Hemp-based CBD pet products will represent 3-5% of all hemp CBD sales, with conversion rates of 37%, according to a new report from Nielsen Holdings PLC and Headset, a provider of analytics service for the cannabis industry.
The U.S. consumer packaged goods industry will prosper as well given the increased interest in CBD pet products, according to the 2020 Pet Industry Green Paper.
“Despite open questions around regulations, hemp-CBD is exploding in the pet space. With Nielsen’s and Headset’s Pet Industry Green Paper, companies will gain a better understanding of the nuanced cannabis sector, its buyers, marketed packaging claims and the rapidly evolving product landscape to capitalize on emerging trends and opportunities,” said Maria Lange, Nielsen’s vice president of strategic initiatives.
Pet CBD products are currently a small portion of the pet space and accounted for about $1.5 million in sales in the third quarter of 2019, said Liz Connors, director of analytics for Headset.
“We expect sales to remain stable in 2020.”
Between the first quarter of 2018 and the third quarter of 2019, pet products sold at regulated recreational cannabis retailers in California, Colorado and Nevada accounted for more than $9.4 million in sales, according to Nielsen and Headset.
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