If you’ve had the good sense to enter the CBD market early, your company has the potential to grow big time in the future. CBD is expected to be a $22 billion industry by the end of 2022. This projection is separate from financial projection for the cannabis market as a whole, indicating an incredible niche market.
CBD companies are starting up all over the country, which has made the landscape incredibly competitive. When you’re ready to grow your business selling the most potent CBD oil, you may not know the best strategies for scaling seamlessly. Thankfully, there are other experts who have gone before you with the best tips for scaling your CBD business. Here are the top 10 to consider.
- Stand Out
There are now hundreds of CBD companies selling the same products as you, so you must find a way to stand out and carve your space in the top-sellers of CBD. A huge part of this is branding.
A good CBD brand revolves around the look of your packaging, your targeted audience, what’s inside your products, and the touted benefits of those products. You might choose a slogan that makes your products seem more enticing or generate a creative marketing strategy to further benefit your goals.
- Be Flexible
With an industry that’s growing as rapidly as CBD, you have to be flexible with your business model. You might have started out selling hemp seed oil, but later find out that pure CBD oil is a better business. Roll with the changes, and you’ll be able to stay at the top of the game.
- Watch the Laws
You should subscribe to all the top online magazines, blogs, and publications that discuss CBD politics and legislation so that you can be alerted the moment a law changes that might affect your business.
In some cases, the laws may negatively affect your business model, requiring you to take a certain product off the market or completely change your marketing strategy. In other cases, it will enable you to sell and market your products better, opening up many doors for your company.
In either case, knowing about the laws as soon as they occur gives you the power to move with the legislation and be among the first in the industry to make changes.
- Find Investors, Not Bankers
As a successful CBD startup owner, you know that finding adequate funding is difficult. Many mainstream lenders refuse to back CBD companies because of the potential liabilities. If the laws change suddenly, CBD companies would be out of business and the bank would lose its money.
As such, you’ve probably been forced to use unique methods for funding your business. When it’s time to scale, stop looking for banks and start looking for investors. Your risks are often lower, and many investors are looking to get into the CBD game.
- Create a More Targeted Market
Because you’re growing your business in a hugely competitive market, you need to know your target audience better than any other aspect of your business. Choosing a super targeted market to sell to will help you maintain profits as your business grows.
For example, you might specifically market the best CBD oil products to college and graduate students over the age of 21. This would involve unique literature and marketing platforms that tout the benefits of CBD in a college setting.
With such a small and unique market, you can arguably grow your business to untold heights.
- Add to Your Team
You and a couple of friends may have started the business, but you can’t scale it properly without the help of a few trusted team members. Choose employees that will fill in holes of the company’s immediate needs first, like customer service representatives or a certified accountant.
Then, look at adding roles for big-picture scalability. For example, you might hire a project manager or strategist that can tackle projects designed to streamline your growth.
- Use Technology
CBD tech has come a long way in the last few years, making CBD products more accessible and affordable than ever before. For example, labs are working on water soluble CBD that will economize the way CBD is being integrated into food. Consider groundbreaking tech like this and how it can be incorporated into your business.
Business tech has also come leaps and bounds, making it simple for entrepreneurs to grow their businesses. Take advantage of automation, online services, and more to streamline the business side of things so you can focus on your products.
- Focus on Transparency
The goal in the CBD industry is to provide the best quality products that are ethically sourced. If you’re ready to scale your business, be transparent about the way your CBD is grown and processed. If you’re not ready to be transparent with your business because it’s not at the quality it should be, start there to improve it.
Mention where and how the hemp is grown and the process for extracting your CBD in each batch. Most importantly, share third-part lab reports that clearly convey the potency and quality of each batch you sell.
- Reconsider Your Vendors
Can your current CBD providers and vendors scale with you? They may not be able to sustain production for a large CBD operation, and you may need to reconsider who you do business with.
Additionally, there may be discounts for doing CBD at a larger scale. Check pricing and quality and consider switching to those that give you the best products at the best prices.
- Take Advantage of CBD for Your Own Health
As a busy entrepreneur, you’re certainly under massive amounts of stress. You may experience anxiety, sleepless nights, pain from hours hunched over your computer, and even hormonal acne breakouts. It’s easy to let your health go by the wayside, but wouldn’t you be hypocritical if you were selling a product that you don’t endorse yourself?
Listen to the claims of your most dedicated customers and use CBD for your own health and wellness. You may be able to treat many of the symptoms that might be preventing your productivity and creativity that can be used to scale your business to unprecedented levels.