A Beginner’s Guide to Selling CBD Products Online

A Beginner’s Guide to Selling CBD Products Online

The rise in popularity of CBD products has made them hit sellers. An industry that was once a niche is now making its way to the mainstream and this means more money for CBD retailers. However, there are ways to sell online that will ensure maximum reach and marketplace penetration.

Before going into business, you should ensure your CBD products are potent. Nothing kills a business faster than lukewarm products. If you don’t plan on manufacturing CBD products yourself, ensure that the brands you sell are tested and trusted. You can do this by reading online reviews from websites like bloomandoil.com.

Set Up Infrastructure

Infrastructure involves your online store, suppliers, and a solid eCommerce model.

Online Store

Traditional eCommerce stores are websites where you sell your products. Services like Shopify or Wix streamline the process of setting up an eCommerce store and also come with several useful functions including integrations with suppliers and automation platforms like the dropship automation software offered by Modalyst.

Selling online doesn’t always have to be via a personal online store. You could sign up as a merchant on a third party website like C2C platforms and marketplaces. You could also sell on social media platforms like Instagram, but most prefer to set up stores like the Shopify store or one by BigCommerce because of the powerful features they offer.

eCommerce Model

The eCommerce model you adopt has a significant effect on the cost of operations and profit margin, this is why most people prefer it to wholesale. Most players in the online CBD market use one or a combination of these three models.


Loved by many online retailers because of the savings in overhead costs it affords them, dropshipping doesn’t require you to handle products. You don’t incur the expenses associated with warehousing and logistics. You merely liaise with suppliers and forward customer shipping information to them. The suppliers then ship the package to the customers directly. The closest you come to handling a package is the product imagery you upload on your website. The profit you make is the markup in product price between the supplier’s price (which could be at wholesale pricing range) and yours.

To set up a business using this model, you’ll need suppliers along with a platform that facilitates communication and transactions with both your suppliers and customers. Companies such as Modalyst provide platforms (called a Modalyst platform) that facilitate the fulfillment of orders. They also provide a list of certified suppliers (called modalyst suppliers) who offer a range of high-quality products and free shipping. The entire process of using the Modalyst platform is called Modalyst dropshipping.


Warehousing is making use of a warehouse to store products and then shipping them when customers place orders. Warehousing is used alongside wholesaling. The major difference between warehousing and drop shipping is that you handle logistics.

White Labeling

White labeling is packaging a product made by a third party under your brand. You could say that white labeling is the curation of CBD products under a brand name. Several independent brands use this method as it has its benefits (e.g. exclusivity which could enable a higher price markup). Be careful to ensure that your supplier adopts industry best practices for producing CBD and CBD-based products.


You can source for suppliers on Aliexpress or other online directories. Whoever you come across must provide fast shipping, must operate on all business days, must have a favorable return policy, and their product offering should be high quality. You can also look for suppliers with a favorable shipping rate.

Facilitate Sales

After setting up your business infrastructure, the next thing to do is to facilitate sales. Here’s how:


Make it easy for people to find you. Invest in search engine optimization and also off-site optimization. For example, you can get involved in CBD forums and marketplaces to position yourself as an authority and link customers back to your online store.

Create Useful Content

This is called content marketing. It involves offering useful and strategic content on CBD and CBD-related activities with the goal of showing them the value of CBD and how good your product offerings.

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