CBD Consumption Rises and What it Means to Advertisers

CBD advertising is as easy as marketing any other product or service. Although federal restrictions exist that limit where and how CBD is marketable.. Businesses looking to advertise their products should be aware of certain factors before launching there CBD advertising campaign.

As long as marketers understand rules and regulations, they will still have successful CBD advertising campaigns.

What is CBD?

For those that still not have caught wind of recent news regarding CBD, here’s what it is in simple terms – a natural remedy for ailments. The most common ailments CBD is known for addressing is pain relief, acting as an antidepressant, and reducing anxiety. However, research continues how effective CBD truly is in resolving any ailments. For the time being, its users still highly praise its uses.

CBD is one of over 100 chemical compounds known as cannabinoids. Cannabinoids are found in cannabis or marijuana plant. Tetrahydrocannabinol, also known as THC, is the primary psychoactive cannabinoid found in cannabis. THC is what causes the sensation of getting “high” that’s often associated with marijuana. CBD is not psychoactive.

Extracting CBD from the marijuana plant, thus removing the psychoactive properties, is what allows for consumers to have the positive effects of marijuana without having to legalize marijuana. Although CBD does contain trace amounts of THC, there is not a significant amount to cause a “high.” Considering the health benefits of CBD, it’s apparent as to why the CBD business is projected to hit the $16 billion mark by 2025.

CBD advertising restrictions

Major advertising platforms such as Facebook, Instagram, Google, Amazon, and Snapchat do not allow CBD advertisements, or at the least, heavily restrict certain ads. This means brands have no other option but to find alternative ways to reach their audience.

The main restrictions on these platforms that do not accept CBD ads relate to targeting and material. Each state has its own version of what is allowable. Some states have more restrictions that require state approval or distinct language and or disclaimers. A general guideline is only to target audiences 21 and over. Similar to alcohol marketing, images and messaging cannot show consumption or appear to target minors. Additionally, false health claims will not be allowable on these platforms.

It’s advisable CBD advertisers looking to stay within regulation to remove any conjunction with marijuana. Both Facebook and Google do not allow ads that promote the sale or use of illegal, prescription, or recreational drugs. Advertisements cannot contain drug-related paraphernalia or images that include the leaf or plant itself. Or anything that implies the use of a recreational drug will be dismissible. Although CBD is a derivative from the plant itself, any mention of marijuana is an automatic ban for the proposed ad.

How businesses are advertising CBD online

With significant platforms restricting CBD advertising, it’s almost as though advertising CBD online is impossible. That couldn’t be further from the truth. In fact, programmatic advertising makes it possible by utilizing sophisticated algorithms to precisely target eligible audiences.

Knowing key demographics before establishing campaigns, such as age, ensures ads will reach appropriate groups. Programmatic advertising guarantees the right audiences to receive relevant ads.

The top 10 major methods of CBD advertising include:

  • Display advertising – Traditional banner ads on relevant websites.
  • Native advertising – Native ads are within CBD or health-related content.
  • Audio advertising – Pre, Mid, Post-roll ads combined with podcasts or streaming music will feature CBD ads.
  • Connected TV advertising – Commercials will target viewers who have shown interest online for CBD products.
  • Affiliate Marketing – Passive approach that leverages the popularity of others to funnel traffic back to a brand or product.
  • Email advertising – Inbox marketing by partnering with larger brands that offer a means to get inside a target’s inbox.
  • Digital-Out-Of-Home marketing – Smart connected cities that allow digital billboards to display programmatic advertisements.
  • Mobile Video advertising – Targeting is relevant to search history.
  • Desktop Video advertising – Same principle as mobile applies.
  • Geofencing or Geotargeting – GPS-based targeting which targets users by physical location.

Each method is not inherently unique to CBD only. Any business can take advantage of these methods, as they should. However, for CBD businesses, it’s crucial to the success of their marketing campaign that they take advantage of each technique.

Future of CBD advertising

Unfortunately, it appears as though significant platforms will continue to enforce their current restrictions on CBD. Regardless of the fact that it is an extraction of marijuana and not marijuana entirely. The stigma of recreational drug use will continue to haunt CBD until legislation, and the general public recognizes it as its own entity.

However, alcohol advertising continues to endure, and so shall CBD. Savvy marketers will still use tried and true methods of advertising to promote CBD brands and products online. Advances in technology allow for a granular level of targeting that reaches eligible audiences and limit bans and wasted ad spending.

As long as marketers continue to stay within regulation, their efforts will be a success, especially in a growing market that doesn’t seem to be slowing down any time soon.

 

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