By Jan Brandrup, co-founder of Neurogan
Possibilites are expanding rapidly within the CBD industry as legal regulations and scientific research efforts are catching up to the growing demands of the public. Prospected to be a $20 billion industry by 2024, now is a ripe time to actualize the dreams of your new CBD business. We’re here to tell you that it can be done seamlessly with the help of the right private label partners and their services. Here are the key steps to follow to help you get started.
Find the right partner to help you succeed
Choose a private label partner who provides high-quality ingredients to ensure your product is better than the competition. Ask for a 3rd party certificate of analysis (COA) to confirm that desired potency and safety levels are met. These should be available to view for free, but you may need to pay more to have the tests done under your company’s name. Your customers will want to know what’s inside, so you must have these tests ready before selling.
Also, partner facilities should be cGMP certified. Current good manufacturing practice regulations are enforced by the Food and Drug Administration (FDA) to confirm the identity, strength, quality, and purity of products by requiring manufacturers to appropriately control manufacturing operations.
Don’t sacrifice quality for short term savings
Shop around for the right price, but don’t immediately run to the lowest offer at the expense of your product’s quality. Instead, consider selecting a few products to purchase in bulk to reduce price per unit and invest savings towards better quality marketing for the carefully selected SKUs. This conserves cost and energy, ultimately building trust and reputability in the long term.
Determine your target audience
There’s a wide range of CBD products with distinct functions available to choose from. Do your research and hone on your unique vision for your brand. Who do you want to work with and what do you have to offer them that is different? Perhaps you want to provide products for people or pets specifically, or want to create a line specific to athletic recovery. To develop a product that no one else has, consider private label customizations to an existing product by adding new ingredients, flavors, or scents that may appeal to your target audience.
Determine your fulfillment strategy
If you want to start small, you may decide to fulfill orders from your own home. However, if you don’t have the time or space, consider drop shipping. This will allow you to receive orders and have your private label partner conveniently store and ship products for you.
Private label may be the bridge you are looking for to get your CBD business off the ground. Take the time to select the correct private label partner that will work with you on this exciting journey from beginning to end. The grass is green on this side, cheers to entering the blooming market.