CBD Wholesale: How to Become A CBD Oil Distributor in the UK and Europe?
With the amount of increase in usage of CBD, everywhere around the globe, including Europe, it is considered the best possible business venture in today’s time.
CBD is legally traded throughout Europe, still not permitted in Slovakia and Lithuania. Although it is still legal, the law is trying to restrict the use to medical purposes only. However, CBD market is showing an upward trend in usage, and that is something that one can take advantage of.
7 Steps to Become a CBD Distributor in Europe and the UK
This article will highlight the key decisions and important things to remember while starting a CBD business in Europe and become a CBD oil distributor.
Step 1: Check the Legalities Of CBD
Although CBD is legal in Europe, the content of THC has been determined by each state separately. You need to look up to the law and guidelines specified by the governing authority of each state. For instance, in Switzerland, the amount of THC valid is up to 1%, and the CBD products less than the determined amount can be legally traded.
In Europe, the government is trying to cut down the usage, but the use of CBD for medical purposes is increasing because of its benefits to the patients.
Step 2: Study The Market
You need to do a thorough study of the market requirement and decide the customers whose needs you will prefer to cater to.
Moreover, you could prefer the physical market, or you can even deal with this through the digital market. Digital marketers have a wider spread and can get you more customers than compared to a physical market.
Market positioning is possible if you have a business plan as to how to get into the CBD industry and create a position for your brand. Currently, In Europe, the largest CBD market is UK and Germany, and they are increasing day by day.
Step 3: Get a License
This is something that needs to be taken care of as soon as you are done selecting the market and are ready to plunge into the business. There are multiple authorities with which you have to get yourself registered under various laws that govern your business.
To help you out with this, you can hire a lawyer who could help you out with all the legal work and can ensure that none of the licenses that your business needs have been missed out on. This is a very crucial step as missing out on any one of the licenses can lead to penal action.
Step 4: Selecting Your Suppliers
Once you have registered your company, you need suppliers to cater to your requirements. For this, you need to do a thorough survey of certified suppliers who could provide you with the best quality ingredients.
Moreover, it is always preferable to have two or three suppliers rather than just one supplier so that in case of any mishap, you can always switch to other suppliers, and your production is not hindered as well.
Being proactive is a must in this stage as delaying the process of procuring raw material, can lead to a huge amount of opportunity cost.
Step 5: Advertisement
It goes without saying that you need to market your CBD products well to have a market name, which will help you get a good market share. In today’s world, the worth of your product is created by the way in which it is marketed. Hence you wouldn’t want to miss this step out or even undermine its importance.
Also, the best way is to outsource the marketing or hire a marketing team for your product as it will provide you with an edge. Make sure that your marketing team is well-versed with SEO services and can use social media in such a way that can help position your product in the market.
You could market your products by sending them out to social media influencers or can even tie them up with your distributors. The traditional ways of advertising, i.e. providing the products at a concessional rate or for free with other products, can also help your company grow.
You can also conduct seminars and conferences about the benefits CBD has.
Step 6: Logistics
This is an important step that every CBD oil distributor should keep in mind. You need to be sorted about the way your CBD products move in your factory. Logistics is not only concerned with supplying CBD products to your customer but also the ways and the manner of procurement of raw materials. A proper blueprint needs to be there, which shows how the products will move out of the factory or move in the factory.
You should keep in mind that logistics is also concerned about how the raw materials are to be moved within the factory.
Step 7: Customer Satisfaction And Maintaining Customer Base
You need to do this even while you are processing your orders. That is you need to provide them with all the details, even something as small as shipping details. You can even ask your customers to review their experience by filling up a questionnaire. This might help you find problems or services in which your company is lagging behind.
To maintain your customer base, you need to be in constant touch with them. For that, you can send them out emails when any new product launch is being launched or if there are any festive offers.
Moreover, you can also give referral discounts to promote sales. This can help you keep a hold of new customers and get some new customers as well.
You need to plan CBD in a very crucial way if you want to become a CBD oil distributor as a lot of legalities are involved here. Moreover, the machines needed require a huge capital investment. Therefore, ensure that you plan and implement everything in a careful and step-by-step manner.
The best way is to hire an expert who could help you deal with the planning and the legalities of CBD wholesale.