Versatile CBD Products Drive Market Growth with 27% CAGR Forecasted Through 2023, Addressing a Range of Health and Wellness Needs

DUBLIN, Oct. 9, 2023 /PRNewswire/ -- The "Global Cannabidiol (CBD) Market (by Product, Source, End User, Distribution Channel, & Region): Insights and Forecast with Potential Impact of COVID-19 (2022-2026)" report has been added to  ResearchAndMarkets.com's offering.

The global CBD (Cannabidiol) market is on a trajectory of substantial growth, with a projected value of US$6.17 billion by 2023. This remarkable surge is expected to occur at an impressive compound annual growth rate (CAGR) of 27% during the forecast period.

CBD, derived from hemp and marijuana plants, is a chemical compound renowned for its medicinal properties. It is increasingly being utilized to address a wide range of medical conditions, including pain relief, anxiety, dystonia, Crohn's disease, Parkinson's disease, and more. As a result, CBD is gaining popularity across various regions worldwide. The versatility of CBD is evident in its various forms, such as pills, patches, oils, extracts, vape pens, and topical skin treatments.

The burgeoning demand for health and wellness solutions has led to a surge in CBD's popularity. Consumers and traditional merchants alike are embracing CBD-based products for their myriad of health benefits. Additionally, the increasing number of regulatory approvals is a significant driver propelling the market's growth.

Segmentation Highlights

By Product: The global CBD market is categorized into eleven product segments, including Oil, Tinctures, Capsules, Cream and Roll-On, Isolates, Transdermal Patches, Suppository, CBD Inhalers, Vape Oil, Tablet, and Others. Currently, the oil segment holds the largest market share. CBD oil is widely used to treat common ailments such as chronic pain, psychological disorders, and nausea. Its non-psychoactive properties and lenient regulatory framework for extracts make it a frontrunner. Moreover, the oil segment is projected to exhibit the highest CAGR due to the growing medical applications of CBD.

By Source: The market distinguishes between two source segments: marijuana and hemp. The marijuana segment dominates the market, occupying the majority of the market share. This dominance stems from the increasing adoption of medical marijuana for treating chronic diseases such as arthritis, Alzheimer's, cancer, and mental disorders like depression, anxiety, and epilepsy. Demand for hemp-based CBD is also rising due to its high CBD and low THC content.

By End User: The market is divided into two end-user segments: medical and other end users. The medical segment takes the lead, accounting for the largest market share. Within the medical segment, CBD finds applications in pain management, anorexia, nausea, muscle spasms, seizures, and more. The medicinal benefits of CBD have prompted businesses in the medical sector to offer CBD-infused products, with both small and large corporations heavily investing in CBD. Furthermore, various governments around the world have legalized the medicinal use of CBD.

By Distribution Channel: The market is bifurcated into two distribution channels: online and offline. The offline segment currently dominates the market with the largest market share. Offline marketing's primary objective is direct client engagement and education about the benefits of CBD. Some CBD companies have partnered with pharmacies, clinics, yoga studios, and pet stores to ensure proper product placement in retail stores. However, the online segment is rapidly evolving its marketing strategies, with increasing paid advertisements on social media platforms expected to boost online segment growth.

Geographic Overview

The global CBD market encompasses four regions: North America, Europe, Asia Pacific, and the Rest of the World. Key countries in these regions include the US, Canada, Mexico, France, the UK, Italy, Germany, China, Japan, Thailand, India, and more.

North America takes the lead by capturing the largest market share. The region's dominance is attributed to the legalization of CBD for medical and research purposes. Additionally, the presence of major market players further fuels growth, alongside increasing investments and favorable government initiatives.

Key Drivers and Challenges

Growth Drivers:

1. Increasing Millennial Population
2. Rising Government Approvals of CBD Products
3. Growing Application of CBD in the Skincare Industry
4. Increasing Prevalence of Chronic Pain

Challenges:

1. Availability of Duplicate & Synthetic Products
2. Lack of Awareness Among Consumers

Trends

1. Rising Online Sales of Cannabidiol (CBD)
2. Use of Blockchain Technology
3. Rising Demand for Natural Products
4. Expanding Research Areas

Impact of COVID-19

The COVID-19 pandemic initially posed challenges to the CBD market due to lockdowns and reduced government funding for research. However, the market rebounded as governments recognized the health benefits of CBD-infused products, leading to increased research and development. The technological advancements post-COVID-19 are expected to further boost market growth.

Analysis of Key Players

The global CBD market is characterized by fragmentation, with strong global players alongside domestic pioneers like ENDOCA. Key players in the market include Medical Marijuana, Inc., Jazz Pharmaceuticals PLC, Aurora Pharmaceutical, Inc., Canopy Growth Corporation, CV Sciences Inc., Elixinol Wellness Limited, High Tide Inc. (NuLeaf Natural LLC), Tilray Brand Inc., CBD American Shaman, Medterra, Endoca, and Isodiol International Inc.

For more information about this report visit https://www.researchandmarkets.com/r/v2wp2n

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