“The perceived positive effects of cannabis and CBD have created new markets and fuelled legalization efforts.”
Pet owners are getting their paws on CBD.
An industry report by Nielsen and Headset has revealed that 74 per cent of people purchasing CBD products in the U.S. have furry friends at home. The finding points to the vast potential of CBD-infused pet products, which are expected to make up three to five per cent of all U.S. CBD sales by 2025.
“Understanding the dynamics at play in the cannabis space and their impact on the pet industry is critical,” said Maria Lange, vice-president of strategic initiatives at Nielsen. “Despite open questions around regulations, hemp-CBD is exploding in the pet space,” Lange said.
Open questions might be an understatement. The U.S. Food and Drug Administration (FDA) updated its consumer update last year to note that the agency does not have sufficient scientific evidence to “conclude that CBD is generally recognized as safe among qualified experts for use in human or animal food.”
The FDA has reported that while there is significant consumer pressure to make CBD — a non-psychoactive component of cannabis — more available, it is different from any other chemical the agency has had to grapple with. It cautioned that it could take years to fully work out regulations and, in the meantime, only one prescription CBD drug has been approved to treat two rare forms of epilepsy.
This hasn’t slowed the explosion of CBD-infused products hitting the market and the number of people willing to give them a try — and share them with their pets — in an attempt to curb the effects of anxiety, depression and other ailments that might be dogging them.
The report found that CBD-infused pet products sold at regulated recreational cannabis stores in California, Colorado, Nevada and Washington generated almost US$10 million in sales between the first quarter of 2018 and the third quarter of 2019. It doesn’t hurt that the enhanced products are more expensive: the report found CBD dog treats cost twice as much per pound as regular treats.
And 24 per cent of pet owners already appear to be sold on CBD, using it for themselves, their pets or both.
“The perceived positive effects of cannabis and CBD have created new markets, reinvigorated traditional (consumer packaged goods) categories and also fuelled legalization efforts,” said Cy Scott, founder and CEO of Headset, a data and analytics provider for the cannabis industry. “It’s no surprise that cannabis and CBD are becoming a popular way to treat pets naturally, driving another exciting market category for cannabis while energizing the pet industry,” Scott added.
Written by David Yasvinski