Nowadays, dropshipping is a great way to earn some extra income with minimal start-up fees. With dropshipping we can sell products without actually having them in stock. As such, this enables us to consider a wide array of diverse products and niches to cater to the largest market. Notably, one of the most unique niches to get into is CBD dropshipping.
In this article, we will take a look at what cbd dropshipping is and how to start dropshipping CBD from start to finish. We’ll dive into a step-by-step guide on opening and running a CBD dropshipping business.
CBD dropshipping is a great completely legal, low-investment, high-reward business venture because it’s unique with low competition.
Register your CBD business, set up a Shopify store, find a trustworthy and reliable supplier, and start selling high-quality CBD products.
Best CBD products for dropshipping: CBD flowers, oils, capsules, snacks, CBD for pets, beauty products, and tinctures.
Trustworthy and reputable CBD dropshipping suppliers: Joy Organics, Charlotte’s Web, Eco Sciences, and more.
Use an all-in-one dropshipping tool like AutoDS to automate & optimize your dropshipping store.
What Is CBD Dropshipping?
First and foremost, let’s clarify what CBD actually is. Cannabidiol (CBD) is an active ingredient in cannabis that is derived from the hemp plant, but it does not cause a high and is not addictive. Many people use it for anxiety, insomnia, chronic pain, seizures, and many other medical purposes.
Now, CBD dropshipping is the process of selling products containing hemp-derived cannabidiol through an online store. The difference between a traditional CBD company and dropshipping CBD is that we don’t need to hold inventory. We’ll work with a third-party dropshipping supplier who packs and fulfills our customer’s orders when placed through our store. And, we can expect to boost our profits since the CBD market is growing and is expected to hit $4.4 billion in 2024.
Is It Legal To Dropship CBD?
Importantly, we need to note that CBD is a regulated product when it comes to dropshipping. So, dropshipping CBD can get just a bit more complex. Although it’s a regulated product, it is not illegal.
CBD is legal and readily obtainable in most parts of the United States, though its exact legal status has been in flux. All 50 states have laws legalizing CBD with varying degrees of restriction. With hemp being made legal in the USA, it made it virtually impossible to keep CBD illegal. That would be like making oranges legal, but keeping orange juice illegal.
In essence, this means that CBD is legal if it comes from hemp, but not if it comes from cannabis (marijuana). Currently, many people obtain CBD online without a medical marijuana license, which is legal in most states.
Why CBD Dropshipping Is A Great Business Idea
CBD Dropshipping is a great business idea first and foremost because it’s very niche So, competition will not be very dense and we can work on attaining a wide customer base. Dropshipping CBD is quite new which is what makes it so niche and innovative. Recently, more and more people have discovered the benefits of CBD expanding the market from year to year.
However, it’s not that new and unknown for it to be tabu. On the contrary, it’s becoming very widely used. Normally, if people use CBD and see some benefits, they will become returning customers which will enable a steady profit inflow. Returning customers often buy CBD products on a monthly basis. This means we must offer quality products to keep and grow our market.
Lastly, CBD products are super convenient for shipping since they are lightweight and compact. They are also super profitable since some CBD products can get pricier which is why it is good to offer some variety.
How To Start A CBD Dropshipping Online Store
Now, on to the exciting part! Let’s go through the steps to ensure we open and run a successful CBD dropshipping business. Starting from the beginning, let’s follow these seven easy steps to start a CBD dropshipping business:
- Register Your CBD Dropshipping Business
- Set Up An Account And Build Your CBD Dropshipping Store
- Connect To AutoDS To Automate Your CBD Dropshipping Business
- Choose a CBD Dropshipping Supplier
- Add CBD Products To Your Store
- Market Your CBD Dropshipping Business
- Provide Outstanding Customer Service
Register Your CBD Dropshipping Business
When dropshipping CBD, we must register our dropshipping business because it’s a controversial product. This step may not sound important when dropshipping regular products, but when we sell CBD, we need to protect ourselves.
Therefore, it’s crucial to follow the guidelines for dropshipping CBD and registering our CBD business. By officially registering our business, we can ensure that our operations align with the relevant laws and regulations.
The registration process involves several key steps:
- Register our business following the specific requirements of the state in which we operate.
- Acquire the necessary permits and licenses, including a retail and resale certificate.
- Apply for and register our business to obtain a tax ID number.
Notably, these prerequisites can vary from one state to another. So, it’s essential to prioritize thorough research before proceeding to the next stage.
Beginner’s Tip: We can always hire a professional to help us not only with the registration process but also with our taxes.
Set Up An Account And Build Your CBD Dropshipping Store
Interestingly, we can’t dropship CBD products on just any platform because they are somewhat controversial. For example, we can’t sell on Amazon or eBay. Because of this, it’s best for us to build and open our own online store using Shopify. It now officially supports the selling of hemp and hemp-derived products that contain CBD through its platform.
Shopify is an eCommerce platform that allows us to build our own online store instead of selling on a marketplace. The platform is very intuitive and easy to use allowing even beginners to create a converting store. Plus, Shopify offers all the solutions including payment gateways and product-specific shipping services as well.
