Pearl’s Top 5 Key Takeaways from the CBD Insights Conference

Pearl attended The CBD Insights conference Feb 27th hosted by Food & Consumer Products of Canada, and here are our key takeaways. We hope you will find some valuable insights to help grow your business.

1. The Market will explode

  • The global CBD market is expected to grow from $1.5 billion dollars to $17.3 billion dollars by 2026
  • In Canada the CBD market is estimated at $50 million dollars but projected to be $1.9 billion dollars by 2022
  • Currently only 1 in 7 people say they consume CBD with projections estimated to 1 in 3 people

Implication: The CBD is a rapidly growing market, especially versus traditional CPG products. Consider launching your brand or developing a new brand to tap into this opportunity.

2. CBD is associated with health

  • Health is the primary reason why consumers try CBD including:
    • Chronic Pain – 57%
    • Sleep Aid – 55%
    • Relaxation – 51%
    • Depression/Anxiety – 51%
    • Inflammation – 51%

Implication: When entering the CBD market, focus on a portfolio of CBD solutions that can address consumers top health concerns.

3. The Cannabis Consumer is Younger

  • The younger generation is more likely to consume cannabis, yet the incidence among the older co-hort is expected to grow in the future as they turn to CBD for health solutions.
  • Cannabis incidence by age:
    • < 35 – 49%
    • 35-44 – 36%
    • 45-54 – 27%
    • 55-65 – 24%
    • 65+ – 17%

Implication: Understand cannabis usage and attitudes by age co-hort. The older generation in particular will be looking for solutions that address health concerns.

4. Adoption Influences

  • Consumers have clear feedback on the influences of adoption including:
    • Doctor recommendation – 48%
    • Free samples – 46%
    • Covered by an insurance plan – 43%
    • If I don’t have to smoke it – 37%
    • If I can eat or drink it – 36%

Implication: Understand the customer journey to inform your marketing plan. Develop new innovation formats that can address barriers to entry (non smoking options).

4. Innovation will drive future growth

  • CBD has greater potential than THC, many predict CBD sales volume will outpace THC in 2020.
  • Evolving consumer perceptions will fuel future growth especially with the older co-hort.
  • New formats that are more convenient and address negative taste perceptions will increase consumer interest and adoption
  • Hemp will benefit from the increase in awareness and education on cannabis

Implication: Keep pace with evolving consumer perceptions and align your marketing and innovation priorities.

Sources:

CBD Insights conference, FCPC, Feb 27

2020-02-28T16:00:47+00:00 Health & Wellness, Innovation|