An insight in the CBD industry.

Why is the CBD Market so important and its growth so continuous? The reasons why CBD is not a one hit wonder and instead an evergreen are plentiful.

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B2B CBD Wholesale Online Trade

Why is the CBD Market so important and its growth so continuous?

Arvaloo B2B CBD and Hemp Marketplace

The Arvaloo Marketplace offers a Europe-wide B2B CBD and Hemp Market for wholesale. You can sell and buy CBD products B2B on our wholesale marketplace. Arvaloo helps your business to transform and simplify trade with hemp goods digitally and easily. Our Marketplace is the place to B2B trade with high quality CBD – online, fast and transparent.

What kind of shop should offer CBD?

CBD is a product not just for apothecaries and hemp stores. Because of the numerous benefits CBD offers, consumers buy it in a wide range of different products. CBD is used in cosmetics, relaxation products, healing ointments, beverages such as tea, coffee and lemonade, supplements for pets and humans, aromatic oils and even gummi bears. Therefore, CBD products are a great extension for every supermarket, fitness store, cosmetic store, wellness store, BIO store, health shop and drug store.

Why do customers love CBD?

The reasons why CBD is not a one hit wonder and instead an evergreen are plentiful.

CBD offers sustainability in production and usability for clients. Sustainable in production because CBD is produced ecologically sustainable in a way that does not hurt our planet and environment. Sustainable in the usability for clients because it can be used advantageously to the user over vast periods of time thanks to its low toxicity and naturally generated effects. For all of those reasons, CBD is here to stay.

The growing demand for CBD products is tightly linked to current megatrends, a term coined by John Naisbitt in 1982. A megatrend is an enduring, powerful transformation of the global community and economic situation1 which transforms our societies and has wide-ranging implications well beyond the sector which it primarily affects.2 The megatrends “Neo Ecology” and “Health” will affect the hemp- and CBD market most strongly with the “Silver Society” shaping the future of this branch too. This means that the growth of the CBD market is inseparably linked to current shifts in the world.

Megatrends and B2B CBD

1. Environmental sustainability – Neo Ecology

Neo Ecology describes the movement towards environmental sustainability in the global economy. Customers focus more and more on the environmental impact of products and the ecological efforts of the company behind the products. There is a growing demand for sustainably crafted products, which do not harm or litter our planet in the short or the long term. People around the world receive more education on this topic and start to educate themselves. There are countless ways in which you can see this change in society. Be it “Fridays for Future”, the rise of “Bio” products or the effort of Germany, Europe’s largest economy, to reduce their energy consumption and receive their energy from renewable sources,3 just to name a few.

2. The wish for a healthy body – Health and Silver Society

Products that are good for your body and facilitate a healthy, long life experience an ever-growing demand in recent years. May it be in the ever-growing fitness sector, European countries that implement government regulations about sugar, fat and salt contents of food products4, 5, or emerging new ways of dieting, like the Keto- or Vegan Diet. People who wish to increase their bodily health are everywhere and they grow in numbers. These prior reasons are linked to two megatrends, namely: “Silver Society”, which addresses the aging population of the global community, as well as “Health”, which constitutes the changing demands of citizens and customers on their healthcare systems and on their own way of handling personal health and the well-being of their family.

3. The wish for a healthy mind – Health

The megatrend of health also describes the wish for a healthy mind. A wish that more and more people manifest in concrete actions. The idea of mental health is prevalent in many heads nowadays and problems and illnesses which are merely mental are communicated more comfortably than ever. Caring about one’s mental health becomes increasingly common and accepted, states the American Psychological Association7, and is now in the spotlight of societal discussion. The role that consumer and health products play in that desire is enormous. Psychological disorders are the 4th highest category of health care spending in the US with more than 150 billion Dollar spend on it in 2013.6 But less severe problems with mental health are treated too, by customers privately, and the market for relaxation-, wellness- and anti stress products is rapidly growing.

Don´t miss out on the future!

CBD is not a new trend that will be forgotten as fast as it became famous. CBD is a resource with future. The general prevalence of Cannabidiol stems from its broad usability. On one hand, everything from medicine to wellness applications can be made from it and fulfill its promises. On the other hand, it is inseparably linked to global megatrends which shape the economy and the social environment. CBD is a vast and intensively fast-growing branch with Europe as the second biggest market. A forecast by major cannabis researchers BDS Analytics estimates CBD sales to surpass $20 billion annually revenue by 2024 in the United States alone.8 For comparison, in 2018 the market size was around $600 Million in the US.9 Cannabidiol is not about hemp enthusiasts or environmental activists, it is about people.

 


References:

1.     BlackRock, “What are megatrends | BlackRock,” 07.04.2020.

2.     zukunftsInstitut, “Aktuelles über Megatrends,” 2020.

3.     Federal Ministry of Education and Research, “German Energy Transition – BMBF,” 2016.

4.     Government of the Netherlands, “Promoting the production of healthy food,” 07.04.2020.

5.     Welle, D., “German food industry to cut sugar, salt and fat content | DW | 19.12.2018,” 07.04.2020.

6.     American Psychological Association, “Depression ranks among the most costly health conditions,” 07.04.2020.

7.     American Psychological Association, “Survey: Americans Becoming More Open About Mental Health,” 07.04.2020.

8.     BDS Analytics & Arcview Market Research, “U.S. CBD Market Anticipated to Reach $20 Billion in Sales by 2024 | BDS Analytics: U.S. CBD Market Anticipated to Reach $20 Billion in Sales by 2024,” 03.04.2020.

9.     Garber-Paul, E., “Exclusive: New Report Predicts CBD Market Will Hit $22 Billion by 2022,” 2018.

 

 

Tim Groschke

Tim L. Groschke is a writer with major interests in market development, biology and cognitive neuropsychology. His studies range from international political economy to historical and classical texts. Often writing for the Arvaloo and WeBelieve team he uses his comprehensive yet detailed knowledge to give insight in the biological processes of hemp products and the industry surrounding it.

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Market Insights

An insight in the CBD industry.

Why is the CBD Market so important and its growth so continuous?
The reasons why CBD is not a one hit wonder and instead an evergreen are plentiful.