We can easily set up our CBD dropshipping store on Shopify by following these steps:
- Sign Up For Shopify
- Name Your Shopify Store
- Connect Your Domain
- Choose A Shopify Store Theme and Design a Logo
- Optimize The Product Page
- Set Up Shopify Checkout Settings & Shipping Zones
- Generate Shopify Store Policies & Legal Pages
- Configure Payment Providers
Notably, even though Shopify allows us to dropship CBD products, it requires us to have a third-party payment provider.
Beginner’s Tip: If our CBD business is based in the United States, it’s essential to provide Shopify with an attestation when selling hemp and hemp-derived products. This attestation serves as proof that we are using a payment processor that is capable of accepting payments for CBD-related items.
Connect To AutoDS To Automate Your CBD Dropshipping Business
One of the best aspects of dropshipping is that we can automate our tasks! Dropshipping automation allows us to automate the entire dropshipping process. As a result, we save a bunch of time and effort while reducing errors in any of the steps. Plus, by automating our dropshipping processes, we can optimize our business and boost profits.
With this in mind, the best all-in-one automation tool to use is AutoDS. AutoDS has a myriad of tools that allow us to scale and grow our dropshipping business:
- Price/Stock Monitoring
- Product Importer
- Price Optimization
- Complete Order Fulfillment
- Winning Products Hub
- Automatic Tracking Updates
Once we’ve connected our store to the AutoDS platform, we can utilize many more tools to help optimize our business.
Choose a CBD Dropshipping Supplier
Who’s the main reason we can enjoy running our CBD dropshipping store successfully? Well, the suppliers, of course! Reliable, trustworthy, and certified CBD dropshipping suppliers allow us to ship items to our customers quickly and efficiently. Plus, they ensure everything is up to regulation and law so that we can avoid any issues.
We must ensure that our suppliers are a good fit for our business. It’s essential to choose a supplier whose business policies and product range align with our needs. Importantly, we should look for suppliers that offer quality products. Later on, we will take a look at some reliable CBD suppliers. After all, they are the ones responsible for sourcing and shipping products to our customers.
Beginner’s Tip: When searching for suppliers, it’s a good idea to ask for certification proving product safety.
Add CBD Products To Your Store
Our next step is to add our CBD products to our online store. When importing products, we need to ensure that our listings have high-quality product images. As such, this enables our customers to have a better look at what they are buying. Plus, it looks more professional and legitimate. We should also look out for and sell products that have certifications. This helps our business’ legitimacy and builds customer trust.
On top of that, we need to provide converting product titles and descriptions. Our descriptions should focus on the health benefits of CBD products so that we can make a sale easier. To optimize our listing titles and descriptions, we can utilize AutoDS’ AI ReWrite tool. Choose the tone and feeling and get enhanced AI-generated product titles and descriptions.
And, we can use AutoDS’ automated product importer to help us easily import numerous products with just a click of a button. It allows us to import single items, import in bulk, or even schedule a product import for a future date. Ultimately, this saves us much time and effort in the product-importing process.
Market Your CBD Dropshipping Business
If we want to run a successful CBD dropshipping business, we need to generate interest and turn that into sales. Plus, we need to navigate through the competition and do our best to stand out. With that said, the best way to achieve this is through marketing.
With this in mind, getting the right message in front of our target audience at the perfect time is key. In fact, marketing helps us build a relationship with our target audience. So, this will not only increase sales but will also help us become recognizable. With the visibility we get from marketing, we can increase our brand recognition and grow our CBD dropshipping business.
So, let’s take a look at some marketing strategies to help promote our CBD products:
- PPC ads
- Email marketing
- Influencer marketing
- Blog
- Generate product reviews
All in all, marketing is crucial for generating interest and attracting customers. With the proper marketing strategy, we can convert more people and boost our sales. Plus, once we build recognition, we can rely on returning customers for a consistent profit stream.
Provide Outstanding Customer Service
Undoubtedly, providing our customers with exceptional customer service is vital for our success. This is because it helps us differentiate ourselves from the competition and attain customer loyalty.
To demonstrate, one reliable and direct approach is through email. To explain, once a customer sends us their query, we can resolve it by sending them an email with the answer or solution. In contrast, we can also have a more direct approach, like live chat. Notably, this allows our customers to directly and quickly resolve any issue or question.
These tactics allow us to offer an enjoyable experience for our customers enabling us to convert them to returning customers.
What CBD Products Are Suitable For Dropshipping?
When it comes to CBD dropshipping, we need to find suitable products since CBD itself is controversial. Notably, there are numerous different CBD products to sell, but it’s best we stick to a few products that are suitable for dropshipping. Plus, suitable CBD products must be high-quality products since they are focused on health benefits. Since CBD is usually consumed continuously, offering high-quality products will enable us to convert our customers into returning customers.
