A new report from consulting research service The Insight Partners predicts more consumers around the world reaching for CBD gummies, driving worldwide sales to more than US$12 billion by 2028.
The popularity of CBD gummies is expected to climb owing to an increased awareness of their therapeutic effects, the influence of popular culture and social media, and adoption among athletes and celebrities. Europe is projected to grow at the fastest compound annual growth rate (CAGR) in the global market following CBD products’ legalization in the European Union.
The global CBD gummies market was valued at $2.13 billion in 2021. It is expected to grow at a CAGR of 28.3% over the next seven years, reach $12.18 billion by 2028. The Insight Partners looked at revenue forecasts, company rankings, competitive landscape, growth factors and trends to arrive at the forecast. Data was drawn from global markets including the U.S., UK, Canada, Germany, France, Italy, Australia, Russia, China, Japan, South Korea, Saudi Arabia, Brazil and Argentina.
Product innovation and new product development strategies are seen as providing lucrative growth opportunities to the manufacturers in the CBD gummies market. More manufacturers of CBD gummies are focusing on products that are healthier and cater to wellness market trends while seeking to lower THC content. The weight-friendly alternative of sugar-free CBD gummies is projected to grow at a faster CAGR than conventional gummies over the forecast period.
Some of the leading players in the CBD gummies market are Aurora Cannabis of Edmonton, Canada; Canopy Growth USA of Denver, CO, CBD American Shaman of Kansas City, KS and CV Sciences of San Diego, CA, per the report. These companies and others are developing organic, non-GMO, gluten-free and vegan CBD gummies to cater to the rising demand for clean-label products for active lifestyles.
EU member states now classify cannabidiol as an acceptable additive for food, beverages and nutraceuticals. Research backing CBD gummies’ anti-inflammatory, neuroprotective and analgesic effects, as well as their growing availability over multiple retail channels, is expected to help drive sales growth in Europe.
Sales via specialty stores currently hold the largest share of the global CBD gummies market. The online retail segment is projected to see the fastest growth over the forecast period, with the convenience and safety of home delivery services attracting many customers to e-commerce platforms.
The COVID-19 pandemic had a negative impact on the growth of the CBD gummies market, but Insight Partners analysts said the market is recovering. Moreover, the report found many consumers turned to CBD-infused products for handling pandemic-related stress, insomnia and anxiety.