The CBD industry is booming. It’s growing at unprecedented rates and, by some economic estimations, is expected to be worth more than $22 billion by the end of 2022. If you’ve chosen to own a CBD startup in this economic climate, you’re on an exciting road of opportunity.
Once you’ve gone through the process of naming your business, sourcing your products, registering as a business entity, and launching your business online, it’s time to focus on growing your business and increasing the value. Here are a few steps for growing a CBD startup.
1. Carefully source your CBD oil
Before asking your consumers to buy CBD oil make sure that it is, in fact, real CBD oil. This might seem like an obvious assessment, but the industry is fraught with shady companies that say their products contain the purest, best concentrations of CBD when, in fact, it contains little or no CBD.
Ethically source your CBD oil and make sure you’re selling it responsibly. Get your CBD from USDA hemp farms and have all of your products tested in a third-party lab.
When you have the results, publish them online so that consumers can see that you’re the real deal, and they can trust your products.
2. Expand the products you sell
It’s smart to start your CBD company with just a few products in your inventory. That way, you can get a good handle on all your products and master that inventory. When you’ve done so, it’s time to look at expanding that inventory.
As a CBD company, you don’t have a ton of options at your disposal. There are really just a few main products—cream, edibles, oils, sprays, etc.—and it can be difficult to stand out among your competitors.
This is where a little ingenuity and creativity comes into play. Look into manufacturing unique mixtures of CBD products to target certain pain points.
For example, you could commission a CBD lotion that’s designed to target eczema-prone skin. With a little creativity, you might be surprised how many options you have to expand your inventory and improve your sales.
3. Use Influencer marketing campaigns
Influencer Marketing is the newest trend in social media marketing because it works! Surveys show that more than 80 percent of consumers trust the opinion of someone they know when it comes to a product, and they’re more likely to buy as a result.
Influencers on social media are those with a large following, usually several thousand or more. When they authentically endorse your CBD products for a pre-designated fee, their community is likely to jump on board.
The importance of finding a CBD-friendly influencer can’t be stressed enough. You want an audience that will strongly resonate with your CBD products so that the marketing tactic comes off as authentic and helpful.
4. Know your target audience
Any brand that can build a community around their brand or products is in it to win it. CBD companies have a unique advantage here because the use of CBD is somewhat of a controversial topic.
When CBD users find others who love CBD, they’ll rally together and help to organically promote your company and what you do there.
Social media is a key component of community building. Invite your CBD customers to join an exclusive community where you share valuable information about products, recent news, and more.
A few fun memes and videos are great too! Allow your community to engage unrestrained (as far as social media rules allow) to encourage comraderies among your followers.
5. Focus on content marketing
For CBD companies, content is one of the most important tools in your arsenal. It’s difficult to freely market CBD based on the restrictions on the advertising industry, but it’s still a free market for content.
On your blog and as a guest blogger on certain publishing sites, you can say what you need to say to inform and convince your customers.
Use creativity and search engine optimization strategies to successfully market your products. There’s a great deal of unexplored content in the industry, and you can use that to your advantage as you promote your content and establish your brand.
6. Harness the power of email marketing
In the excitement of social media, influencer marketing, and SEO, the power of email marketing is often forgotten. But it’s a powerful tool that can generate leads and help you find consumers interested in your products.
More than 99 percent of American consumers say they check their emails daily and as many as 50 percent check it 10 times per day or more. That’s a lot of opportunities to be in their inbox!
With email marketing tools, you can send emails frequently, share newsletters, inform about special deals, and help to build brand awareness. You can send personalized messages, send emails by demographic, and share exclusive content through this channel.
It’s these simple tools that allow you to influence a person’s daily purchasing decisions and grow your CBD business accordingly.