Though scepticism surrounded the ‘’hype’ of CBD (cannabidiol) use in the UK initially, recent research suggests the COVID crisis has further propelled this already booming industry. Statistics show the UK’s CBD market is well on its way to surpassing the £1bn mark by 2025, with private label cbd skin care products making up 40% of UK sales.
What are white label CBD products?
CBD white label products, such as oils and e-liquids, are formulated and manufactured by a supplier. Companies then purchase and re-brand these products for their specific business, before retailing them to customers directly. This method has proven incredibly popular with SMEs who have found a profit haven in the ever-growing CBD market.
5 Benefits of using white label CBD products
- No Manufacturing License
Securing a manufacturer’s license is one of the most laborious parts of the entire supply process. You must prove you are qualified to create a product that is beneficial and safe for consumers. You must also have a deep understanding of the various laws and regulations which come with manufacturing CBD products. Failure to know and abide by these rules can result in harsh penalties, even conviction.
- Save time and money
The significant capital required to manufacture CBD products is far out of the reach of the majority of small UK businesses. Acquiring labs and testing facilities, high-quality ingredients, and production experts (to name a few!) can be expensive and time-consuming. Creating and testing your formula, as well as the inevitable tweaking which comes before a product is retail-ready requires patience and resources.
- Fast-track your business
As mentioned, opting for white label CBDs can save you a ton of money. So much so that you can start your CBD retail business without the requirement of a hefty bankroll. You are free to select the products and quantities you want, meaning you can implement a ‘buy as you sell’ strategy. This is an excellent method of testing the waters with new products to find out which are most popular, and more importantly, profitable.
- High-quality products
By purchasing your CBD white label products from an experienced and reputable manufacturer, you can sleep easy at night knowing you are providing your customers with high-quality products. Manufacturers are well aware that to keep retailers coming back, they must supply them with quality products that their customers will love. Hence, their products will have undergone rigorous testing and quality control processes.
- Focus on building your brand
The money and time saved by avoiding the manufacturing process mean extra resources that can be spent enhancing your business. Using CBD white labels also gives you complete control over your product branding. Having your business’ name and logo on your products is crucial for brand awareness and loyalty. You want customers to know a product is yours as soon as they see it. Customers will be excited about your new products and will be more likely to share them with their friends, which could boost revenue!
To kickstart your CBD business, get in touch today.