Why Walmart, Target, Kroger, & Safeway Are Looking at Selling CBD Products
Can CBD Products Help These Big Box Retailers Re-Energize Their Brands?
June 1, 2019 - Target, Walmart, Kroger and Safeway have all been quietly looking at selling CBD products. This news wasn’t announced by the four big box retailers, but instead came from CBD product manufacturers who have been meeting with the retailers.
In attendance at these meetings were representatives of the big box retailers’ legal departments, merchandising teams, and senior buyers. At least one CBD product manufacturer has confirmed that they’ve had multiple meetings with some of the same retailers.
The CBD manufacturers who have been meeting with the four big box retailers couldn’t keep the news of their meetings quiet. Reports of the meetings were likely leaked by the CBD manufacturers because they were simply ecstatic that they were able to even have the meetings.
What’s our conclusion? It’s clear to us that Target, Walmart, Kroger, and Safeway aren’t content to sit on the sidelines much longer, with national retailers including Walgreens, CVS, Sephora, and Rite Aid now selling CBD products.
There is no doubt that the management of Target, Walmart, Kroger, and Safeway all saw the national media coverage that Walgreens, CVS, and Rite Aid obtained as a result of their announcements that they would be selling CBD products, and the continuing media frenzy over CBD and CBD products.
This interest in CBD products by these national big box retailers, despite the legal issues regarding CBD as a food additive or for health, nutritional, and wellness purposes, was a pleasant surprise to many in America’s CBD industry.
The general conclusion is that it’s clear that these big box retailers see the opportunity to sell CBD products as a way to position their stores and brands as “leading edge,” and “cool.”
What is the impact of the actions by these big box retailers mean for America’s CBD industry? Major retailers now carrying or considering selling CBD products is a confirmation that the CBD industry is here to stay, and is quickly becoming a billion dollar industry.
About Phyto Intel
Phyto Intel provides strategic assistance to enable businesses and entrepreneurs to enter and succeed in the fast-growing and fast-evolving legal cannabis, hemp and CBD markets, in the United States and globally.
Phyto Intel also provides market intelligence, formulation and “go to market” strategies for Consumer Packaged Goods (CPG) companies interested in developing, formulating, manufacturing and marketing products containing hemp seed oil and/or CBD.