How You Can Unlock Profit Potential in the Fast-Growing CBD Market

Editor's Note: The National Institute for Cannabis Investors - The Institute or NICI, for short - is your official source for all things cannabis investing as cannabis continues to be one of the fastest-growing, most profitable opportunities of all time. The Institute's goal is to bring together the smartest minds and most credible experts in the cannabis industry on the same team... as a united front. NICI is the most powerful cannabis-investing tool available to investors to help them achieve their dreams of financial freedom. Here's new analysis from them on one of 2020's best profit opportunities...

Last January, we here at the National Institute for Cannabis Investors told you 2019 would be the "Year of CBD." CBD is short for cannabidiol, and it's one of the primary active compounds found in cannabis plants.

Man, did it deliver...

On March 21, CVS announced that it would sell CBD products in 800 stores throughout eight states.

Then Walgreens announced it would sell CBD creams, patches, and sprays in nearly 1,500 stores in nine states.

Not to be left behind, Rite Aid said in April it would sell CBD lotions and lip balms in more than 200 stores in Washington and Oregon.

That race to get CBD products on the shelves for major pharmacies and health stores really got the ball rolling for other retail outlets...

In May, Sheetz gas stations started selling CBD patches, tinctures, vape pens, pouches, capsules, and pet products in 140 stores throughout Pennsylvania.

And as a sign that CBD is ready for the mainstream, athletes - from U.S. soccer star Megan Rapinoe to former NFL star Rob Gronkowski, to name a few - began signing on as spokespeople for various CBD companies.

The best part of all these developments is that 2019 was just the start for CBD, which is quickly becoming the most profitable niche of the cannabis industry...

By 2024, Arcview Market Research projects CBD sales will surpass $20 billion. That's nearly twice the $10.8 billion that the entire legal North American cannabis industry was worth in 2018.

That's why now is the time to add the top-tier CBD companies to your portfolio. And today, we'll show you where to find them...

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Focus on Branding

People use CBD for a variety of reasons, so companies need to make sure their branding is telling a story about what the product will do for a consumer.

In other words - a company needs to clearly brand itself so consumers know what it's all about.

For instance, Charlotte's Web Holdings Inc. (OTCMKTS: CWBHF) offers CBD gummies to help aid in sleep, calmness, and recovery.

The image on the product bottle is very peaceful-looking. It doesn't have vibrant or bright colors, and the design ties in perfectly with the idea that the product could help in aiding a restful night's sleep.

The company uses the same design approach for its "Calm" and "Recovery" gummies.

Lord Jones, another CBD company, takes a different approach. You can quickly tell from their product packaging that the company aims to reach an upscale clientele. It was the first CBD brand available on, and Lord Jones was named one of Fast Company's "Most Innovative Companies of 2019."

Abacus Health Products Inc. (OTCMKTS: ABAHF)'s CBDMedic brand, which Rob Gronkowski is a spokesperson for, has an athletic look and feel.

The company offers topical pain solutions that it says provide natural relief for arthritis, everyday aches and pain, and occasional pulled muscles. It also sells skin care products for eczema, itches and rashes, and face care.

The company takes a very direct approach on its packaging. It has its logo printed and places a big emphasis on clearly stating what the product is designed to do, which easily draws in a potential new customer.

There are a lot of CBD brands to try out there, but CBDMedic shows up front why you should try its products.

Focus on Management

Charlotte's Web provides one of the best lessons about management.

Started by seven brothers, how the company got its name is a heartwarming tale...

A little girl named Charlotte Figi was having 300 seizures a week, and her parents were trying desperately to find anything that could help provide some relief for her. They finally found that CBD oil almost completely stopped their daughter's seizures.

The family then met with the Stanley brothers, who grew a strain of cannabis that was low in THC but high in CBD. That all happened around when Charlotte was five.

At age six, thanks to the CBD oil, Charlotte was down to just two to three seizures a month.

In honor of Charlotte, the Stanley brothers decided to change the name of their company to Charlotte's Web.

This is one of the best stories in the cannabis industry. A family that's working together and has dedicated the company name to a brave little girl.

However, when you have a family-run business, it's fair to question the structure.

Would the company be better off adding someone from the "outside"? What makes one of the family members more qualified at their position than another candidate? Do the family members in key executive positions have the skill sets to take the company to the next level?

Fortunately, the brothers at Charlotte's Web knew their limitations and brought in outside help.

Deanie Elsner was the former President of U.S. Snacks at the Kellogg Co. (NYSE: K), and she became the CEO of Charlotte's Web effective May 15, 2019. For the CBD company, she's bringing 25 years of experience in consumer packaged goods and marketing. She also served in various roles at Kraft Foods.

If you've been following along with some of the new products and packaging changes Charlotte's Web has introduced, you can see that she didn't waste any time making an impact. In fact, the branding of the products we talked about earlier are all under the direction of Elsner.

