Selling CBD Oil On eBay? Here’s Everything You Need To Know
CBD sales in the United States have drastically increased from around $845 million in 2018 to $1,615 million in 2021! But can you sell CBD Oil on eBay to get in on the action?
Only federally legalized in 2018 when the farm bill was signed into law by former president Trump.
This multimillion-dollar market is experiencing explosive growth and is expected to keep expanding rapidly over the projected 2022 sales of $1,918 million.
As research, clinical trials, and anecdotal evidence continue to back up hemp’s numerous wellness benefits, interest in CBD products is soaring and will continue to do so in the future.
Whether you are a CBD seller or consumer, you must have noticed one thing – CBD products are flying off the shelves.
Even though CBD is set to become even bigger beyond 2022, right now is the perfect time to enter the blossoming market and start an online CBD business.
This comprehensive guide will thoroughly discuss everything you need to know to join the lucrative CBD industry and successfully tap into its endless opportunities.
So let’s find out – Can you sell CBD oil on eBay?
Where Did CBD Come From?
Cannabidiol, or simply CBD, is by no means a new discovery.
In fact, hemp or industrial hemp was cultivated in the US for its usable fiber over 50,000 years ago.
Evidence suggests that ancient physicians used it as a potent medicine to treat pain in many parts of the world.
However, the cannabis Sativa plant has only become incredibly popular within the past decade.
Modern consumers, and indeed some lawmakers and medical professionals, have now started recognizing the plant’s possible benefits – particularly in the form of CBD oil.
Yet, despite the enthusiasm, there is a lot of confusion around CBD and CBD oil products, mainly because of CBDs’ close relationship with marijuana.
So it’s essential that we go over the facts.
CBD Oil - The Facts
Cannabidiol (CBD) is a chemical compound produced naturally by cannabis plants (both hemp and marijuana plants).
Unlike tetrahydrocannabinol (THC), CBD is completely non psychoactive, meaning that it won’t get you high or make you fail a drug test .
CBD oil is mainly extracted from hemp plants, as they produce negligible amounts of THC (less than 0.3%), which is the legal limit allowed by federal regulations.
So, hemp-derived CBD oil will not alter your state of mind or create a state of euphoria.
On the contrary, CBD can help you feel relaxed, less anxious, and provide positive effects like pain relief.
The Health Benefits Of CBD
The primary reason behind CBD’s popularity is its purported health and wellness benefits.
Manufacturers of CBD products like moisturizers, lollipops, beverages, and dietary supplements advertise it as providing relief for anxiety, depression, and stress, without the negative side effects of marijuana like paranoia.
Other CBD health benefits include:
- Reducing inflammation
- Helping with acne management
- Easing migraines and nausea
- Reducing seizures in people with epilepsy
- Neuroprotectiveness
It’s important to note that according to the World Health Organization, CBD shows no evidence of abuse or potential for dependence.
And although the FDA recognizes the potential benefits that cannabis may offer, it has not approved any other CBD-based products besides Epidiolex (CBD-based oral solution used to treat seizures resulting from Lennox-Gastaut syndrome or Dravet syndrome).
Understanding CBD Products
There are numerous types of CBD products today.
Each form/delivery method varies in how the CBD compound is absorbed, how long the effects take to kick in, and the duration.
When it comes to selling CBD Oil on eBay, you may not have realized that the sale of CBD comes in a wide range of forms.
CBD Tinctures
CBD tinctures are by far the most popular products and perhaps the most effective form of CBD.
A CBD tincture is a combination of high-quality CBD oil with alcohol or any other appropriate solvent.
Tinctures are consumed sublingually- placing a few tincture drops under the tongue and leaving them there for 60-90 seconds before swallowing.
This allows the CBD compound to be absorbed directly into the bloodstream, delivering a fast onset of highly potent effects.
CBD Capsules
CBD capsules are typically CBD oil enclosed in a stable gelatin such as a capsule or softgel.
They make it easy to consume a consistent dose of CBD oil orally and are ideal for those who don’t like edibles.
Older adults also prefer CBD capsules as they are a familiar consumption method, just like your ordinary multivitamin capsules.
CBD Edibles
There are many types of CBD edibles from gummies, chocolate bars, cookies, and even beverages.
These tasty treats are especially preferred because they are discreet, and mask the natural and unpleasant CBD taste.
Because they are essentially food products, CBD edible regulations like packaging requirements may vary between different states.
CBD Isolates
As the name suggests, a CBD isolate is the pure CBD compound stripped off all other naturally-occurring hemp compounds like chlorophyll and terpenes.
Isolates come in the form of a colorless and flavorless powder that can be consumed sublingually or added into foods and beverages.
CBD isolates are popular with consumers who prefer to make unique CBD recipes at home.
