Editor's Note: Commentary from FinancialNewsMedia.com distributed through PRNewswire
The rush to enter the CBD products and beverage market is akin to the local big box store opening at Midnight for Black Friday… everybody wants in now. BEVNET recently published a story after a west coast expo in 2018 that highlighted this rush to market.
In the article an industry executive noted that he "… no longer goes a day without taking CBD. Since first deciding to explore the space, he has immersed himself in functional beverage brands around CBD.
"The amount of people involved in CBD is higher than anything we've ever seen. Eighteen months ago I don't think we had even one call from a CBD company. In the last ninety days, I think we spoke to 20 different companies that do different things." But while he recognizes the popularity of CBD, the laws and science are not yet in a place where he could feel comfortable working with a brand built around the ingredient.
The article concluded with the following from an industry insider: "I think the mentality that will be successful in the CBD and cannabis product and beverage industry will be those who are skilled at guerilla marketing - getting into the consumer's mind to make them a pro consumer."
Some of the latest developments on this front include:
- Earth Science Tech, a biotech company focused on the cannabidiol, nutraceutical and pharmaceutical fields, has partnered with Iq2 Labs to formulate a CBD Mental Clarity and Focus shot.
- New Age Beverages Corporation announced the signing of an agreement to develop and distribute Marley branded cannabis-infused beverages. The first product to roll out in the Marley+CBD portfolio will be Marley+CBD Mellow Mood, relaxation drinks in 15.5 oz cans with 25 mg of pharmaceutical grade CBD per serving. Initial market roll out will target customers in Colorado, Oregon, Washington and Michigan. New Age has received commitments and confirmation from major national accounts and distributors encompassing more than 125,000 outlets, including two of the largest U.S. retailers in the convenience and grocery channels.
- Tilray, a Canadian cannabis company, is acquiring the assets of Natura Naturals Holdings for what could be as much as $52 million. Natura is the parent company of a licensed cultivator of cannabis. This includes a 662,000 square-foot greenhouse cultivation facility.