The booming CBD market has spawned a very interesting subset within its category—pet products. Recently, Nielsen, the well-known measurement company and Headset, a provider of data and analytics for the legal cannabis industry, unveiled a new report that shows there’s a huge market opportunity for CBD pet products. Among its most telling projection—hemp-based CBD products will make up 3 to 5% of all hemp CBD sales within the U.S. by 2025.
Other findings include:
*74% of CBD buyers have pets.
*Pet products have racked up over $9.4 million in sales at regulated adult-use cannabis retailers in California, Colorado, Nevada and Washington combined. This covers the period from the first quarter of 2018 through the third quarter of 2019.
*The average price per pound for CBD dog treats is twice the average dog treat.
*To date, 24% of pet owners use hemp-CBD either for themselves, their pet(s), or for both.
*Nearly 26% of American adults with dogs are using hemp-CBD products. Half already use hemp-CBD for their dog, while the other half only use it for themselves.
Cy Scott, founder and CEO of Headset, offered incisive insight on the explosion of hemp-CBD in the pet space. “The perceived positive effects of cannabis and CBD have created new markets, reinvigorated traditional CPG categories and also fueled legalization efforts,” said Scott in a public statement. “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’s thoughts were echoed by Maria Lange, vice president of strategic initiatives at Nielsen. “Understanding the dynamics at play in the cannabis space and their impact on the pet industry is critical,” said Lange in the press release announcing the study. “Despite open questions around regulations, hemp-CBD is exploding in the pet space. With Nielsen’s and Headset’s Pet Industry Green Paper, companies will gain a better understanding of the nuanced cannabis sector, its buyers, marketed packaging claims and the rapidly evolving product landscape to capitalize on emerging trends and opportunities.”