CBD Topicals and Patches
CBD topicals are creams, balms, lotions, gel, salves, and nasal sprays infused with CBD oil.
Patches and topicals are applied directly to the skin to relieve joint pains, sore muscles, skin irritations, and discomforts.
The anti-inflammatory, therapeutic, and analgesic properties of CBD also make it a perfect addition to massage oils.
CBD patches release the compounds gradually into the body via the skin, providing a low and consistent dosage for many hours.
CBD Vaporizers and Vapes
CBD vaporizers and vapes are the perfect choices for those looking for near-instant effects.
When inhaled, CBD is absorbed directly from the lungs into the bloodstream, providing a fast onset of effects that last for a shorter while.
CBD vape juice can also be used in vape pens, while CBD flowers can be smoked in water pipes.
However, some manufacturers find products like glass water bongs, dab rigs, etc. somewhat burdensome because of the strict precautionary measures required to ship delicate glass items.
CBD Oil For Pets
Our furry friends also have an endocannabinoid system (ECS) and can experience similar CBD effects as humans.
Proponents rave about rave CBD oils’ potency to help with pet pain, inflammation, and anxiety.
Pets’ ECS is more sensitive than humans; hence, their products must be specifically formulated to ensure safety and efficacy.
- Check out everything you need to know on CBD For Dogs
Is CBD Oil Legal?
There are a lot of gray areas that cause debate and confusion around the legality of selling, buying, and distributing CBD oil.
Indeed, the legality of CBD is not black and white, especially for those with a newfound interest in the industry.
So, let us settle the debate with everything you need to know about how legal it is to sell CBD on eBay.
To begin with, the 2018 farm bill legalized hemp and its derivatives, including CBD oil, in all 50 states.
This means that CBD must only contain 0.3% THC or less to be considered legal in the United States.
So if your CBD product is derived from marijuana, which produces more than 0.3% THC, it can and will be considered illegal.
In spite of this, you must be very careful how you approach the whole process of advertising or selling CBD oil online.
Firstly, CBD regulations vary significantly from state to state. Therefore, you must familiarize yourself with the local/state CBD regulations and restrictions to avoid being on the wrong side of the law.
For instance, while the federal law considers CBD oil with less than 0.3% THC as legal, some local laws may require CBD to have zero THC traces!
Other vital factors that you must consider to sell CBD oil on eBay include:
Make No Medical Claims About CBD
This may sound confusing, especially now that the many CBD health benefits have been thoroughly documented.
Although the major reason why people buy CBD is to experience the touted medical benefits, you can’t make any health/medical claims about your own CBD products.
Remember that CBD is a relatively new product and research into its benefits and possible side effects is still ongoing.
Besides, CBD and its related products haven’t been officially approved or researched by the FDA.
For these reasons, you simply can’t make grand claims on social media about CBD’s health benefits.
If you must discuss CBD health benefits in your blog posts, ensure it is backed up by scientific evidence rather than anecdotal claims.
In a nutshell, do not promise your customers that your CBD products can cure, prevent or alleviate any illnesses, including chronic pain, cancer, etc.
Avoid CBD Edibles If Starting Your Online Business In The U.S
Even though you have come across an overwhelming variety of CBD edibles in many US stores, the products are actually illegal under US law.
The FDA currently prohibits infusing CBD in foods or drinks under the Federal Food, Drug, and Cosmetic Act.
The best thing is to steer clear of CBD edibles if your business is based in the U.S.
Instead, focus your resources on other forms of CBD that are wholly legitimate and won’t get you into any trouble.
4 Steps To Start An Online CBD Business
Below are 4 key steps to starting a successful CBD online business:
Step 1 - Do Thorough Research
Before starting a CBD business, you must do complete research and make sure that you thoroughly understand all the CBD basics and facts.
By now, it’s clear that starting a CBD business entails a lot of crucial and sometimes confusing information.
So, you need to keep abreast of all information and changing CBD laws.
On top of that, being an enthusiastic seller who’s passionate about their business means understanding every feature of your products.
Besides, being knowledgeable of what you’re selling is an essential sales skill that influences the success of your online CBD business.
The FDA currently prohibits infusing CBD in foods or drinks under the Federal Food, Drug, and Cosmetic Act.
Presenting your product’s benefits accurately and advising your customers on which products are ideal for specific needs without making any medical claims puts you on top of your game.
Customers are more likely to trust sellers who show confidence in what they are selling.
This way, you can expect to build a loyal customer base that adds value to your brand!
Step 2 - Select Your Products Wisely
Choosing the products that you want to sell in your online CBD store is a very important decision.
