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It should come as no surprise to learn that the CBD industry has exploded over the last two years. Retail outlets popped up across the nation, both in small towns and large cities. Even entrepreneurs took advantage of a new niche and opened dedicated CBD shops, and small unsuspecting shops such as gas stations and pet stores even got on board. Retail businesses boomed, with the vast majority of consumers purchasing their products from brick-and-mortar locations rather than online or using CBD delivery or e-commerce options.
However, the pandemic hit hard in early 2020 and with it, disruption of services across the nation inevitably followed. Stay-at-home orders led to changes in operating procedures or store closings for businesses not considered essential. The rapid rise of the CBD retail industry experienced an even quicker decline in the wake of the coronavirus. The prevalence of brick-and-mortar businesses shifted to a predominantly online and delivery market, and the insurance industry responded with policies tailored to meet the needs of owners offering delivery service and online sales.
Alternative CBD Services
As CBD retail outlets were forced to close their doors as customers grew nervous about the idea of in-person shopping, consumers began to search for alternatives. Two options became widely available and increasingly popular: CBD delivery and online CBD.
CBD Delivery Service
Savvy retail owners made the move to providing delivery to local customers who would have normally visited their shops in person. The ability to make such a rapid shift allowed for these sellers to maintain business operations, even if their doors were ordered closed. Since the restaurant industry provided a template for how to adapt from retail to delivery, the cannabis and CBD industries were able to adopt the idea. In order to survive, many have also had to develop an e-Commerce site as well.
CBD E-Commerce
The common question, “Can you get CBD online?” is met with a resounding “Yes” by the CBD online sales industry. Federal guidelines state that it is legal to ship CBD made from hemp across all 50 states. The e-Commerce market for CBD is skyrocketing, as consumers seek to stock up on their supplies. Online companies are using CBD delivery to ship more products to more buyers across the nation.
Online Moves
The pandemic has altered the face of CBD sales, but there is uncertainty about the overall impacts on the industry after the crisis passes. The opening up of the market for a new product led to rising sales before the coronavirus hit. Now, many consumers are increasing their use of CBD products during the pandemic, while others are finding their way to these goods for the first time, seeking the cannabinoid’s benefits to ease the stresses this crisis causes. The question is whether consumption habits will continue, and will e-Commerce continue to rule the CBD industry?
CannGen Insurance Services Meets Industry Needs
For more information about our comprehensive insurance solutions for the cannabis, CBD, and hemp industries, please visit our website at www.canngenins.com or email marketing@canngenins.com.
