Selling CBD products on Shopify presents a unique opportunity for entrepreneurs looking to tap into the booming cannabis market. The CBD industry is experiencing rapid growth, representing a significant opportunity for eCommerce businesses to tap into a lucrative niche.
Since 2019, Shopify CBD sales have been permitted for merchants who sell hemp-derived CBD products, provided they adhere to specific regulations.
As consumer interest in CBD products rises, retailers can leverage Shopify’s powerful ecommerce platform to reach broader audiences and offer a diverse range of products, from wellness items to beauty solutions.
You can enhance functionality, compliance, and performance by working with professional Shopify CBD development services tailored to CBD and hemp businesses.
However, can you sell CBD on Shopify without complications? The answer is yes, but navigating the legal landscape can be complex. These include ensuring that all products contain less than 0.3% THC and comply with local, state, and federal laws.
Merchants must understand the requirements before launching their stores and remain vigilant about compliance to avoid potential legal issues.
Selling CBD on Shopify also comes with payment processing challenges. Due to the high-risk nature of the industry, Shopify does not support CBD sales through its payment gateway. This means sellers need to seek alternative payment solutions while staying compliant with regulations.
Read Also: What Is Shopify and How Does It Work? Complete Guide
Understanding the CBD Legal Landscape
CBD Shopify stores must navigate a complex legal landscape that varies between federal and state jurisdictions.
CBD e-commerce has been a significant bone of contention regarding the industry’s viability and the legalities surrounding it.
On the one hand, a high-demand product category offers immense potential; on the other, however, there is a significant legal maze surrounding what some still consider controlled substances.
Naturally, there have been reservations from e-commerce platforms regarding building and marketing CBD e-commerce businesses.
The legality of CBD products is complex and evolving, depending on the federal and state laws governing their trade.
At the federal level, the 2018 Farm Bill legalized hemp and hemp-based products as long as the THC content is below 0.3% – a welcome initiative.
However, at the state level, laws vary from state to state, where one state has legalized CBD for recreational and medicinal use, while others have still banned it.
Can You Sell CBD Products on Shopify?
Shopify’s Policies on CBD Products
Before a CBD business builds a Shopify cannabis store, it needs to know Shopify’s policies on CBD products. A booming CBD industry needs a global e-commerce platform like Shopify to benefit from a powerful and easy-to-use platform. However, CBD Shopify e-commerce is significantly more complicated than traditional e-commerce because CBD products are deemed high-risk.
Technically, Shopify allows CBD products on its platform; however, these products must comply with the 2018 Farm Bill’s prescribed THC limit. However, Shopify payments aren’t available to CBD businesses because these are high-risk products that require third-party payment processors.
Shopify Regulations for CBD
In The USA
In the United States, can I sell CBD on Shopify? Yes, CBD businesses can sell hemp-derived CBD products complying with the 2018 Farm Bill, i.e., products containing less than 0.3% THC. As long as CBD products are sold with less than 0.3% THC, Shopify allows CBD e-commerce in the USA.
Rest Of The World
Internationally, Shopify’s CBD policy depends on which country you’re selling it in and what CBD’s legal status is in that location. If CBD products are illegal in that country, Shopify does not allow stores to list or sell these items there.
Additional Requirements for CBD Products on Shopify
Additional requirements for CBD products on Shopify include:
- Regular lab testing and results to ensure every product sold complies with the legal THC limit and relevant safety standards.
- U.S.-based merchants selling hemp products must complete an attestation process within Shopify’s admin. This confirms their understanding and compliance with applicable laws.
- Adhere to strict FDA regulations on CBD marketing and avoid making unsubstantiated health claims.
- Ensure the business has the necessary licenses and permits to sell CBD products in your jurisdiction.
- Obtain third-party certifications for product quality and safety, e.g., from the U.S. Hemp Authority.
- Implement age verification measures to comply with regulations and protect minors.
State laws can vary from one state to the next, so a CBD business must consult a legal expert before setting up a CBD Shopify store. Following the proper compliance requirements ensures the CBD stores are legally in the clear and aren’t involved in anything illegal.
Different Types of CBD Products Allowed on Shopify
Several different types of CBD products are available on the market, most of which are in high demand year-round. CBD e-commerce businesses must ensure their products comply with Shopify’s CBD policy, or the store could be banned and get into legal trouble.