For the furry members of your family, Charlotte's Web has also relaunched its hemp extracts for dogs. Similar to the gummies for humans, the dog CBD products are designed to help to keep a dog calm, improve cognition, and help with hip and joint issues.

We've talked before about the pet CBD market, and in the long run, it should help give Charlotte's Web an early foothold. Remember that even Martha Stewart is creating a pet CBD line, so that shows you this segment of the CBD market is about to go mainstream.

At the National Institute for Cannabis Investors, we also like seeing individuals with a legal background in key positions at a company. This means they know the ins and outs of the legal system, and that's especially important when running a cannabis business.

Trulieve Cannabis Corp. (OTCMKTS: TCNNF) is perhaps the best example of a company that understands the licensing process from front to back.

CEO Kim Rivers has an extensive background navigating mergers and acquisitions, and she utilized her skill set quickly; she opened the first cannabis dispensary in 19 different municipalities in Florida.

Rivers took a look around at the potential legal roadblocks, then took initiative by fighting the original cap on dispensaries in Florida. In a genius move, she attacked the 2017 law that limited the number of licenses for each operator. That number was set at 35.

Rivers argued that because she already had licenses before the law was established, those shouldn't count towards the cap.

She won.

Now, you may be wondering about how to find out this information. If you go to a company's webpage, it should have information about the executives running a company. It should talk about their backgrounds and their visions for the company.

If that information isn't on their website or easily found, that's a bit of an issue. Indeed, if you're going to invest in a company, then you deserve to know who is running the company.

Focus on Marketing

Marketing right now is tricky in the cannabis industry. Companies can't use traditional platforms to advertise their products, and there are also certain restrictions on social media sites when it comes to advertising cannabis-based products.

But that doesn't mean companies have to just sit around and do nothing.

For example, cbdMD Inc. (NYSEAMERICAN: YCBD) has recruited a long list of athletes to help spread the word about CBD and the company, such as professional beach volleyball player Kerri Walsh Jennings, former NFL wide receiver Steve Smith, Sr., and skateboarder Ryan Shekler, just to name a few.

In terms of other marketing, companies should be investing in email marketing, have a search engine optimization (SEO) strategy, and attend trade shows. Because if they're not, you really have to question how well the firm is going to be able to get the word out about its products.

By attending trade shows, the company can become familiar to its audience. It can win over new customers and attract positive attention.

You can gauge a company's efforts and presence through the company's website and social media accounts or through online searches.

CBD Companies to Watch

Using the information above and looking at the financial health of a company through earnings reports as well as company projections, you have a lot of tools available to you to help you find the best CBD firms to invest in.

While the companies in the list below should not be considered as official recommendations, they can be a guide to help you get started looking for profitable CBD investments:

  • Abacus Health Products Inc. (OTC: ABAHF)
  • Cresco Labs Inc. (OTC: CRLBF)
  • Canopy Growth Corp. (NYSE: CGC)
  • Charlotte's Web Holdings Inc. (OTC: CWBHF)
  • Elixinol Global Limited (OTC: ELLXF)
  • GW Pharmaceuticals Plc. (NASDAQ: GWPH)

Of course, there are plenty of websites that just have lists of CBD stocks. You'll see a ton of different companies, but the problem is, there isn't any kind of rating system or in-depth analysis report to show if the stocks are even worth buying.

A mineral company could say it is getting into the CBD market and, because of that, it makes it on a list of CBD stocks to watch.

That's why we set out to help serious investors get the information they need.

In October 2018, the National Institute for Cannabis Investors launched a proprietary cannabis stock-rating system that currently has over 200 entries.

Not only do we provide ratings from 0 to 5 on the companies in our database, we also have analysis reports with our take on whether a company is worthy of an investment based on its cannabis- and CBD-based revenue sources.

You can find more information about this critical service that we made for investors on our website.

Before you go, there's yet another cannabis opportunity we wanted to share with you that you simply can't miss...

You see, 2020 is shaping up to be a landmark year for cannabis markets - and we want you to be able to capitalize on this unprecedented economic phenomenon.

That's why we teamed up with legendary quarterback Joe Montana and cannabis pioneer Danny Brody for the 2020 American Cannabis Summit.

In this extraordinary event, you'll learn the number-one trick to spot a winning cannabis IPO...

The biggest investing mistake first-time cannabis investors make...

And the three numbers you absolutely need to check before investing a penny in any cannabis stock.

But remember, space is limited.

You're not going to want to miss it, so claim your spot now before it goes live.

About the Author

Millions of Americans are hungry for information on cannabis investing. And for good reason…
Cannabis is the fastest-growing investment opportunity of all time. It represents a turning point for investors.
That’s what inspired the launch of The National Institute for Cannabis Investors – The Institute, or NICI, for short.
The Institute brings together the brightest minds in cannabis investing and research, all to give investors the information and guidance needed to make a fortune.
NICI is the most powerful cannabis-investing tool available to investors who want to achieve their dreams of financial freedom. You can learn more about how to get free access to their cannabis profit research here.

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