Here’s a quick recap of the wide range of product types:
- CBD tinctures
- Capsules
- Isolates
- Topicals
- Edibles
- Vaporizers
- Patches
- CBD oil for pets
Once you have picked the ideal product for your store, the next important step is to decide which type of CBD you want to sell, a decision that your state regulations may influence.
3 main types of CBD;
- CBD Isolate
This is the purest form as it does not contain any other compounds/ingredients besides pure CBD.
- Full-spectrum CBD
Full-spectrum CBD possesses all the natural compounds found in the hemp plant.
This includes terpenes, fatty acids, essential oils, and other cannabinoids like less than 0.3% THC.
The compounds work in synergy to enhance CBD effects, a mechanism known as the entourage effect.
- Broad-spectrum CBD
Broad-spectrum CBD typically contains all the compounds in full-spectrum CBD except for THC.
Step 3 - Plan Your Approach
Besides choosing the best type of CBD, it’s essential to consider your opportunities in the market.
Keep in mind that CBD is a saturated market today, so you want to find a strong niche that sets you up for long-term success.
- You can carry out market research with the help of the best SEO keyword research tools such as UberSuggest to determine the most profitable niche. Keyword research tools can help you know what product people are mostly searching for online.
- Competitor research helps you know what other brands within your niche are doing. You can do this research by going through their social media and products plus reading their customer reviews.
Finally, you want to stay on top of trends by easily predicting what will be the next big thing rather than focusing all your energy on what has been around.
Alternatively, you can choose a product that consistently performs well to increase your chances of long-term and stable profitability.
Step 4 - Choose a Dependable CBD Supplier
This is perhaps the most crucial step for the success of your CBD online store.
Reliable and trustworthy CBD companies will give you an easy time selling CBD products and building trust with your customers.
The supplier typically determines everything from the quality to the legality of your products.
Some products are misrepresented and contain very high and illegal THC levels.
Others have been found to have no CBD at all or negligible CBD amounts as they are extracted from hemp seeds (hemp oil) instead of from the flower, stalk, or leaves.
Ultimately, your supplier influences the success and reputation of your brand.
Today’s consumers value pure and high-quality CBD products and are willing to pay more for them.
So, you want to take your time to choose a genuine and high-quality CBD supplier that meets your customers’ needs.
CBD suppliers - 4 Important Things To Consider
1. The Source and Extraction Method of CBD
The source of your CBD is a critical consideration.
You need to be sure that the supplier extracts CBD from high-quality, organic hemp plants that are pesticide and contaminant free.
In addition, the way CBD is extracted from the plant affects the overall quality of the oil.
CBD can be extracted using various methods, each with advantages and disadvantages.
2. Medical Claims
There are restrictions on the marketing and branding of CBD products, and you must understand how they will affect your business.
If the supplier makes bold medical claims about their CBD oil, they are breaking the law, given that the FDA has not evaluated the medical potential of CBD.
CBD suppliers and retailers are required to display an FDA disclaimer on their website.
A supplier who makes bold medical claims about their CBD is highly likely breaking other rules as well, which can become a potential headache for your brand.
3. Pricing
There are over 5,000 CBD brands today, so you will need to sell your products at a highly competitive price without compromising quality.
Most, if not all, suppliers offer wholesale pricing that significantly lowers the average retail price of your products.
CBD supplier prices can vary dramatically, depending on the quality of the product.
Pure and highly potent products are often priced higher- but this isn’t always the case.
A great way to find a good supplier is by comparing different supplier pricing and considering the quality of their products.
Steer clear of suppliers who price their products ridiculously low as they are most likely cutting corners and offering poor-quality products.
4. Testing
CBD suppliers must have their products tested by a third-party laboratory to ensure purity and high potency.
A batch of the product is sent to an independent lab that analyzes the exact levels of cannabinoids like CBD, THC, and other substances, including contaminants like pesticides, mold, and heavy metals.
It’s paramount that you access the products’ certificate of analysis (COA).
If the COA is not readily available on the supplier’s website, request a copy before making any purchases.
Should the supplier be unwilling to provide this certificate, that’s a red flag.
Keep reading to uncover – can you sell CBD Oil on eBay?
5 Steps To Starting Your Online CBD Business
While you can’t sell CBD Oil on eBay, the CBD market is massive, and it continues to grow incredibly fast.
Therefore, you are tasked with seizing the opportunity by creating a CBD brand that stands out among the tough competition.
You want to connect with your target customers and win them over by building trust and loyalty.
1. Identify your target audience
Identifying who you want to sell your CBD to will help you create a brand and brand values that appeal to them and sell products that cater to their needs.
2. Choose your business name
Once you have identified your target audience and the benefits you’re offering them, it becomes easy to tailor a highly appealing business name.
While you can use free business name generators like Namelix, creative ways like using acronyms are also a good idea.
