Shopify has just announced that CBD sellers can now build a store on their platform using their Marketing tools, and other apps that deal with Inventory and logistics as well as several features that are being released specifically for CBD and Hemp sellers.
The move is no surprise, as the CBD industry’s market is expected to reach $20 billion by 2024.
“Shopify has unmatched expertise in emerging industries, along with the resources merchants need to be successful in the fast-growing market of hemp-derived CBD products in the U.S.,” chief operating officer Harley Finkelstein said in the announcement. “Shopify’s reliable technology and extensive partner network means that businesses can ride the wave of demand for these products and give consumers more choice.”
Shopify will not be individually inspecting Hemp and CBD related businesses, but instead will investigate reports and take action where needed for violations of AUP. Shopify recommends that every business owner consult with an attorney before selling these products on Shopify to make sure they are within the regulations that are put forward.
Padelford said Shopify worked with brands like Cannuka (which has been on the platform since 2017) to figure out what these companies’ needs were in terms of creating a store or marketing.
“You had a lot of folks out there who wanted to create online stores, but there’s never a platform that could support what they wanted to do,” Padelford said. “What we are doing is showing up now as Shopify [and saying] the same thing you watched fashion retailers get access to, you can have as well, and create the same direct-to-consumer, highly personalized experiences with the unique attributes. The nuance isn’t that Shopify is getting into CBD; CBD is getting into retail.”
Although they are able to take advantage of Shopify’s other features, CBD and Hemp businesses will not be considered for the Shopify payment platform, and must go through a third party for their merchant processing. There are multiple options right now for online and Brick and mortar CBD businesses, for more info check out Four Ways to process payments with a CBD business