Mainstream CBD Acceptance Being Driven By Boomers and Millennials

NEW YORK, May 7, 2019 /PRNewswire/ -- Sales of cannabidiol (CBD) oil are dramatically rising across North America, as its availability on mainstream shelves caters to growing health, wellness, and beauty markets. Much of this growth is being driven at two ends of the age spectrum, as hemp-based CBD is becoming more and more popular among both baby boomers and millennials. As the health benefits of CBD continue to be studied, the economic benefits are becoming apparent to the producers of CBD products including Chemistree Technology Inc. (CSE:CHM) (OTC:CHMJF), Aurora Cannabis Inc. (NYSE:ACB) (TSX:ACB), Canopy Growth Corporation (NYSE:CGC) (TSX:WEED), HEXO Corp. (NYSE:HEXO) (TSX:HEXO) and CannTrust Holdings Inc. (NYSE:CTST) (TSX:TRST).

The entire sector started to truly take off after the signing by President Donald Trump of the 2018 Farm Bill back in December. Following the bill's legalization of hemp farming nationwide, many companies much like Chemistree Technology Inc. (CSE:CHM) (OTC:CHMJF) have ramped up their CBD operations. Chemistree recently acquired a stake in The Physician's Choice CBD—developers of nine hemp-derived full spectrum CBD products.

Hemp-based CBD products are making their way to the forefront, including with the FDA, which is itself moving towards a loosening of CBD's regulatory shackles. The result has been a positive shift in the CBD hemp oil market, which data compiled by analysts at Transparency Market Research have indicated to project growth from $950 million in 2017 to $2.5 billion by 2026.

However, a new study by CBD Marketing in Chicago showed that the market has all but erased the generation gap, between baby boomers, Gen X, and millennials. The study analyzed 1.3 million US social media posts and other public comments between Jan. 1, 2018 to Jan. 1, 2019. At the two ends of the spectrum, baby boomers (54-72 y/o) and millennials (22-37 y/o) each generated 41% of the posts, while Gen Xers (38-53) represented 18%.

Both boomers and millennials are seeing prominent figures catering to their demographics in favor of CBD. For boomers, it was announcements such as Martha Stewart's endorsement deal with Canopy Growth Corporation (NYSE:CGC) (TSX:WEED), and legendary PGA golfer Greg Norman's brand coming out with its own CBD personal care products.

With millennials, it's news if Kim Kardashian throwing a CBD-themed baby shower, and American Horror Story star Emma Roberts posting on Instagram about her favorite products that include CBD-infused bath tonics.