in the property and real estate realm say that the majority of people moving to states with legalized cannabis are looking for appropriate buildings to grow their plants.

The Grass Is Always Greener

So why is the demand for space overwhelmingly for growing, rather than selling?

Part of the reason may be due to the amount of red tape involved in opening and operating a dispensary. The process for obtaining a permit or a license to legally sell cannabis varies state by state. It gets even more specific on a micro level. Different towns, cities and municipalities have their own local ordinances regarding the legal marijuana industry.

Because of this, and because of the increasing need for plants and products, many are choosing to get their hands dirty and sink their nails into the cultivation side of things. And while growing cannabis outdoors is less expensive than indoor grow operations, those in the know are choosing to bring their plants inside.

Although the allure of a less expensive grow operation is strong, the factors working against that option is stronger. A successful outdoor grow is dependent on consistent climate, including ideal levels of humidity, sunshine and rainfall. It’s hard enough to accomplish that, but then you also have to consider things like plant-ruining pests and environmental catastrophes like wildfires.

Cultivating cannabis indoors makes it easier for growers to control all of these variables. This control makes indoor growing, although more expensive, appealing to those in the industry. And so, growers are renting out large, industrial spaces. Once they secure their venue, they’re able to customize it to their liking and tailor it to their specific needs.

Final Hit: Why The Green Rush Means A New High In Real Estate Markets

In true “rush” fashion, nearly every industry is affected by the spreading legalization of cannabis.

While some are finding relief in getting easier legal access to the herb, others are taking advantage of the new business opportunities legalization presents. For growers, this means that they can openly rent spaces to cultivate their plants, which in turn is causing a new high in real estate markets. If nothing else, the evidence is clear and compelling: cannabis legalization stimulates all areas of the economy.

To read more visit: https://hightimes.com/news/green-rush-means-new-high-real-estate-markets/