Do’s and Don’ts for Selling CBD

The CBD industry is one that possesses many opportunities for those willing to put in the hard work and detail into the products and services they deliver. In order to stand out amongst the competition, you must be very meticulous and adhere to the standards of the industry. Due to the competitive nature of the CBD market, it is very important to minimize your mistakes and follow regulations.

DON’T MAKE ANY MEDICAL CLAIMS

Making any kind of medical claim will definitely cause problems for you and your company. It’s important to never claim your CBD products can cure, treat or prevent any illness or disease. Even though CBD has a substantial amount of benefits, you must be careful how you present any information so a consumer is not mislead in any way and you are following the proper guidelines.

DON’T PAY FOR ADVERTISING ON SITES LIKE FACEBOOK, GOOGLE AND INSTAGRAM

Because of the inconsistency with regulations across state lines regarding CBD, sites like Facebook, Google and Instagram limit advertising for CBD products. Facebook prohibits advertisements with ingestible CBD products, whereas Google bans any ads that contain “CBD.”

The best route is to avoid paying for advertising on these sites and focus more on your mobile website, landing pages, influencers and SEO marketing. By allowing your brand to grow more organically, you will save yourself the time, money and frustration that comes with advertising on these major sites. By researching and focusing on your target market, these tactics can be just as effective as paid advertising.

Because people are searching for quality and effectiveness of CBD products, if you are delivering high-quality products, then you will naturally get the recognition your brand deserves as your reputation in the industry begins to become more cemented.

DON’T HAVE YOUR PRODUCTS MANUFACTURED OVERSEAS

The highest quality manufacturing facilities are located here in the United States. It is extremely important keep your facilities domestic since it is proven that overseas facilities are not as reliable as domestic facilities, and do not guarantee the same quality and purity levels in their products. It is also important that your products are third party lab tested to ensure you are delivering the highest quality products to your customers. Most states are requiring third party testing.

DO KNOW YOUR STATE LAWS

Although the sale of Hemp is legal at the federal level, there are some state laws that have stipulations on some CBD products, including the way the CBD can be derived and the level of THC it may possess. It is important you do the research necessary so you and your company do not get wrapped up in any problems that could have been avoided. According to the FDA, all CBD products must comply with the applicable laws, including the Federal Food, Drug, and Cosmetic Act (FD&C Act).

DO LABEL YOUR PRODUCTS CORRECTLY

By labeling your products correctly, you can reduce liability and any backlash due to misrepresentation. Make sure to label your ingredients correctly and give accurate descriptions, as well as include correct labeling of the usage and directions for each one of your products. By doing this you will avoid any unwanted problems with regulators that could potentially harm your business.

DO FOLLOW THE 0.3% THC LIMIT

This is a rule that your business must follow to stay a legit and respected company within the CBD industry. This federal law states that your CBD products cannot contain more than 0.3% THC on a dry weight basis. If your CBD products contain more than the legal limit, you could be in violation and selling an illegal product. It is important to check each state laws as noted before to ensure that any amount of THC is even acceptable.

DO DIFFERENTIATE YOUR BRAND AND ENGAGE WITH CUSTOMERS

Even though we recommend not purchasing advertising on social media platforms, there are still many opportunities to grow your customer base and engage with them. Organic growth can be achieved through engaging video content, surveys, frequency of posts and even creating content on your website. To further engage with your customers, focusing on a particular niche in the market may be beneficial to your brand. A High Yield Insights Study found that roughly 40% of U.S. consumers aged 21 and above would consider trying CBD, and this percentage continues to grow. This means that many customers are looking for CBD solutions, and by differentiating and establishing your brand, you will be able to capitalize on this market potential.

There may be many CBD companies claiming their spot in the market, but there is still room for your brand. By engaging with your customers, providing high quality products, following local and state laws, and showing consumers how they can benefit from your products without making medical claims, you will be on the path to success.