Tips for starting a CBD business – There’s never been a better time to become a hemp entrepreneur. The market is booming, people are buying, and hemp-related support systems are plentiful. Indeed, with the right resources, anyone can start a CBD business.
Of course, CBD business owners will need more than a CBD business plan and a website. If you’re ready to start a CBD business, then use these four tips to help ensure its success.
4 Tips to Starting a CBD Business
Starting a CBD business requires careful planning. If you want your CBD company to grow into a well-received CBD brand, then you have to know what you’re doing. Here are four tips to help you get started.
Know Your Goal
Your business goals are like the beacon your company will follow as it pivots its way to success. They should clearly explain what your business hopes to accomplish by a certain time, outline who will take each action step, and list which metrics will measure success. Use the following SMART method to establish measurable CBD business goals.
- Specific: Your goal should be specific, outlining the who, what, when, where, and why of the particular objective.
- Measurable: It should be easy to measure metrics related to this goal. For example, if your goal is to increase social media followers, then how many social media followers do you want to gain, and how will you track them?
- Achievable: Your goal should be realistic and attainable. Consider how the business accomplishes the plan and whether or not it’s realistically possible.
- Relevant: This aspect ensures that your goal will move you toward your mission statement. Don’t invest energy into pursuing goals that won’t help you reach your objective.
- Time-bound: This step is very simple: when exactly will you accomplish your goal? Deadlines can help maintain focus to ensure that the wheels are constantly spinning forward. Short-term goals may be quarterly or annual goals, while long-term goals may span up to 10 years into the future.
Know Your Audience
When we say “know your audience,” we don’t just mean know what people are buying; we mean know them. You should know who they are, what problems they have, and how to help them overcome them. Also, understand their buying habits and the questions they’re asking related to your product. This can help you determine which products to stock and which information to share as part of your content marketing strategy.
Understanding your target audience will help you reach them quickly and consistently. It will also help decide a business strategy, marketing methods, brand messages, communication channels, etc. To understand your target audience, develop buyer personas that represent a single, specific person in each of your target demographics.
Know Your Product
Many have entered the hemp space with dollar signs in their eyes but minimal background in the space. And though it’s quite possible to set up an online CBD store, buy white label hemp products, and sell them at a reasonable mark-up, successful CBD business owners know exactly what they’re selling. To follow suit, ensure you understand terms like cannabis, hemp, CBD, terpenes, and the Entourage Effect.
You should also understand CBD extraction methods and concentration types, including the difference between broad-spectrum CBD, full-spectrum CBD, CBD isolate, CBD distillate, and nano CBD. Notably, there is a considerable difference between these substances. Market trends, consumer preferences, and local hemp legislation all contribute to a product’s sales potential.
Know Your Industry
The CBD industry is still in flux as politicians continue to negotiate legislation. Though the USDA legalized CBD for commercial sale in 2018, details regarding regulations and protocol are still being formulated – largely at a local and state level. As this continues, expect fluctuations in things like banking, marketing, and compliance. We suggest you stay abreast of hemp industry news or follow us on social media, and we’ll pass the word along to you.
Final Thoughts About Starting a CBD Business
There is a lot of information to consider when choosing the best CBD products for your business. Fortunately, VCM CBD can help with all of that. We offer CBD business consulting, fully customizable white- and private-label CBD product manufacturing, expert formulation guides, and a wealth of blog content. We’ll manage your entire CBD supply chain, so you don’t have to. We even offer CBD marketing advice via our blog and a monthly newsletter to ensure you have everything you need for success in starting a CBD business.
Contact us to learn more.
Abby is a freelance cannabis writer and Founder of Cannabis Content, a marketplace and training platform designed to connect cannabis creatives with businesses that need their services. Learn more at CannabisContent.net