The Future of CBD: Key Industry Trends and Predictions

Introduction

Cannabidiol, or CBD, has taken the world by storm in recent years. As we move through 2023, the future of CBD is looking brighter than ever with new industry trends, technological advancements, and legal developments shaping the market. In this article, we'll dive into what to expect in the world of CBD, covering topics such as the rise of CBD products, the legal landscape, technological innovations, sustainability, and market growth.

The Rise of CBD Products

CBD products have infiltrated a variety of commercial sectors and beyond, offering benefits and more choice for consumers. Let's explore some of these popular categories.

Health and Wellness

CBD has recently become a staple ingredient in health and wellness products due to its potential to ease discomfort, alleviate anxiety, and soothe inflammation. As the industry matures, we can expect to see more targeted CBD products catering to specific needs, such as sleep aids, stress relief, and sports recovery. 

Companies are beginning to offer customized blends for general wellness. For example, a person could choose a CBD-infused bath bomb with their preferred essential oils for a relaxing soak, or a personalized CBD tea blend to help unwind at the end of the day. 

Sports & Gaming

While THC, commonly associated with the recreational side of cannabis consumption, is universally deemed a substance with high potential for dependence and abuse, CBD is carving out its own niche in diverse fields, from healthcare to athletics and now, notably, in the gaming industry. With its myriad potential benefits being increasingly validated and regulated in isolation, CBD is making its way into the mainstream, making its use more permissible for involved parties.

The World Anti-Doping Agency (WADA), an arm of the IOC that governs drug testing among Olympic athletes, has acknowledged the distinct properties of CBD by removing it from the list of prohibited substances as of January 2018. This decision reinforces CBD's image as a supportive supplement rather than a performance-enhancing drug, a distinction that resonates not just in professional athletics, but also in the increasingly competitive realm of esports and gaming.

CBD products are being tailored to fit individual needs in an impressive array of sectors. Consider the fitness world: a powerlifter might turn to a CBD-infused muscle rub to aid in post-workout recovery, while a long-distance runner could opt for a CBD energy drink designed to boost stamina and reduce inflammation. Similarly, the gaming industry is tapping into the potential of CBD. Gamers, who often face prolonged periods of intense concentration, and the physical stress of repetitive movements, might utilize CBD-infused products to help maintain focus, manage game-induced stress, and alleviate physical discomfort associated with long gaming sessions.

With the incorporation of CBD, the gaming world is exploring a whole new level of player support, taking cues from the fitness industry to bolster performance in a safe and regulated way. The lines between digital and physical endurance are blurring, and CBD appears to be a common thread running through these evolving narratives of human performance and wellness.

Pet Care

The pet care industry has also embraced CBD, with products like CBD-infused treats and oils for pets gaining popularity. As research into the benefits of CBD for pets continues, we can expect more specialized pet products to emerge in the coming year.

With pet owners increasingly turning to CBD for their furry friends, companies will begin offering  personalized CBD pet products. These might be tailored based on the size, breed, and health needs of the pet. For example, a small breed dog might receive a lower-dose CBD oil for general wellness, while a larger breed with joint issues might receive a higher-dose CBD-infused treat.

Beauty and Skincare

The beauty and skincare industry has also tapped into the potential benefits of CBD, with brands like Kiehl’s incorporating it into topical products like creams, lotions, and serums. We can anticipate more innovative CBD-infused beauty products that target specific skincare concerns, such as acne, dry skin, and aging.

Beauty brands are already at the forefront of offering personalized products to their consumers. Incorporating CBD into the personalisation trend allows for tailored products for individual skin types and beauty goals. For example, someone with dry skin might receive a CBD-infused moisturizer with added hydrating ingredients, while another person with acne-prone skin might receive a CBD-infused serum designed to combat inflammation and reduce breakouts.

Culinary Applications

There has been a rise of CBD in the F&B industry as individuals seek new and innovative ways to incorporate CBD into their daily routines. From blending CBD powder into a morning smoothie, to drizzling CBD-infused olive oil on a salad, the options are becoming more varied at the same time as responding to a specific lifestyle preference or routine. Personalization is also worth a consideration in this space as customers look for personalized spice blends or cooking sauces tailored to their flavor preferences.