Permitted CBD Products on Shopify
There are five main types of CBD products allowed on Shopify that include:
- CBD oils and tinctures are the most commonly sold CBD products and are well-accepted by Shopify.
- CBD edibles include chocolates, gummies, and various CBD-infused treats that are popular among consumers.
- CBD topicals, including balms, lotions, creams, and salves, are used for external application.
- CBD capsules are consumed orally.
- CBD pet products, including supplements and treats formulated for pets.
Prohibited CBD Products on Shopify
There are four types of CBD products prohibited on Shopify that include:
- Products with High THC Levels, i.e., exceeding the 0.3% THC limit set by the 2018 Farm Bill, are strictly prohibited.
- Selling CBD products without third-party lab testing to verify THC content and product purity is prohibited.
- Products making unsubstantiated health claims about CBD’s potential health benefits that are not scientifically proven or approved by the FDA.
- Selling CBD products to individuals under the legal age is prohibited and has serious legal repercussions.
The list of permitted and prohibited CBD products constantly changes, and staying updated on the legal landscape surrounding CBD products is essential. CBD stores that comply with this list should have no issues setting up their Shopify CBD stores for sales.
Setting Up Your Shopify Store for CBD Sales
When considering how to sell CBD on Shopify, understanding the setup process is crucial. CBD Shopify stores operate with the same basic infrastructure as regular Shopify stores everywhere until you begin adding on personalizations and CBD-specific features.
Pre-development Considerations
Before you begin building a Shopify store for CBD products, it’s important to consider:
- Understanding scalability and how the company expects the business to perform in the short and long term. Understanding where the store is and where it will be in the future.
- Shopify’s transaction fees are charged on each sale and differ depending on which Shopify plan you pick.
- Certain Shopify plans offer better support for CBD businesses, which the company should consider before picking one.
Create A Shopify Account
Visit the Shopify website, create a new account, choose a plan that suits your business needs, and go from there. If you’re new to the platform, understanding how Shopify works and its pricing structure can help you make the best choice for your CBD business.
Customize Your Store
Pick a visually appealing theme that aligns with your brand and the CBD industry. Many themes offer customization options to tailor the look and feel of your CBD Shopify store.
Next, add pages like “About Us,” “Contact,” “Shipping & Returns,” and a dedicated “Terms & Conditions” page that clearly outlines your CBD product policies. You want the legal information to be clear and accurate to ensure every customer knows exactly what they’re purchasing and what it entails.
Set Up Your Products
Begin by setting up your products:
- Add products and create product pages for each CBD product you offer.
- Use professional, high-resolution images of your products that clearly show the customer what they’re getting.
- Write accurate and concise product descriptions, including ingredients, potency, and intended use.
- Publish lab test results and display the links to third-party lab test results that verify THC content and product purity.
Once again, ensure that all information is updated and accurate, as even the slightest inaccuracies can result in legal trouble when selling CBD on Shopify.
Payment Processors for Shopify CBD Stores
Can I sell CBD products on Shopify without payment processing issues? Getting a payment processor to agree to process CBD transactions is a major issue that prevents most CBD stores from setting up an e-commerce presence. CBD products are considered high risk because of the legal maze surrounding them, keeping payment processors away.
Shopify Payments does not support CBD sales, meaning CBD businesses need to find alternatives that work. Using traditional payment processors often results in frequently declined transactions, chargebacks, and closed accounts.
Factors to Consider When Picking a Payment Processor
CBD businesses should consider these factors when picking a payment processor for their Shopify CBD store:
- Compare processing fees and other charges.
- Ensure the payment processor integrates with your Shopify store.
- Pick a processor with excellent customer support.
Recommended CBD-Friendly Payment Processors
1. Bankful
Bankful is a recent entrant in the payment processing market. It supports online payments for CBD through Shopify and other e-commerce platforms like WooCommerce and BigCommerce.
2. PaymentCloud
PaymentCloud specializes in high-risk industries, including CBD, offering competitive rates and reliable services.
3. Payline
Payline is a popular option for CBD businesses, providing flexible payment solutions and fraud prevention tools.
4. NMI
NMI supports various payment methods, such as credit and debit cards and ACH, giving customers multiple options to pay for CBD products. Additionally, the CBD business has access to various transactional insights, which allows the company to know how well things are going.