With that said, let’s take a look at the best CBD products for dropshipping:
- CBD flowers
- CBD vaping oil
- CBD Capsules
- CBD for pets
- CBD snacks and edibles
- Skincare & beauty products
- Sprays and tinctures
As mentioned, we need to find high-quality products. However, it can be difficult to find reliable, trustworthy, and reputable suppliers at competitive prices. Next, we’ll go through some reliable and quality CBD dropshipping suppliers.
6 Reliable CBD Dropshipping Suppliers
In truth, finding the right supplier is one of the most crucial steps in the dropshipping process. Importantly, we need reliable and trustworthy suppliers to ensure that our customers have a pleasant experience.
So, let’s take a look at the top 6 reliable CBD dropshipping suppliers:
Joy Organics
Joy Organics is a well-advertised name that sells many premium CBD products. Since they are renowned, it speaks of their chances to have a good customer base. Moreover, all of their products are lab tested which means that our customers will get high-quality products.
Joy Organics’ Private Label CBD Program allows us to profit from the rapidly growing CBD industry. On top of that, it helps us build a loyal customer base under our own private-label CBD brand. They also offer free shipping on orders over $50 and a 90-day return policy that gives us back a full refund.
Charlotte’s Web
Charlotte’s Web is a well-respected CBD brand. They provide their customers with high-quality hemp and hemp-derived products. Notably, to join it, we must meet a few requirements. For example, we must have an e-commerce website, an approved CBD merchant processor, and a shopping cart compatible with its dropshipping management system.
If we’re low on investment, we must know that they offer low start-up costs. Moreover, they have their complete guideline uploaded on the website, so we can learn about the rules to operate with them as a dropshipping partner. Plus, since they’re based in the US, they offer free shipping on all orders over $74 within the country. They also offer a 30-day return policy and 5-7 business days shipping.
Absolute Nature CBD
Absolute Nature CBD offers a wide range of products and a dedicated dropshipping program. All of their products are lab tested which allows us to offer our customers high-quality CBD products. The company has years of experience in dropshipping and works with no minimum requirements.
Plus, the Absolute Nature white-label program allows dropshippers to offer natural premium-grade CBD products under their own branding. They also offer a 14-day return policy where our customers can get a full refund.
CBD Essence
CBD Essence was founded in 2014 and has been creating high-quality, pure, and 100% organic CBD products in small batches. At CBD Essence, they ship their products within 24 hours of our order to maintain their freshness and quality. Also, they have free shipping on orders over $49.
They also offer an 8-week return policy allowing our customers to find the products suited to them the most. And, much like the other suppliers, CBD Essence offers white-label options as well. So, we can dropship CBD products under our own brand.
US Hemp Wholesale
US Hemp Wholesale offers a wide range of hemp-derived CBD oil products, edibles, skincare & topicals, and more. However, to work with them, we need to be a US-based online seller, have an established URL for our site, and obtain an Employer Identification Number (EIN).
But, once we do that we can enjoy their white label and private label dropshipping services. They usually deliver their products within 2-7 days in the US and 7-14 days internationally. And, they offer a 15-day return policy on unopened products.
Eco Sciences
Eco Sciences offers premium high-quality CBD dropshipping products that have been lab-tested. But, to source products from this CBD dropshipping supplier, we need to have an EIN, an active merchant account, and a functioning e-commerce website.
Eco Science has a really good brand reputation which we can use to boost sales. Notably, they offer free shipping on orders above $30 with multiple shipping options ranging from 1-5 business days in the US. Eco Sciences also has a solid 30-day return policy to ensure customer satisfaction.
Things You Need To Take Care Of When Dropshipping CBD Products
While dropshipping is legal there are certain regulations that we need to abide by. So, first and foremost it’s important for us to apply for and obtain a business license to dropship.
Then, we need to educate ourselves on product copyright and intellectual property laws before we start selling. It’s also important to follow state guidelines for product copyrights otherwise our products may be blocked by the destination states.
Lastly, it’s important to legalize our CBD dropshipping business and have all our documents in order. This way, we become less liable if issues arise, and our business will be protected.
Frequently Asked Questions
Is It Legal To Dropship CBD Products In The United States?
Indeed! It is legal to dropship CBD products in the United States. But, we need to ensure we are following all laws and regulations in order to run a legitimate business.
Is CBD Dropshipping Profitable?
Of course! CBD dropshipping is profitable because people who use CBD usually use it continuously. As such, they can become returning customers and give us a steady sales flow.
Does Shopify Accept CBD Products?
Yes, Shopify does allow dropshippers to sell CBD products, it’s one of the only selling channels that do. However, it cannot process payments for CBD products with Shopify Payments. We need to set up a third-party payment gateway that supports the sale of hemp and/or hemp-derived CBD products.
Conclusion
And there we have it! We now have all the information we need to start CBD dropshipping and make solid profits. Since we know everything we need to know about CBD dropshipping, it’s time to finally make a move.
Just know that laws vary from state to state therefore being informed of the state laws can help us succeed. Additionally, it’s important to offer high-quality products from reliable suppliers to build a trustworthy business.
To further help us in building and growing our CBD dropshipping business, check these out:
