Is Delta-8 THC the fastest growing product of the Cannabis industry?
This year, delta-8 THC, a new marijuana cousin, erupted onto the national scene. It’s being advertised as “weed light” or “the superior version of THC” on the cannabis internet. It’s usually sold as a vape or an edible, and the high is said to be similar to a moderate form of traditional Marijuana.
What’s new is the increased demand for cannabidiol or CBD, a chemical found naturally in the cannabis plant that has been shown to have anti-seizure and other properties. Many companies are offering delta 8 thc for sale because of its increasingly high demand.
What is Delta-8?
Delta-8 THC (or Delta-8-tetrahydrocannabinol) is a cannabinoid found in modest amounts in hemp and cannabis (Marijuana) plants. It’s becoming increasingly popular, and you can find it on the shelves of everything from boutique cannabis dispensaries to convenience stores.
Another reason for Delta-8’s rising popularity is that, unlike THC, it is legal to use in most states. That’s because it’s primarily made from hemp-derived CBD, which is permitted to grow in the United States. Delta 9 THC is used in the majority of THC products. It is the type of THC that has the traditional function-impairing effects. Delta 8 THC is a distinct form of THC that has been difficult to extract in commercial amounts for the previous few decades.
Delta 8 THC is prevalent among athletes, entrepreneurs, and other high-achieving individuals because it provides a mild high without hindering function. It’s vital to recognize that the market for delta 8 THC items differs from the market for delta 9 THC products; yet, there is overlap, and that’s where hemp companies will lose revenue.
Delta 8 THC Market Growth
According to the January 2021 Hemp Benchmarks study, demand for delta-8 THC, which is produced from extracted CBD rather than sourced from hemp plant material, is increasing. Crude CBD oil, CBD isolate, and some wholesale CBD products are all benefiting from this. Hemp Benchmarks has noticed a constant drop in pricing as delta-8 THC’s popularity grows. Even though delta-8 THC trading volumes are still a modest percentage of those for CBD goods, it is the hemp sector’s fastest-growing product as of the January report.
While some companies have successfully launched Delta-8 brands, stakeholders are divided on whether such items have a market. As Delta-8-tetrahydrocannabinol (THC) popularity grows, uncertainties regarding its legality linger, leaving some business owners questioning if it’s a good market opportunity.
However, due to regulatory ambiguity and the fact that most consumers are unfamiliar with delta-8 THC, the compound’s market potential is now ambiguous. Because delta-8 THC is psychoactive, its customer base may be more similar to delta-9 THC marijuana than hemp-derived CBD and other non-psychoactive cannabinoids, which have a broader appeal. The fact that some companies are already injecting delta-8 THC Distillate into smokable hemp flowers indicates that they are targeting, at least in part, marijuana users.
What are the ways that Delta 8 products are changing the game?
Many D9 fans could not shift to D8 since their favorite products were not accessible in D8 form. The truth is that few people can produce delta 8 THC, much less turning it into a product. Because Delta 8 THC is scarce and difficult to extract, the companies making it now have the advantage of building their brands first.
In the second half of 2020, the market for Delta-8 THC products began to boom, with considerable consumer interest, new firms and innovations entering the area, and accompanying sales growth. However, the regulatory climate around Delta-8 THC has created a “murky” and shifting landscape, with several jurisdictions prohibiting or regulating Delta-8 THC-containing goods.
Growth and expanding regulations have created a mixed picture of the future for Delta-8 THC, with some analysts labeling the market “unsustainable” and others more upbeat about its prospects. The Delta-8 beverage business has seen various innovations. Statistics on the broader cannabis beverage market show that the beverage form has seen significant growth because of its ease, social acceptability, and non-alcoholic alternative.
Delta-8 THC Current Market State
- Delta-8 THC, a “hemp-cannabis derivative” that lives “on the border” between Marijuana and hemp-based CBD, is experiencing a boom in national popularity and the development of Delta-8 THC products beginning in the second half of 2020.
- Delta-8 THC is a less potent version of Delta-9 THC, the most common THC type in cannabis, with effects such as “pain alleviation, anxiety relief, and relaxation.” Delta-8 THC is currently legally lawful, defined as a “hemp extract” with a THC content of less than.3%. At the same time, its legality remains somewhat “murky” at the state level, with individual state Delta-8 THC rules evolving rapidly.
- Delta-8 THC goods are expected to be the fastest-growing section of the “hemp-derived” products market in 2021, according to a Hemps Benchmark analysis.
- While Delta-8 THC products have done well in states where recreational cannabis is allowed, their present classification as a derivative of Hemp CBD suggests that Delta-8 THC goods have more potential to reach consumers in states where cannabis is still prohibited. According to a survey conducted in 2021, Delta-8 buyers are more likely to live in states with stricter cannabis regulations.
- A cannabis industry consultancy claims that CBD products offered in convenience stores or vape shops are particularly vulnerable to Delta-8 THC competition. According to one Tennessee processor, 20% of their CBD customers had switched to Delta-8, and CBD retailers reported a substantial increase in Delta-8 THC sales in 2020, partly due to pandemic-related worry.
Because they are both psychotropic, the delta-8 consumer market may be more closely related to the delta-9 THC demography, limiting the delta-8’s attractiveness to the broader CBD market. Delta-8 THC education and advertising will be required as a “novel cannabinoid” to guarantee that it does not suffer the same fate as CBG, which has failed to create enough demand to clear excess inventory of what was intended to be the cannabis industry’s newest rising star.
Another reason Delta 8 THC is so popular right now is that it gives you a familiar experience. Delta 8 delivers a similar experience without some of the adverse side effects to individuals used to Marijuana.