CBD coffee fads have taken the industry by storm, and it looks like it isn’t going anywhere anytime soon. This unique trend has gained popularity among health-conscious individuals seeking a holistic approach to their morning routine. Believed to offer a harmonious blend of alertness and relaxation, CBD-infused coffee provides a gentle boost of energy without the jitters often associated with caffeine consumption. Advocates of it claim that it can enhance focus, reduce anxiety, and promote a sense of calm whilst enjoying the flavors and rituals of coffee.

CBD-infused seltzer drinks have been popular as a way to consume CBD in a refreshing and convenient manner, primarily for a ready-to-drink, portable format. More recently, cordials and bitters have also hit the mainstream. Typically flavored with natural flavorings like herbs and fruits, these beverages typically contain CBD extract, which is added to the seltzer water along with other flavorings, and are often marketed as a low-calorie and natural alternative to sugary sodas or alcoholic beverages.

Not limited to beverages, chocolates make a great food pairing with CBD because they’re rich in oils already, leading to a smooth, rich texture. CBD honey is also a growing trend among online and in-dispensary CBD companies. Consumers love the taste of honey and it helps cover up the earthy flavor of CBD. Best of all, the consistency of honey is such that CBD oil and honey mix well together.

The Legal Landscape

The United States

In the US, the legal status of CBD has been a hot topic. With the 2018 Farm Bill legalizing hemp-derived CBD at a federal level, many states have followed suit with their own legislation. As a result, we can expect more states to clarify their stance on CBD, paving the way for a more regulated and transparent market.

International Developments

Globally, the legal landscape surrounding CBD is constantly evolving. Countries like Canada, the United Kingdom, and several European nations have already legalized CBD products. We can anticipate more countries to follow suit in the coming years, opening up new markets and opportunities for the CBD industry.

Technological Innovations

Improved Extraction Methods

As the demand for CBD grows, so does the need for more efficient extraction methods. We can expect advancements in extraction technology that will yield higher-quality CBD products at lower costs, making them more accessible to consumers. Here are some innovative extraction methods on the horizon:

Nano-Emulsification: This method breaks down CBD oil into nano-sized droplets, enhancing the body's absorption efficiency. This process leads to a higher bioavailability of CBD, a smoother and uniform texture in products, and also facilitates the production of water-soluble CBD.

Supercritical CO2 Extraction: A clean and efficient method using carbon dioxide under high pressure and low temperatures to preserve the purity of the CBD.

Ultrasonic Extraction: Uses ultrasonic waves to rupture the plant's cell walls, releasing CBD quickly and efficiently, without the need for additional solvents or heat.

Microwave-Assisted Extraction: Leverages microwave radiation to expedite the extraction process, resulting in a high yield of CBD.

Pulse Electric Field (PEF) Extraction: Utilizes electric bursts to break down the cannabis plant's cell walls, easing the CBD extraction process. This method is efficient, eco-friendly, and scalable for commercial manufacturing.

Centrifugal Partition Chromatography (CPC): This technique separates CBD from other cannabinoids based on their weight, effectively isolating CBD in high concentrations without the need for costly solvents.

These technologies are ushering in a new era for CBD extraction, making high-quality products more available and affordable for the growing global market.

Cultured Cannibinoids

Existing natural supplies of cannabinoids are not sufficient to supply manufacturers looking to treat large populations. With this in mind, some companies are looking into ways to biologically synthesize cannabinoids instead of extracting them from a plant, creating a faster, safer, more consistent, and cheaper method than those used today.

Contrary to the popular belief, creating synthetic CBD uses fewer chemicals than isolating CBD from Cannabis plant material. It also removes the need for pesticides and fertilizers, making it more eco friendly. Meeting all the therapeutic benefits of natural CBD, a high-quality synthetically produced Isolate means there is no possible trace of other unwanted Cannabinoids (such as CBG, CBA or CBN) or terpenes, making this an increasingly more appetizing option.

Personalized CBD Products

The future of CBD (Cannabidiol) indeed appears to be heading towards personalization, with companies using innovative technologies and data analytics to cater to individual consumer needs and preferences. Here are a few examples of what this could look like:

1. Customized CBD Dosage: Advanced data analytics could be used to determine the ideal dosage of CBD for an individual based on various factors like age, weight, metabolism, and the nature of the condition being treated. For example, a company could develop an AI-powered online tool that asks users a series of questions to understand their specific needs and then suggests a customized dosage of CBD oil.

