The 2020 Pandemic sees 9 million new US users reaching towards CBD

What does it mean for Extraction Equipment Manufacturers


By Bre Whitehair - December 10, 2020

The 2020 Pandemic sees 9 million new US users reaching towards CBD
December 10th, 2020

The latest consumer research from High Yield Insights shows that approximately one in four CBD users joined in the last 6 months. This is equivalent to 9 million new users. In addition, more than one in three longer-term CBD users (an estimated 13.4 million adults) tried at least one new product format during this time.
The research took place in September and October 2020 by surveying over 35,000 adults living in 50 states. This data provides insight into the lifestyles, attitudes, and usage habits of nearly 4,000 former CBD users, 4,200 current users, and 13,500 adults who have not yet used CBD but expressed an interest in trying it.

Growth and strong future perspectives ahead
Although it may be difficult to accurately predict a market with so many unknowns we are seeing undeniable growth in the CBD market. Industry sources are predicting the market will reach $9 billion to $20 billion by 2024, growing at a 34% to 45% compound annual growth rate. This massive growth is expected to come from new users and existing users alike. 50% of US CBD consumers have tried at least one new product format in the last six months and one in six longer-term CBD users have added two or more product formats since the beginning of the pandemic.
The CBD industry continues to thrive despite the difficulties caused by the global pandemic. 

Supplement skyrocket
An astounding 25% of the 4,177 CBD users surveyed said they bought their most recent CBD item to cope with COVID-related anxiety or stress. COVID anxiety and stress also may have led to existing CBD users expanding the product types that they purchase. High Yield’s consumer research found that 46% of the longer-term CBD users bought at least one new CBD product type in the last 6 months. This willingness to experiment within the market underscores the opportunities for newer categories, predominantly food and beverage. 
The market’s greatest growth due to the pandemic has been in the supplement category. New and old CBD users were most likely to take CBD supplements, such as gummies, to soften the blow of pandemic related anxieties and stress. Although the new users are more likely to enter the category with oils and topicals, 56% of new users have used gummies. One in four people during the COVID pandemic who have only tried one or two product types in the last 6 months have used gummies. 

What does it mean for the Extraction Equipment Industry?
Simple; It means keep on keeping on! There is still an obvious strong need for CBD products in the cannabis industry. As large brand CBD product companies continue to grow, they have a need for large scale, top quality extraction equipment. Ethanol Extraction Equipment is a large player in this field due to high throughput in extraction and recovery resulting in high quality products. As a leader in the industry, Pinnacle Stainless continues to exceed expectations by expertly designing large scale ethanol extraction equipment, manufactured and fabricated in-house. Specializing in large scale hemp extraction, Pinnacle Stainless also provides solutions for smaller scale hemp and cannabis extraction through decarboxylation. Keeping up with the consumer demand and continuing to excel in craft will guarantee continued success for the market and entire industry.


Original article written by Alexandra Curley. Keep reading here: 9 million new US cbd users in 2020 (cannabisbusinessexecutive.com)
 
Go Back