In 2019, there are hundreds of companies actively participating in this new age cannabidiol (CBD) gold rush. For such a highly regulated industry, the CBD market is becoming a wild west of sorts. Without clear direction from Congress or the FDA, companies are throwing nutraceutical products into the proverbial ring just to make a buck. Claims of “purity” without any lab testing and warehouse raids by state governments have left the legitimate companies working in CBD to separate themselves and their credibility.
Recent reports indicate the CBD market is estimated to grow by 700 percent by 2020. Projections state that the CBD market will grow to $2.1 billion in consumer sales by 2020 , with $450 million of those sales coming from hemp-based sources. According to Debra Borchardt, a retail reporter from Forbes, “Not only is the market projected to grow by leaps and bounds, but it has already been targeted by many industry insiders. There are more than 800 CBD products in the marketplace in Washington state alone. This makes it difficult for consumers to know what is what when they are trying to buy CBD products.”
Companies making CBD oils, tinctures, pills, balms and salves will need to remain competitive and differentiated. But how will they do that, given the lack of clarity in regulation and a confused customer base? Will they start to venture into the ethical pharmaceutical markets which call for much more detailed