1. Personalized CBD Formulation: CBD companies could create personalized CBD products based on the consumer's preferences and requirements. For instance, someone with sleep issues could receive a CBD oil blended with natural sleep aids like melatonin and chamomile. Similarly, a customer who prefers a topical application for managing muscle relief could be provided with a custom-blended CBD-infused cream or lotion.

1. Genetic Testing: Some companies may take personalization to another level by incorporating genetic testing, allowing them to understand how an individual's body might metabolize CBD, and tailor the product accordingly. We all metabolize CBD at different rates, which would affect the dosage recommendation.

1. Subscription Boxes: Though already popular, modern living has secured the subscription trend, especially within the CBD space. Companies can offer subscription boxes tailored to individual preferences, with contents of the box being changed based on a customer's feedback or changes in their lifestyle or health condition. For instance, a customer might receive a box containing CBD gummies one month but might be running a marathon the next month, and want to receive a CBD-infused topical cream instead.

1. CBD Beverages Tailored to Taste: Customers could choose the type of drink they prefer (tea, coffee, energy drink), select the level of CBD they want, and also add any other ingredients for flavor or additional health benefits. This would allow customers to enjoy the benefits of CBD in a format that fits seamlessly into their daily routines.

Sustainability and Social Responsibility

In response to the increasing consciousness around environmental and ethical practices, the CBD industry has seen a dramatic shift towards sustainability and social responsibility. More and more, CBD brands are not only prioritizing eco-friendly packaging, ethical sourcing, and transparent business practices, but also are exploring innovative ways to reduce their environmental footprint.

Hemp, as a plant, grows at an impressive speed and can be harvested within four months, making it a highly renewable resource. It absorbs large amounts of carbon dioxide as it grows, further contributing to its eco-friendly attributes. One such innovation gaining traction is the use of industrial hemp in sustainable construction materials, specifically hempcrete. Revolutionizing the construction industry, hempcrete is a bio-composite material made from the inner woody core of the hemp plant, and mixed with a lime-based binder. Its natural insulation properties, breathability, and durability are comparable to traditional concrete, with the added benefit of being a carbon-negative material.

Several CBD brands have started to incorporate this material in their infrastructure, setting a high standard for sustainability in the industry. For instance, CanaBreeam, a CBD brand known for its dedication to sustainability, has recently constructed their new headquarters entirely from hempcrete. They've also committed to a zero-waste policy in their production facilities, using every part of the hemp plant in their products or as part of their infrastructure.

Similarly, GreenBud, a CBD brand focused on transparency and ethical practices, has integrated hemp-based materials, including hempcrete, into their retail outlets. This initiative not only underscores their commitment to sustainability but also serves as a physical representation of their brand ethos.

Hemp & Stone is another example of a brand leveraging hemp's potential in the construction sector. They have developed a line of hempcrete home building kits, promoting the material's use and opportunities to consumers directly. This innovative move intertwines their commitment to environmental responsibility with their CBD product line, creating a holistic brand experience centered on sustainability.

Market Growth and Competition

Major Players and Investments

The CBD market has seen rapid growth, attracting significant investments from major players. As the category matures, we can expect more mergers and acquisitions as companies strive to expand their market share and capitalize on the growing demand for CBD products.

In the beverage space, AB InBev and Tilray formed a $100m joint venture for the research and development of non-alcoholic, CBD-infused beverages, whilst Lagunitas, Heineken’s fast-growing California beer label, have introduced a cannabis-infused line called Hi-Fi Hops.

Barney’s has opened a cannabis lifestyle pop up called ‘The High End’, selling luxury CBD-infused products and cannabis accessories, proving that there is appetite for CBD within the luxury space. 

Conclusion

The future of CBD is set to be an exciting and transformative year. With new products, legal developments, technological innovations, and an emphasis on sustainability and social responsibility, the CBD industry is poised for significant growth and evolution. As the market continues to expand and mature, we can look forward to a more accessible, diverse, and innovative CBD landscape.

Frequently Asked Questions (FAQs)

1. Will CBD become legal in more countries?
   As the global legal landscape surrounding CBD continues to evolve, it is likely that more countries will legalize CBD. However, the pace of change and specific legal developments will vary by country.
2. What new CBD products can we expect to see?
   We can anticipate a rise in specialized CBD products targeting specific needs, such as sleep aids, stress relief, sports recovery, and pet care. The beauty and skincare industry will also likely introduce innovative CBD-infused products targeting various skincare concerns.