June 20, 2019 - The cannabis industry is in its infancy. The combination of stringent legislation, unfavorable policies and relatively high entry costs are just a few of the barriers bedeviling the industry. While the government through a series of favorable policies has already started the process of improving the ease of cannabis business, another step that can help the industry grow is Cannabis licensing.
With this in place, smaller players can enter the market with their products, without huge financial risk. Licensing cannabis provides the perfect opportunity for people and entities who are willing and interested in riding the wave of this new industry.
As a result, we’re seeing big licensing brands take advantage of this opportunity. For instance, Licensing Expo, the world’s largest and most prominent licensing event had its 2019 even in Las Vegas early this month.
And for the first time, they included twelve cannabis wellness firms in their list of participants at the event. These brands had cannabis products ranging from beauty and skin care to edibles, oils and balms. These brands were at the event to see how they could further get into the market through licensing deals.
This inclusion of cannabis companies at the event’s lineup was met with warm welcome from all participants. According to Allison Ames, CEO and President of Beanstalk,
“Cannabis, CBD and hemp are set to disrupt virtually every consumer industry – food and beverage, spirits, beauty, health and wellness, home and garden, tourism, and more,”… “There was an overwhelming level of interest in the category at Licensing Expo from those looking for education about the cannabis industry overall and for trusted brands with which to partner.”
Another participant, Drake Sutton-Shearer, CEO of PRØHBTD, also feels the same way about the inclusion of cannabis brands. According to him,
“The amazing response and enthusiasm from those who visited the Marketplace reinforced our belief that mainstream brands, manufacturers and retailers are ready to partner with leading companies in our industry. ”.
A third participant in the person of Mathew Gerson, Creator & Co-CEO of Foria Wellness, said the cannabis infused brands and products were welcome at the expo.
He said many of those who visited the Cannabis and Hemp Marketplace were curious about cannabis infused products, liked what they saw, and were interested. For many, the visit to the marketplace was education and insightful.
According to Gerson,
“Most visitors to our booth had no idea of the range of therapeutic gifts Cannabis and Hemp have to offer us,”… “It’s our responsibility as stewards of our fledgling industry to ensure that the transition into the mainstream world of commerce and commodities is done in such a way that prioritizes what matters most. We are seeing some positive early signs out there that this is possible.”
This acceptance implies that the cannabis industry is rapidly gaining more ground, and is fast on its way to becoming a globally accepted industry, with legitimate careers, opportunities and even the possibility of inclusion in educational institutions.
This growth is evidenced in the $390 million revenue generated by the CBD industry in 2018, compared to its projected value of $22 billion in 2022. It’s possible that with the right branding, the industry would attain further heights and get even better results.
This is why all cannabis, CBD and hemp companies must aspire to grow and develop their brands. This will help them generate even more revenue as people are more likely to buy from known CBD, cannabis and hemp brands than from those they don’t know.
The good news is the industry has started enjoying increased patronage and popularity; as evidenced by celebs looking to license CBD products in particular. Some examples of this include Lamar Odom’s association with Five Star Juices and their CBD vape pens, and Martha Stewart joining the board of CBD company, Canopy Growth Corp.
In anticipation of the industry’s perceived future growth, some participants at the licensing expo, came to the market looking for opportunities.
According to Bill Di Segna, CEO and Founder of CBD Living,
“Not only was the Marketplace an amazing opportunity for CBD Living to grow its brand and connect with influential people, but it demonstrates just how important CBD and hemp are becoming in the global marketplace,”….“By exhibiting, we are continuing to be at the forefront of this beneficial – and lucrative – industry.”
With many looking for licensing deals to help expand their reach, CBD and the hemp industry is poised to grow even bigger. Also, this level of exposure lends significant credibility to an industry that’s been associated with so much negative press and reputation.
According to Troy Meadows, Cofounder and Marketing Director of Legion of Bloom, an award winning cannabis company in Northern California
“With so much attention and interest surrounding The Hemp & Cannabis Marketplace throughout the convention, it’s been amazing to help bring credibility and presence to our industry,”
And brands that were present at the licensing expo are beginning to enjoy the rewards. For instance, PRØHBTD partnered with PR agency, Beanstalk through the event. The agreement means that Beanstalk will be the sole representative of PRØHBTD’s products/brands, including Hempathy’s cosmetic products, and Ceeby Dee’s dietary supplement.