By Nicole Brown
Groundbreaking advancements have dominated the cannabinoid market over the past decade with some of the industry’s largest brands seeing double-or triple-digit year-over-year growth.
Although constant growth has been the theme of this past decade, constant change now defines it. And there’s plenty of that ahead in 2021. From exciting newcomers to established powerhouses, brands are taking a valiant, intelligent approach to product development. Here are the most watch-worthy trends for cannabinoid products this year and beyond.
Focus On Need States, Such As Stress and Anxiety
Exploding anxiety rates and associated mental health issues will provide hemp and cannabinoid brands with new opportunities to promote the efficacy of cannabinoids. There is an increased focus on this niche, need-state market, and catch-all CBD product development and messaging (“CBD is good for everything and everyone”) will be replaced with more targeted product innovation and marketing campaigns.
- More than 25 percent of new market entrants purchased cannabinoids to cope with pandemic-related stress and anxiety, according to High Yield Insights.
- With more than 83 percent of U.S. employees reporting mental health issues, and a whopping 67 percent of U.S. employers projecting a mental-health crisis within the next two years, there will be heightened partnership and growth opportunities in cannabinoid products focused on stress, anxiety and sleep.
Novel Cannabinoids Ingredients
To deliver on the product promise for targeting specific need states, it is a smart strategy to explore formulations with the more novel and rare cannabinoids ingredients. For example, recent research showed that CBDA can act as an effective anti-inflammatory agent, while another study found that CBDA was a thousand times more powerful than CBD for anti-anxiety effects. Other rare cannabinoids such as CBN and CBDV further possess potential for deep relaxation and relief, while THCV can support increased energy and focus.
Organic, Natural, and Clean Products
Generally, there has been a shift in consumer trends this past year toward natural, clean, and organic products. A Bloomberg report released earlier in 2020 revealed that COVID-19 had accelerated organic food sales in the U.S. due to increased demand for health-conscious foods and drinks. For example, organic food and beverage sales surged 25 percent during the 17-week period ending June 27.
The demand for plant-based ingredients will be high this year across the entire natural products industry. In terms of ingredient trends, “botanical ingredients including hemp CBD, sea buckthorn, shea, bakuchiol and radish extract are on the rise in the natural personal care space.”
Complementary Ingredients
More brands are (smartly) using cannabinoids as the anchor to a more complex formulation of value-add ingredients. Cannabinoids will evolve more into that space rather than being perceived and sold as a silver bullet all on its own (unlike THC). These more sophisticated formulations, targeted at supporting specific wellness needs (e.g., sleep, anxiety, stress, pain) are easier for the customer to understand and largely quite effective.
- Collagen: Many in the beauty and wellness industry continue to boast about the incredible benefits cannabinoids and Collagen can offer. Collagen is the body’s main protein component of connective tissue, and makes up about 25 percent to 35 percent of the whole-body protein content. Scientists have discovered in clinical trials that combining these two super nutrients improved skin health and anti-aging effects by increasing the skin’s hydration, and repairing regenerative tissues.
- Functional Mushrooms: Medicinal mushrooms — also called functional mushrooms — are increasingly relevant, much like cannabinoids, because of their ancient healing powers on an array of modern-day ailments. These fungi superfoods contain bioactive compounds that have been shown to have health-enhancing effects in the body, bringing with it a combination of unique healing properties. In a subtle, natural way, mushrooms normalize and optimize body system functionality. These ingredients include chaga (Inonotus obliquus), reishi (Ganoderma lucidum, Ganoderma tsugae), lion’s mane (Hericium erinaceus), cordyceps (Cordyceps sinensis, Cordyceps militaris), maitake (Grifola frondosa), shiitake (Lentinula edodes), and turkey tail (Trametes versicolor).
- Nootropics: Although they have a fancy name, nootropics are actually pretty common — L-Theanine is found in tea, but also comes in the form of a supplement; Creatine, a popular bodybuilding powder, fuels brain cells; and even caffeine, the one thing many of us can’t live without, is a nootropic. With Unilever’s recent acquisition of Onnit, whose hero products feature nootropic ingredients, these mentally stimulating supplements are going mainstream. More products will be boasting the energy-managing, cognitive-enhancing and mood-moderating effects of adaptogens, as unwinding consumers continue to seek holistic and preventive ways to manage their mental health.
Mental Health Supplements
The number of people diagnosed with a mental health disorder was one in ten people globally – and anxiety outpaced those suffering from depression, making it the most prevalent mental health disorder. Now, many people are turning to CBD to treat their mental health disorders, rather than commonly prescribed treatments.
In 2019, the consumer research firm Hartman Group identified the prevalence of anxiety, depression, fatigue, and stress as motivating factors for individuals to prioritize their mental and emotional health. With the many routine disruptions and additional stressors resulting from the pandemic, including social isolation, supporting mental health has now become even more essential.
These health concerns are reflected in supplement trends. A recent insights report by Coherent Market Insights anticipates that the global brain and mental health supplement market will grow at a rate of 8.5 percent in the next six years, reaching more than $13 million USD in 2027. Popular supplement ingredients in this supplement trends category include:
- Acetyl-L-carnitine (ALCAR)
- Alpha-glycerophosphocholine (Alpha-GPC)
- Citicoline
- Docosahexaenoic acid (DHA)
- Herbal extracts (e.g., curcumin, ginkgo biloba, ginseng)
- Lion’s mane mushroom
- Vitamins, particularly B-complex vitamins and vitamins C and E
Closing Thoughts
With the ever-expanding category reach, cross-demographic potential and therapeutic range, it is an exciting time to be a product developer working with cannabinoid ingredients. The new avenues of developing products featuring novel cannabinoid ingredients coupled with complementary co-actives, focusing on need states such as anxiety, sleep, pain and mental health, are just a few of the most exciting breakthroughs in the market to date.
As the science behind the health benefits of the individual cannabinoids and cannabinoid mixtures develops, the market is ripe for a plethora of new products. With consumer awareness and acceptance of the true medicinal benefits to be gained from cannabis at an all-time high, there has never been a better time for product formulators and manufacturers to start working with rare cannabinoid ingredients.
Nicole Brown serves as Chief Innovation Officer for Open Book Extracts (OBX), an ingredient manufacturer and product development house focused on cannabinoid-enabled health and wellness, located in North Carolina. As Chief Innovation Officer, Nicole channels data-driven consumer insights into a long-term course of action, delivering immediately usable innovation, and drives awareness and thought leadership by overseeing strategic marketing efforts, including PR, event marketing, advertising, and partnerships.