3. Create a logo
A logo is the foundation of your brand identity; it grabs attention and makes the first impression.
Luckily, you don’t need to be a designer to create a perfect logo; many professional online logo generators can give you a perfect logo design within minutes.
Why not try Looka for affordable, professional-looking logos.
4. Pick your color scheme and tone
It’s important to find a tone that really speaks to your customers in your blogs, product descriptions, emails, etc.
Again, the right color scheme can increase your brand recognition and get people to stick around.
While most CBD brands use green as it symbolizes nature and relaxation, you can also choose blue, which inspires peace, or purple, which has a calming effect.
5. Building Your Online Store
Deciding where to sell your CBD legally comes with a lot of restrictions.
For instance, you cannot sell CBD oil on eBay and other well-known eCommerce platforms like Amazon and Etsy.
The massive online shopping site eBay said that it would continue to ban CBD products globally on the platform.
In response to a 2019 tweet complaining about eBay CBD oil being removed from the platform, the company wrote;
Sale of CBD products is highly regulated in many countries, and while they may be legal to buy and sell in some countries, they are regulated by the FDA and enforced by some drug enforcement agencies. For this reason, we have decided to prohibit the items globally.
So here you can see, the answer is no. You cannot sell CDB Oil on eBay.
Channels that do allow you to sell CBD also have limitations.
For instance, Shopify allows only US merchant accounts to sell topicals and consumable hemp/hemp-sourced CBD products.
It strictly prohibits marijuana-derived CBD.
If you do a quick search of eBay, you will indeed get several listings for CBD products.
However, the company is concerned that those sellers are violating a policy and causing frustration for many CBD consumers.
While you cannot sell CBD oil on eBay, building your own online CBD store is ultimately the best option to smooth your path to success.
However, you still must be careful how you build your website.
Note that some old website builders have restrictions around selling CBD. Consider using eCommerce builders like;
- BigCommerce
- Shopify
- WooCommerce
You can use these with WordPress.org to get you started – just like this site!
Set Up Your Payment Processor
One of the main reasons you may have wanted to sell CBD Oil on eBay is because the payment process is simple.
Another critical step when building your online store is setting up a third-party payment processor to accept online payments.
For instance, Shopify prohibits CBD sellers from using Shopify pay. Paypal and Stripe are other payment processes that won’t accept CBD payments.
With the big platform’s CBD ban, you will need to find a payment processor willing to take the ‘high risk‘ that comes with CBD products.
In comparison to the stance on selling CBD oil on eBay, some payment processors like Square are working to make it easier to market hemp-derived products.
Square recently announced the launch of a pilot program designed to give CBD business owners access to credit card processing services.
Other payment processors for CBD stores include:
- Fort Point Payments
- Solar Payments
- Square
- Base Commerce
You must also ensure that your eCommerce platform integrates with the payment processor you choose.
Marketing Your CBD Products
Once your online CBD store is published, you want to attract recurring customers and get them to add products to their shopping carts.
A study conducted by High Yield Insights found that at least 40% of US consumers aged above 21 claim they would consider trying CBD.
While this figure is set to grow, you want to attract new customers by tapping into the power of your marketing strategy.
Even though the farm bill removed hemp from the Controlled Substances Act, CBD advertising options are still limited.
Unfortunately, you can’t use traditional marketing platforms like Google and Facebook to advertise marijuana-derived CBD.
Hence, ‘cannapreneurs’ are limited to market hemp-based products through referral marketing and content creation.
You’ll need to get creative and stay on top of your marketing game in the following ways:
4 Tips For Selling CBD Oil On eBay
1. Trade Shows
Trade shows are effective tools that maximize your exposure and potential online sales.
They also allow you to build relationships with clients and learn new things altogether.
2. Email Marketing
Email marketing is simply sending a commercial message to potential or current customers to keep them interested in your products and coming back for more.
3. SEO: Search Engine Optimization
(SEO) is the process of optimizing your website to be ranked highly in Google search results.
Following the best practices, such as using the right keywords and linking to other pages, will drive more organic traffic to your website.
4. Content
This is where you share your CBD knowledge with your customers in blog posts and videos, (much like we are!).
You must do thorough content research to keep your clients engaged and broaden your following.
The good news is that SEO-optimized content will also improve your site’s ranking on google.
Good luck!
Can You Sell CBD Oil On Ebay? The Bottom Line
So while you currently cannot sell CBD Oil on eBay, that does not mean you can’t sell your CBD product online.
Setting up an e-commerce site and marketing yourself properly are still options available to you.
So our advice? Take one step at a time and before you know it, you will have your own online CBD business without a 3rd party taking a large cut out of your profits – So you really don’t need to sell CBD Oil on eBay to make it work!
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