How to Start a CBD Dropshipping Business

March 25, 2021

It is estimated that sales in CBD will surpass $1.8 billion next year. The increase is almost 30% since the US legalized hemp in 2018. CBD business is not slowing down and if you want to get aboard, one of the best ways to do it without a lot of risk is to start a CBD dropshipping business.

Dropshipping CBD is order filling that allows business people to start a CBD business by forming a relationship with a CBD manufacturer. If this sounds interesting and you want to know more, read on.

CBD Dropshipping Business?

If you have never heard of dropshipping, don’t worry. It is easy to explain and understand. In essence, dropshipping is a method where business people do not have the worry of inventory, warehousing and logistics management.

How it works

Quite simply, a customer places an order with your business and your business relays that order to the dropship business/manufacturer. This business then ships the order directly to your customer.

The benefits

Starting a CBD dropshipping business has many benefits. The first benefit is that it is an easy business to get off the ground. You don’t have to worry about farming, product manufacture and development, extraction, or packaging. Once you have found a good, reliable supplier with good quality products, you can get started.

The second benefit is that you will enjoy a flexible working environment. In fact, you can work wherever you want. You will have no office costs, now worries about logistics, warehousing, quality assurance, and inventory controls. As long as you have a laptop and a good internet connection, you can work anywhere. Your supplier will manage the order processing, deliveries, and they take care of the production and warehousing.

A third benefit of starting a CBD dropshipping business is that you can enter the industry at relatively low cost. And your overheads will be minimal. You won’t have to hire pickers and packers, delivery people, office workers, and you won’t have to pay all the associated costs of running an office.

A fourth benefit is that you have the time to develop your business in terms of scale. Without the worry of the “back-end” of the business, you can focus on coming up with innovative strategies to make an impact on the industry. All you really have to worry about is sales and marketing.

How to get started

To start a CBD dropshipping business, you must first register a business. That means paperwork, and it is important you get it right. After that, you need to think about branding, including a website where you will do the bulk of your selling to customers. It is imperative that you have a good marketing strategy. Think about how to educate your customers. Give them information and advice, not just a sales pitch to push your products. Explain the benefits of CBD products and provide research, videos, articles, blogs and other information. Be creative.

Choosing a Partner

You need to partner with a manufacturer that has a good reputation. Do your research and take your time. You want high quality products and a dropshipping business program that you can make profitable. Think also about the manufacturer’s safety record, quality assurance, and testing and product development. You want to build a sustainable customer base, and nothing scares away customers more than sub-standard products.


If you get the right plan and processes in place, CDB dropshipping businesses can be very profitable. And the opportunities for expansion are many. The business is relatively new, so you can get in early – not quite the ground floor, but almost – and if you are smart you will reap the rewards. With new research comes more knowledge of the benefits of cannabinoids to your health. There is less stigma attached to hemp products now, so they have almost become mainstream. The best way you can ensure your success is to sell quality products and to have a great marketing strategy. Your branding is key.

Using Digital Octane

Digital Octane is a company that offers a variety of digital services for CBD Brands, drop-shippers and suppliers. A partnership with Digital Octane means that they will take care of creating the E-Commerce CBD Store for you, Dropshipping Automation, Payment Processor integration, on-going tech support and maintenance and everything else you might need to start drop-shipping CBD. Digital Octane can even help you choose and connect the right CBD supplier or multiple ones for your business.

Private labeling

As important as the product is, you need more than a great product to run a successful and profitable business. The key is branding. Your brand must connect with the market. You can’t simply do what everyone else is doing. You need a unique selling proposition to convince your customers that your brand is the one they should choose. If you get that right, and you choose a good supplier, you are on the right path.

When you use a company such as Digital Octane, you get access to the best suppliers, their product lists, including the best-selling CBD products. Digital Octane can also connect multiple suppliers to your cbd dropshipping store to make sure you don’t keep all your eggs in one basket. You can talk to their team about custom designs and features as well. Many CBD dropshipping businesses get started with orders as low as $500.

The best part?

Starting a CBD dropshipping business is a great idea for entrepreneurs who are motivated by the opportunities in CBD but perhaps do not have a lot of capital to get their ideas off the ground. You can focus on building a good brand in a new industry and let an experienced manufacturer handle the back-end worries. You have the freedom to work anywhere while getting in relatively early in an industry that is on an upward trajectory.

Also, don’t forget to check our article about Dropshipping vs. CBD Wholesale.

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