In the early spring of 2021, New Frontier Data released their final two reports on the U.S. CBD Consumer Series, Consumption Drivers (Vol. 3) and Social Influences (Vol. 4). The data-driven reports provided insights on the consumption behaviors of 4,074 CBD users. Respondents were divided into four categories based on their reason for CBD usage, Medical, Pain Management, Unwinding, and General Wellness.

The New Frontier CBD Consumer survey findings include:

49% of surveyed consumers do not have a preferred CBD brand
28% of surveyed consumers expect their CBD usage to increase
84% of consumers say CBD was recommended by someone they knew

These findings highlight numerous product and branding opportunities within the ever-growing CBD market. The complete reports can be downloaded from New Frontier Data’s website.

Major CBD Branding Opportunities

Nearly half of CBD consumers surveyed stated they did not have a preference regarding CBD brands. Consumers that partake for unwinding purposes were among the least preferential to a specific CBD brand, with 1 in 5 rarely knowing what brand they purchased. These results highlight a massive opportunity for brands to occupy space in consumers’ minds as the market matures. Growing and developing a brand takes time. Companies should begin exploring CBD product development early to leverage market gaps.

Anticipation For CBD Market Growth

Data indicate an increased need for CBD products amongst consumers. The survey revealed that 28% of consumers anticipate increasing their CBD usage. Additionally, just over 50% of all respondents expect their CBD usage to remain relatively the same. These statistics highlight that the CBD trends are likely to continue and expand; the demand for CBD products will most likely increase. Expanding desire for CBD products opens the door for new brands to make a name for themselves.

The Importance of Word-Of-Mouth in CBD Marketing

Most consumers make CBD purchase decisions based on recommendations from people they know, making word-of-mouth (WOM) an important aspect of CBD marketing. Effective WOM strategies rely on high product quality and valuable consumer engagement. Understanding how to communicate successfully with CBD consumers is important to creating a CBD brand that evokes customer loyalty.

Aspects that promote impactful WOM include knowing what influencers to partner with, which platforms to leverage for advertising, and, most importantly, understanding how to create quality CBD formulations. Collaborating with CBD formulation experts will be valuable for developing a unique product that solves a problem for your target demographic. CBD marketing strategies that include a unique value proposition for their customers will help your brand stand out from the crowd.

Capitalize On The Moment

Almost 50% of consumers still don’t hold brand loyalty to any particular CBD brand or CBD product, leaving room for companies to develop CBD brands that stand out amongst consumer minds. In an exponentially expanding market, now is an ideal time for CBD product developers to begin exploring and capitalizing on gaps within the CBD market. Working collaboratively with CBD experts is valuable for creating products that resonate and generate buzz with CBD consumers.

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