10 Practical Tips
What it’s all about
Many aspiring business owners want to get started in the CBD industry. Indeed, CBD commerce is wide open for clever entrepreneurs to create valuable business models, but the CBD industry is also rife with big promises and poor payoffs. The key to success in this Wild West environment is to take a long-term view and establish your business from the very beginning so it takes advantage of your core competencies and creates lasting value for your customers.
Our company, Angie’s Gardens, has sold carefully-crafted CBD products for a year, although we’ve been in business quite a bit longer, selling herbal teas, balms, and tinctures. We offer a money-back guarantee because we know that the quality of readily available CBD products varies greatly from supplier to supplier. We believe that we must establish trust in order to build enduring relationships so the customer gets what they want and Angie’s Gardens succeeds. Very rarely does a customer ask for a refund, because we have invested time and care into ensuring that our products are both organic and consistent throughout our supply chain and production processes.
As a result, Angie’s Gardens has grown rapidly, and we have learned. We’d like to pass along some facts that may help you avoid pitfalls at the very beginning of your business venture.
Whether you are interested in building your own CBD business or wish to learn how to better vette your favorite supplier, over the next ten weeks we’ll offer 10 tips for starting and expanding a CBD brand.
1. Know Why You Are Doing This
Why? It’s so simple to ask and so difficult to answer – yet the answer you believe will lead you to failure or success. The three-letter word “why” helps you develop a simple statement of the purpose of your CBD venture, a compass you can turn to when making decisions.
For example, do you wonder if you should expand into a new market? Read your purpose statement, and remember why you’re even doing this and how large you want to grow. Not sure if adding a pet edibles line is a good way to go? Answer this: how does adding that line impact your ability to keep quality high?
Your purpose will not answer every question you bump up against. You must also learn what the financials say, or who on staff can oversee the change. But starting with the “why” keeps you from going too far down a speculative path because, if the answer is a clear “no,” you’ll almost always be best served to stay on your main path. In fact, asking “why” helps set up other right questions to ask as you consider a growth strategy.
Make it well as well as good
At Angie’s Gardens, we know that CBD is an important part of our purpose: “We provide a system of honest advice and natural wellness products that holistically guide our customers to better health and living.”
If you look closely, it’s clear that becoming the biggest provider of CBD is not our aim. Rather, we want to promote holistic wellness among our community and serve as the resource that people can trust in their herbal health journeys. This means that quality and community have higher priority for us than does the most possible sales. This empowers our managers to return product that does not meet quality standards, even at the expense of our production schedules, rather than produce something that is “good enough to sell.”
And by holistic wellness, we mean that we understand the earth offers a variety of herbal ways to balance biological systems and CBD is simply one tool. Therefore, providing a quality, consistent product , paired with access to herbal knowledge, is the cornerstone of our mission.
In contrast, a provider who has heard that CBD is the next “gold rush,” who relabels the cheapest product they can find while focusing on marketing, may do well in the short run, but in the long term they lose repeat customers and add to the noise in the CBD world.
Purposeful forward motion
Defining your purpose as you move into a CBD business is important if you want to succeed both because it helps you formulate your own definition of success, and because it helps you identify where to invest your time and resources.
Next week, we’ll be back with another tip. In the meantime, if you like this, share it so others can read!