Can CBD Save the Mall?
Cannabidiol (CBD) has seen surging popularity in what is a new product category. Brands and companies are jumping on the opportunity by launching new products containing CBD, selling extracts, capsules and even raw plant. But can CBD save the mall?
- Hemp-derived CBD sales in the US are expected to reach $646 million in 2022, according to New Frontier Data.
- With increased venture capital support, CBD startups are expanding and actively looking for channels to generate revenue: We expect more brands and retailers to add CBD formulations, which will drive consumer interest and foot traffic.
- Consumers remain interested in physical retail for browsing and researching products. Physical stores are a point of discovery for emerging brands, and new products such as CBD are effective in drawing in customers.
- Surveys suggest that consumers prefer to buy CBD in store, and producers are partnering with retailers and REITs to expand distribution channels.