5. Square
Square is one of the largest payment processing companies in the world. In 2019, it began supporting CBD transactions. Square is a great payment processing option for CBD merchants with high- and low-volume sales. It helps growing and established businesses expand their operations thanks to extensive payment support.
6. Stripe
Stripe may have stricter policies regarding CBD, but it’s worth exploring their options and checking for any updates in their guidelines.
Tips for Avoiding Chargebacks and Ensuring Secure Transactions
- Use clear, accurate, detailed product descriptions to minimize confusion and disputes.
- Have transparent shipping policies and communicate them clearly, including estimated delivery times and tracking information.
- Offer excellent customer service by responding promptly to customer inquiries and resolving issues efficiently to prevent chargebacks.
- To protect customer data, offer a secure checkout process and implement strong security measures, such as SSL encryption.
Hiring expert Shopify developers can help setup a compliant CBD store.
Read Also: Everything You Need to Know About Shopify Partners
Design Considerations for Shopify CBD Stores
Once the infrastructure and payment processing are in place, the next step is to design a CBD Shopify store to compete in a highly competitive market. When considering how to sell CBD on Shopify successfully, design plays a crucial role.
Creating A Visually Appealing Store Design
When designing a Shopify cannabis store, here’s what you need to know:
- It is essential to maintain a professional and trustworthy appearance.
- Using a clean and minimalist design helps create a professional and trustworthy impression.
- Use high-resolution images to showcase your products in detail, helping the customer decide.
- Ensure the store is fully responsive and looks great on all devices (desktops, tablets, and smartphones).
- Ensure your store has easy navigation, with clear categories and search functionality.
- Consider using Shopify apps that improve conversion rates to optimize your store’s performance.
Showcasing Product Benefits, Certifications, And Legality
Selling CBD on Shopify requires building trust through transparency:
- Use clear and concise language in product descriptions to highlight their features and potential benefits.
- Ensure the product descriptions highlight the specific benefits of each product and how they can improve customers’ well-being.
- Display any certifications or lab test results to demonstrate product quality and safety to build trust in the brand.
- Be clear on your shipping and return policies and applicable warranties.
- Clearly state your compliance with all applicable laws and regulations, including age verification requirements.
- Always include a disclaimer on the website stating that CBD products are not intended to diagnose, treat, cure, or prevent any disease and should be used only as directed.
- Build a strong brand identity that resonates with your target audience.
When designing a Shopify CBD store, it is essential to combine form and function to ensure the store looks and runs better than the competition.
How To Market CBD Products on Shopify
We’re now at the tail end of our guide on how to sell CBD on Shopify and have covered most of the essentials surrounding a CBD Shopify store. This section expands on how to market CBD products, given that it is a complex, high-risk product that cannot be marketed conventionally.
While traditional content marketing strategies can be used to market CBD products, they must be amended. Major social media platforms (Facebook, Instagram, YouTube) prohibit advertising CBD products, forcing CBD brands to consider alternate solutions.
Content Marketing for Shopify CBD Stores
- Write informative blog posts about CBD, its potential benefits, and how to use your products to educate customers.
- Combine blogs with guides, infographics, and videos to further educate customers about CBD.
- Publish informative posts on topics like CBD benefits, usage tips, and industry news.
- Consider working with Shopify partners and developers who specialize in CBD e-commerce to enhance your content strategy.
Social Media Marketing Strategies
- Use social media platforms to reach your target audience with targeted advertising where permitted.
- Routinely share valuable content, run contests, and interact with your followers to boost engagement and familiarity with the brand.
- Dip into influencer marketing and collaborate with relevant influencers to promote your products to their audience.
- Partner with micro-influencers who have a smaller but highly engaged audience.
- Create authentic content and encourage influencers to create genuine content that resonates with their followers.
- Track ROI with tracking codes to measure the effectiveness of influencer campaigns.
- Use platforms like Instagram and TikTok to share visually appealing content, engage with followers, and run targeted ads where allowed.
Email Marketing
- Collect email addresses from website visitors and customers and build an email list.
- Send targeted email campaigns with exclusive offers, product updates, and educational content.
- Send regular newsletters with product updates, promotions, and educational content.
