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The Promising Future of  The CBD Market

The Promising Future of The CBD Market

Posted by Shannon Ball on May 5th 2021

The CBD industry is quickly expanding into a multi-billion dollar market. 

There is a massive opportunity to be at the forefront of this growing market as more people than ever before are becoming interested in the many positive effects of CBD products. From data about the projected growth of the CBD market to which CBD products are most intriguing to new users, we outline everything you want to know about the CBD market.

Market Size

Market size refers to the number of potential customers that you could sell your product to and ultimately how much money they will spend on products.

Market Growth Projections

Since the CBD market is new, a marketing forecast projects future numbers and trends in the market for the upcoming years.

Market Usage

Since there are many CBD products available, it's crucial for retailers to identify the best performing to maximize their revenue.

  • 44% of regular CBD users spend $20-$80 per month on CBD products. 
  • 13% spend more than $160 per month (Brightfield Group, 2019)
  • Of the Americans using CBD, the most common uses are for pain relief (64%), anxiety (49%), and insomnia (42%) (SingleCare, 2020)
  • An estimated 64 million Americans have tried CBD in the last 24 months (Consumer Reports, 2019)
  • 33% of American adults have used CBD once or more (SingleCare, 2020)

Popular Products

While there are many products to choose from, some CBD products are inevitably more intriguing to our target market than others!

  • Nearly 50% of CBD users prefer oils/tinctures, lotions/balms, and gummies (SingleCare, 2020)
  • According to SingleCare, of people who have not tried CBD:
    • 29% of people are interested in CBD lotions and balms
    • 28% of people are interested in CBD gummies
    • 26% of people are interested in CBD oils/tinctures/drops (oral)
    • 18% are interested in capsules/tablets
    • 18% are interested in topical sprays
    • 17% are interested in CBD-infused food, such as chocolate

Product Growth Projections

Many CBD products are expected to grow dramatically over the next several years. According to Hemp Industry Daily, 2020, by 2025 growth projections are:

  • 159% for over-the-counter supplements to $1.5 billion
  • 428% for beverages to $1.2 billion
  • 197% for inhalables to $792 million
  • 428% for food items to $595 million
  • 428% for candy and gum to $373 million

Legality

While there is misunderstanding and confusion about the legality of hemp products, CBD is legal in the United States.