According to a report from Allied Market Research, the global CBD skincare market is expected to hit $3.48 billion by 2026, registering a CAGR of 24.8% during 2019-2026. Major growth drivers are predicted to be sustainable skincare products and the surge in awareness and acceptance of cannabis-derived skincare.
On the other hand, growth could be curtailed to some extent by the high probability of product contamination and regulatory imposition on product manufacturing and marketing. Nevertheless, growth in revenue through online sales channels is expected to usher in a number of opportunities for the key players in the industry.
Just The Numbers:
- The global CBD skincare market was estimated at $736.6 million in 2019 and is expected to hit $3.48 billion by 2026,
- The hemp segment held the largest share in 2018 and accounted for more than half of the global CBD skincare market revenue in 2019, and is anticipated to remain important during the study period.
- The marijuana segment is predicted to grow at the fastest CAGR of 25.8% till 2026. Marijuana is known to relieve insomnia, anxiety, spasticity, pain, and life-threatening conditions like epilepsy which, in turn, propels the growth of the segment.
- The departmental store segment contributed to nearly one-third of the global CBD skincare market share in 2019 and is expected to dominate throughout the forecast period. CBD skincare products have been made available by the market players in small departmental shops, a driving factor in the growth of the segment.
- The e-commerce segment, on the other hand, would cite the fastest CAGR of 27.4% during 2019–2026. Online distribution has emerged as a key sales channel for the CBD skincare market.
- Based on geography, North America held the major share in 2019, generating nearly two-fifths of the global CBD skincare market. After the passing of the 2018 Farm Bill, hemp cultivation, manufacturing, and distribution has become legal in the US, which has fueled the market growth.
- At the same time, the region across Asia-Pacific would register the fastest CAGR of 26.7% during the estimated period. Asia-Pacific is one of the untapped CBD markets and it represents enormous market opportunities to benefit from the global trend toward the legalization of cannabis.
Industry Leaders in CBD Skincare:
- Medical Marijuana Inc.
- Leef Organics
- Lord Jones
- Fab CBD Company
- Kapu Maku LLC
- Vertly Balm
- Elixinol Global Limited
Photo: CBD Infos via Unsplash