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Why CBD-Infused Beverages Could Drive Significant Growth in 2020 & Beyond

Ryan Allway

June 2nd, 2020

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The beverage industry is ripe for innovation. Over the past five years, 25 of the top U.S. beverage companies experienced an $18 billion loss in market share as functional beverages, craft beer and spirits and low-calorie drinks have transformed the market. A key driver has been Millennials seeking healthier alternatives to alcohol or lower calorie alcoholic drinks.

For example, the hard-seltzer brand White Claw generated more than $1 billion in sales last year and continues to see triple-digit growth rates. Grand View Research estimates that so-called craft soda—low-calorie, all-natural soda brands with unique packaging—will become a $732.4 billion market by 2025 as consumers embrace healthier alternatives.

Investors interested in capitalizing on these market trends have no shortage of investment opportunities, particularly if they’re accredited investors, but cannabidiol (or CBD) infused beverages appear to be one of the strongest trends in the space as science continues to catch up on the many potential benefits of the cannabinoid.

Click here to learn more about investing in a CBD beverage platform

CBD’s Rising Popularity

Cannabidiol, better known as CBD, has become one of the most popular wellness products in the country. Last year, a JAMA study found that there were 6.4 million searches for CBD on Google alone as industry sales soared past $1 billion. Research has shown that consumers are using these products to relieve pain, manage stress and reduce insomnia.

There are many different types of CBD-infused products, but beverages have become one of the fastest-growing subsets of the market. In particular, ready-to-drink hemp-based CBD beverages offer an easy experience that uses ingredients that have been approved as part of last year’s Farm Bill that removed hemp from the DEA’s Controlled Substance’s list.

Investors should pay close attention to the management teams behind CBD-infused products to determine how likely they are to succeed in the market. For example, CBD beverage pioneer, Innoviom, is backed by a team of beverage industry veterans hailing from companies such as Coca-Cola, Diageo, Red Bull and PepsiCo.

Click here to learn more about investing in a CBD beverage platform

Targeting Unique Niches

Consumers of alcoholic beverages might take a shot of whiskey or a slow sip of wine. In addition, different whiskeys and wines have very different attributes that differentiate various products from each other and enable varying price points.

These same dynamics come into play with cannabis-infused beverages. THC-infused beverages will have a very different effect on a person compared to CBD-infused beverages. For instance, Innoviom’s Wowie™ beverages are infused with a combination of CBD and adaptogens to promote a sense of calmness and relaxation—not a high, while providing crowd-pleasing flavors.

Click here to learn more about investing in a CBD beverage platform

Innoviom also launched Wowie™ Shots to capitalize on the growing consumer trend towards shot-based beverages. While 5-Hour Energy may generate a billion dollars a year in sales targeting those looking for a quick energy boost, Innoviom is banking on consumers that require a quick dose of calmness and relaxation in their lives.

Innoviom’s CBD beverage shot

Looking Ahead

Cannabinoid-infused beverages are poised to become a significant portion of the total market, as well as one of the fastest-growing subsets. In fact, some industry analysts believe that the market could reach $2.8 billion in sales by 2025. Many of these sales come from CBD-infused product makers, including Innoviom, which offers quick shots of relaxation for the health-conscious.

Innoviom is well-positioned to capitalize on these trends with its existing product lines that are available for sale on Amazon and across certain outlets. With the launch of its CBD-infused relaxation shots, the company has also demonstrated that it can quickly identify and capitalize on unique niche markets within the functional beverage industry.

Click here to learn more about investing in Innoviom

Disclaimer

The above article is sponsored content. CannabisFN.com and CFN Media, have been hired to create awareness. Please follow the link below to view our full disclosure outlining our compensation: https://cannabisfn.com/legal-disclaimer/

This article was published by CFN Enterprises Inc. (OTCQB: CNFN), owner and operator of CFN Media, the industry’s leading agency and digital financial media network dedicated to the burgeoning CBD and legal cannabis industries. Call +1 (833) 420-CNFN for more information.

About Ryan Allway

Mr. Allway has over a decade of experience in the financial markets as both a private investor and financial journalist. He has been actively involved in the cannabis industry since its inception, covering public and private companies.

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About CFN Media Group

CFN Enterprises Inc. (OTCQB: CNFN) owns and operates CFN Media Group, the premier agency and financial media network reaching executives, entrepreneurs and consumers worldwide. Through its proprietary content creation, video library, and distribution via www.CannabisFN.com, CFN has built an extensive database of cannabis interest, assisting many of the world’s largest cannabis firms and CBD brands to build awareness and thrive. For more information, please visit www.cfnenterprisesinc.com.

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