With demand through the roof across North
America, a person can be forgiven for believing that it’s easy to sell
hemp-derived products like CBD online. Actually, ever since the legalization of
cannabis in certain US states and across Canada, many businesses are trying to
sell CBD online, and the competition is stiff.
No matter how badly the public wants your
product, there are no shortage of companies trying to get a piece of the
multi-trillion-dollar Ecommerce market, especially when it comes to cannabis
products like CBD.
However, starting a CBD
merchant account
and getting a high-risk payment processing system is difficult in the early
stages — if you can’t get such a merchant account, you simply can’t accept
sales. Here’s what you need to know to get your online CBD business going.
Low- and High-Risk Sales Processing
CBD consists of less than 0.3% THC, the
psychoactive property found in marijuana. Still, it’s associated in the mind of
the general public and even in that of sales processors. It doesn’t matter that
CBD is fully legal in the US — unlike marijuana, which was only legalized in
certain states, the Farm Bill of 2018 reclassified hemp and took it off the
DEA’s Controlled Substance Schedules.
Even though CBD is perfectly legal and the stigma surrounding marijuana is beginning to erode after decades of intense
government-driven hysteria, still, mainstream financial institutions may block
your business from taking payments. PayPal has done this in the past, one of the most
ubiquitous payment processors there is.
Having an eCommerce platform that has multiple
third-party payment integrations will allow you to process payments considered
high-risk as if your business were low-risk. It’s essential that the platform
have as many payment integrations as possible, since the ones accessible to you
depend in part on the country in which you’re operating.
All-in-One Platforms
There are many hoops to jump through when
navigating the regulatory framework of any product, let alone ones like CBD.
But it’s a very lucrative business, and those intrepid and determined enough to
see it through will find out that it can be made a lot easier when you have the backing of an all-in-one eCommerce platform.
The advantages are numerous:
·
Track
and manage orders
·
Forecast
earning potential
·
Facilitate
returns easily
·
Boost
credit card approval rates
·
Get
data reports and analytics in real-time
Powerful, Flexible Security
Once your merchant account is up and running,
your business needs top notch security. It has to be not just powerful, but
flexible — find an Ecommerce platform that lets you customize security settings
for each product and campaign as needed.
Also, security has to be fast: online consumers lose attention in about seven seconds, so
verification and authentication needs to work in milliseconds, so consumers
don’t even notice it.
CBD is a product that helps people relieve anxiety, and it has numerous other important health
benefits. Hopefully the stigma surrounding it will disappear for good, so
merchants don’t need to struggle so hard to get their business up and running.
But to start selling CBD now, pick an all-in-one Ecommerce platform with enough
payment integrations and enterprise-level security.