As the cannabis industry keeps on exploding and reaching new heights in front of your eyes, it’s no surprise that its legal archetype, CBD (or cannabidiol as it is otherwise called) has also become quite the hot commodity. Almost every major retailer is into CBD products these days, and thus, it’s obvious to see it come up as a viable commodity to buy and sell online, as well.
But, starting an online CBD shop is a lot more than just opening a website and waiting for the buyers to rush in. Going online to sell CBD products mean facing a rather complex industry with multiple marketing and legal challenges.
So, what are the steps to take to navigate through the challenges and start selling CBD online? Let’s find out!
Obtaining the Licenses
You’ll have to get a few licenses in order to start selling CBD. The first is the business license, and for that small businesses usually opt for the LLC. Research more about it in the website of your local government. You’ll need to spend a few dollars to register your LLC.
You’ll also need a resale license for buying the products from wholesalers. Resale permits and licenses are handled by the state, and the rules in this case vary from one state to another. Understand the rules of your state to know if you require the resale license at all and how to get it.
Finding the Supplier
Next up, you need a reputed supplier who will provide the high-quality products like hemp oil, tinctures, and the likes. This supplier needs to have the certification to sell authorized by the federal or state government.
The supplier should also be able to show you reports of the tests carried by third parties to assure you of the authenticity of the products that they are delivering you. Most of the CBD companies contain their own farms these days.
Building the Website
To build a website, you require a domain name (like thewebsitename.com as the web address). You can get a domain name easily from the popular web building platforms.
Finding a good payment gateway can be tricky for the CBD products because many of the payment processors, like PayPal, do not approve CBD. You need to ensure that you choose the gateway that can work well for your business.
Marketing the Products
It’s not like you can just build your website and the buyers will come naturally. Promoting cannabis business is a tad bit difficult because you can’t use the common platforms like YouTube or Facebook ads as they have banned CBD products advertisements.
So, the next best thing you can do is use the latest SEO techniques. Get an experienced SEO company to make your site rank high in the search engine results pages. Include fresh blog posts regularly in your website and choose the topics and keywords of the blogs based on the search intent of the buyers.
You can start your email list as your website starts getting visitors thanks to your SEO efforts. You can offer special discounts and coupon codes for the visitors who agree to sign up for your email list. For instance, give them coupons they can use during the weekend, or maybe during Cyber Monday or Black Friday. The aim is to build a relationship with your customers to keep them loyal to you.
Fulfilling and Shipping the Orders
You will need to have a system in place for warehousing the products and managing the inventory. You can do it from your home initially, but you’ll need a proper place for this eventually as the business grows.
It is important to keep these factors sorted beforehand. You cannot just wait for the orders to come rushing in and then start getting everything arranged. Because, in that case, you’ll be drowning neck deep in supply chain and logistics and your focus will no longer be on your core products.
It is understandable that selling CBD online involves navigating through multiple legal and marketing challenges, along with facing a stiff competition. But, there’s also no denying the fact that, with the market being in full bloom, now is the best time to get involved in it.