Search Engine Optimization (SEO) for Shopify CBD
- Conduct keyword research to identify keywords related to CBD and your products.
- Target long-tail keywords related to your products, such as “CBD oil for anxiety” or “hemp-derived skincare.”
- Use on-page optimization on your website and product pages with relevant keywords.
- Optimize product pages with the relevant keywords in product titles, descriptions, and meta tags.
- Use off-page optimization to build high-quality backlinks from other reputable websites to your website.
- Build high-quality backlinks from reputable websites to improve your domain authority.
Read Also: How to Sell Other People’s Products on Shopify: Complete Guide
Shopify vs. BigCommerce for CBD E-commerce
Shopify’s CBD capabilities have strong competition in the CBD e-commerce space from BigCommerce, and with good reason. Shopify is widely recognized as a leading ecommerce platform for businesses of all sizes. This table compares the two platforms for selling CBD on Shopify versus BigCommerce:
| Feature | Shopify | BigCommerce |
| Ease of Use | Intuitive interface, easy setup | Slightly steeper learning curve |
| App Store | Extensive app ecosystem | Growing app marketplace |
| Brand Recognition | Well-known brand | Less recognized but growing |
| Scalability | Good for small to medium businesses | Excellent for growing businesses |
| Advanced Features | Requires apps for advanced features | More built-in advanced features |
| Transaction Fees | Charges transaction fees unless using Shopify Payments | No transaction fees |
| Customization | Good customization with themes and apps | More flexibility for custom development |
| Pricing | Various plans, transaction fees apply | Competitive pricing, no transaction fees |
| Best for | Small to medium-sized CBD businesses | Growing CBD businesses seeking scalability |
Conclusion
Entering the CBD market with Shopify CBD stores is a promising opportunity for entrepreneurs looking to tap into a rapidly growing industry. Selling CBD on Shopify presents a unique opportunity to tap into a growing market, but success requires a clear understanding of the rules and best practices.
Shopify’s clear policies on hemp-derived CBD and its user-friendly platform make it a solid choice for sellers who want to know how to sell CBD on Shopify effectively. However, BigCommerce emerges as the superior eCommerce platform for CBD businesses seeking advanced features.
BigCommerce offers unmatched flexibility with 55 payment gateways supporting over 250 currencies and regions. As an Open SaaS platform, it simplifies payment processing, branding, marketing, and optimization, while also streamlining returns management. This comprehensive approach makes BigCommerce an ideal solution for CBD Shopify sellers looking to scale.
Success in this space requires a deep understanding of legal regulations, compliance requirements, and effective marketing strategies. By adhering to legal regulations, optimizing your product listings, and implementing effective marketing strategies, you can build a reputable online CBD store that resonates with consumers.
Can I sell CBD on Shopify successfully? Absolutely. Many entrepreneurs wonder about Shopify’s profitability for startups — and the CBD niche presents powerful opportunities for growth-focused sellers.
Stay informed about industry trends and continuously refine your approach. Engage with your audience through quality content and responsive customer service to foster loyalty and trust. Staying informed about the evolving legal landscape and ensuring your products meet all guidelines are critical steps for thriving in the CBD industry.
With the right tools and mindset, you can navigate the complexities of the CBD Shopify market and achieve sustainable growth, whether you sell CBD on Shopify or explore alternatives like BigCommerce.
See: Grow Your BigCommerce CBD Store
FAQ’s About Selling CBD on Shopify
Can you sell CBD on Shopify legally?
Yes, you can sell CBD on Shopify as long as your products are hemp-derived and contain less than 0.3% THC, complying with the 2018 Farm Bill. You must also follow all state and local regulations where you operate.
How to sell CBD on Shopify without payment issues?
To sell CBD on Shopify without payment problems, you need to use third-party payment processors that support CBD transactions, such as PaymentCloud, Payline, NMI, or Square. Shopify Payments does not support CBD sales.
Can I sell CBD products on Shopify internationally?
Selling CBD on Shopify internationally depends on the legal status of CBD in the target country. Shopify only allows CBD sales in countries where it’s legal. Always check local regulations before expanding internationally.
What are the best practices for Shopify cannabis stores?
Best practices for Shopify cannabis stores include maintaining lab test results, implementing age verification, using compliant payment processors, creating transparent product descriptions, and staying updated on evolving regulations.
