“But marijuana is healthy”, a statement most people make when they are justifying smoking up or taking pot. However, the correct statement should be “But CBD is healthy”. The story of the hemp crop is similar to the phrase “Every coin has two sides”. While one part of the hemp plant is rich in THC, the other part consists of CBD which is proving to be a medical phenomenon!
It is a growing market and if you are looking to venture into it then let this blog post enlighten you in all its capacity.
Before we get started on the business plan, there are a few absolutely necessary things you have to do. Here it is –
1. RESEARCH Thoroughly
Before starting any kind of business your knowledge of everything related to it must be well updated. You must know each and every part of the business procedure and the product/service you are selling to your audience. Read up on every news article and information there is available.
In the case of CBD business, you should first know what CBD is.
CBD is short for cannabidiol which is a chemical compound found in the hemp plant. It is extracted from the leaves and flowers of the hemp plant and is found to have exceptional medicinal properties. There is an ongoing research on its anti-cancer properties as well. The popular tendency of associating CBD with THC (Tetrahydrocannabinol) is completely wrong. CBD and THC are contradictory to each other as CBD is the counteract to the psycho activity and compromised thinking ability induced by THC.
2. You Must Know The Plants – Even If You Outsource The Product
There is a common misconception that marijuana and hemp are used for the sole purpose of recreation. However, this fibrous plant can be used in making ropes, textiles, food etc. Marijuana by itself is consumed only for recreation but its legal status is uncertain in some states.
There are two chemical compounds- CBD and THC which are found in marijuana and hemp. The legal and healthier option depends on their concentration. If the concentration of THC is higher than 5% and goes upto 35%, the psychoactivity and disorientation are likely to affect a person. However, if the concentration of CBD is more then its healing properties are evident. CBD is the only legal product.
3. Acquaint Yourself With The Law
Cannabis was categorized under Schedule 1 Substance during the Nixon Government. Industrial hemp is exempted from this but it is still illegal to sell it in some states. According to the government regulations, you can sell CBD which has only 0.03% of THC content or it is considered illegal. So, industrial hemp oil is the only legal product you can market.
Now that you are well acquainted with the essential details, let’s move to the online procedure of selling CBD:
STEP 1: PLAN HOW YOU WANT TO START
You will receive a million questions at this stage and you may have some of your own.
Some important things you should have in place are:
Where do I acquire CBD from?
A legal business entity would be a suitable option as it will provide quality products in accordance with the laws. Find a reputable seller to partner with and check from where they are sourcing and what extraction method are they using. Multiple options for extraction affect the price of the product, so see which one suits your requirement after speaking to the seller.
What is my business plan?
Considering it is a comparatively new market, you can have the liberty to experiment with the marketing but you need to be extremely careful about the operating costs. The business sense and expertise of your partner will be extremely beneficial. You will be well equipped to handle the supply and demand from their experience and it can add to your knowledge of this business. Your target audience, workforce and channels of communication should be selected smartly. Achieving smooth coordination with your partner should be your top priority.
What are the formalities?
Get all your legal business documents like permits and resale licenses. Establish your business entity so in case of any audits or checks you are answerable with all formalities in place. Tax registration, bank account opening, bank insurance and other professional requirements should be fulfilled.
Now that you are well acquainted with the essential details let’s move to the online procedure of selling CBD:
STEP 2: FIX A PAYMENT PROCEDURE
It is extremely important to find a high risk free payment procedure in this business. It may not be marijuana but its association to it in people’s minds that might make it difficult to find legitimate payment processors. However, with increasing awareness of CBD’s medicinal properties, things are slowly changing. You must research extensively to find the correct payment method because it involves legal complications.
STEP 3: SETTING UP YOUR WEBSITE
Your website should be as optimized as it can be. You must remember that even though the online market makes actual human interaction zero, you still have to provide your clients with a human feel. Your website is representing you and it must have a voice.
Blogging can be very helpful here as the customers get more acquainted with you and a strong trust is built. Everything that the customer needs should be looked after by your website.
The experience should seem as real as it can be. You must also update your website content regularly depending on the news related to CBD and any changes made by the provider in the composition of the product.
STEP 4: MARKET YOUR PRODUCTS AGGRESSIVELY
This is the most crucial part of any business. You have the products and a channel to sell it through. How you convey the message to your clients is very important. Considering the CBD business, your words and campaigns need to work harder on first helping bring a change in old rotten perceptions about CBD and then making your brand a synonym for CBD.
Here are a few things you can do for an effective marketing plan:
I) Market Yourself
Your website is your mouthpiece and hence you should use it to market yourself as a seller. Your thoughts and findings about CBD should be out in the open. If your content is interesting then people will want to read it. If you market yourself well, you will become the brand ambassador of your website and people will start listening to you..
II) Effective SEO
The importance of SEO cannot be stressed upon enough. Your content can be great but for it to be noticed you need to use the right keywords and optimize it so search engines can find you. Marketing will be ineffectual if your website is not displaying under relevant searches. SEO can increase your online presence and sales tremendously.
III) Product Reviews and Responses
Customer interaction is the quickest way to create a brand impression. Create a review or comment section for your product where they can share their experience. It is equally necessary to respond to their reviews or feedbacks. This makes the customer feel important and you get direct feedback. So, it’s a win-win situation.
III) Good Customer Service
Your business with your customer does not end once the product is bought. To make the person a loyal customer you have to provide after sales service for any enquiry or issue with the product. You have to be answerable to them and continue some sort of communication to keep them engaged.
IV) Channels For Promotion
Choosing a channel depends on the audience you are targeting.
Social Media Platforms
You won’t be able to advertise on Facebook or Google but you can create profiles on these platforms and update them regularly for some educational interaction. Other social media channels such as Instagram, Twitter, Pinterest etc are also very useful in generating awareness and hence, traffic.
Blogging is another very important method of promotion you can use. Interesting articles related to your products can attract traffic as well as goodwill. Your blog can become a daily read for people if the content you provide is excellent.
Email communication is both professional and personal. You can connect with your contacts and fans regularly through this platform. With regular contact you are ensuring that they don’t forget it. Now, you need to ensure they also enjoy the content you send. It should add to their knowledge base and in some way be enlightening. They will not only remember your brand but will credit you for informing them. You can share any kind of health and lifestyle related content or facts about CBD products through emails. Create a personal connect with them by sharing experiences and success stories. Don’t forget to add a link to your website from where they can buy the product.
STEP 5: FINDING THE RIGHT LOCAL PARTNER
When you are re-selling CBD products you need to be sure of the quality and the legal formalities completed by the company.
Check for the Certificate of Analysis which is a detailed report of the chemical composition indicating the levels of THC. The quality, potency and purity of the product is defined there.
A company cannot make any medical claims so check for the FDA approval which should be in their disclaimer.
If the supplier is growing their own crop then you must have a look at their farming methods and whether it is meeting the requirement of the industry.
You should have a professional equation with the company and be vigilant of their product launches and news.
With adequate business sense and research on affiliation you can sail through this industry smoothly. Structure your path in a manner that it covers the above mentioned points and you are sure to kick start your business.
We hope this article has eased your concerns regarding sale of CBD online.
AllWithNature CBD is serving people with 100% natural CBD since the last 5 years. Customers have been ordering repeatedly which explains that the products are well-accepted in the market.
To accelerate these life saving CBD products reach a bigger audience, get started with your CBD business as a wholesaler in the correct way with AllWithNature.
Also, to quickly start selling CBD online, you can join the affiliate program offered by AllWithNature right here.