The cannabidiol (CBD) market is forecast to reach $449 million by 2026, representing a 21% compound annual growth rate (CAGR) from 2021 to 2026, according to Brightfield Group. As the popularity of CBD and the market continues to grow, more retailers are offering CBD products to customers.
When customers think about CBD, many think of ingestibles like soft gels or gummies, but topicals are also a key part of the CBD market.
Topical CBD is applied directly to the skin, and it can come in many forms, including lotions, ointments, salves, creams and balms that are infused with CBD.
Those customers drawn to CBD topicals over gummies might be seeking relief from pain and inflammation — for example sore muscles, aching joints, arthritis pain or nerve issues. Customers with these ailments might be drawn to topical CBD because they can place the product on the skin exactly where they’re feeling pain.
But that’s not the only reason shoppers seek out topical CBD. Those seeking stress relief might still prefer a topical, and others might select a topical meant to soothe and moisturize their skin. Some CBD topicals are marketed to people with specific skin conditions such as eczema or acne, or to those seeking anti-aging benefits. CBD is also appearing in more personal care products due to its anti-inflammatory benefits.
The global CBD skin care market is forecast to accelerate at a CAGR of 32.9% between 2019 and 2025, reaching a value of $1.7 billion by 2025, according to Million Insights’ “CBD Skin Care Market” report.
In other words, the range of customers seeking topical CBD is vast. Seniors, athletes, those dealing with chronic pain, customers with skin issues, people seeking relaxation and stress relief and those seeking beauty benefits might all gravitate toward CBD topicals. But they’re likely to each prefer a different type of product.
As the market grows, CBD topicals are increasingly marketed for specific purposes. One product might be geared more toward athletes, another toward seniors and another toward those seeking a beauty product.
Retailers entering the CBD market should include topicals among their product offering, but with limited retail space, they’ll need to decide which products best fit their demographic. Having a strong selection of high-quality products in a range of price points can make you a destination for customers seeking CBD.
