As you may have read over the past couple months, more and more retailers – including larger chains – are announcing both in-house products and partnerships with CBD brands. Companies from CVS and Walgreens to Sephora and Unilever are getting their feet wet in the CBD industry. There is a lot of potential upside for these retailers as new brands, products, and audiences are constantly popping up. The regulatory environment for CBD is still gray and topicals have become a lower risk investment for chain retailers that want to stock their shelves with top brands. Furthermore, our data shows that consumers of CBD are more likely to use it everyday, opening up doors for brand loyalty and product availability across chain stores. Now is a good time for brands to start making a name for themselves and building that loyalty as topicals are the industry's first exposure to mainstream, novice customers that are looking for a brand to trust and stay with.
Who buys topicals?
There are two main reasons as to why consumers would purchase CBD topicals: chronic pain relief and mental health treatment. They are an easy way for consumers to enter the CBD market as they are readily identifiable and accessible. Consumers, such as athletes, the physically impaired, and elderly patients, are some of the leading users in this product segment.