CBD Quantitative Consumer Study Report

2020 North American CBD Market: Opportunities & Challenges
CBD Quantitative Consumer Study Report

CBD Quantitative Study among 5,000 North American consumers in February/March 2020 (4,000 US consumers and 1,000 Canadian consumers).

90+ pages/slides of current analysis, commentary, and learnings, with consumer knowledge, behaviors, implications, purchase insights across CBD CPG categories!

Site License: Includes PDF, PPT with access to charts and site rights for internal network usage across one company BRAND/location.
Price: $8,000 Order Report

NMI's Groundbreaking Multi-Phase Research on the Impact of the Whole Cannabis Plant on Consumers

NMI conducted a comprehensive research project surrounding cannabis. It is the first and only study to examine the impact of the whole cannabis plant — including CBD, marijuana, and hemp — and its impact on whole health across general population adults in the US and Canada.

This report represents the Phase 3 portion of the project

Phase 1: 9 online US focus groups with consumers in October 2019 (60+ consumers). Separate Qualitative report available.

Phase 2: Industry & Market Analysis: 5-year review of cannabis-related in-market activity in November 2019. Separate report available

Phase 3: Quantitative Study: among 5,000 North American consumers in February/March 2020 (4,000 US consumers and 1,000 Canadian consumers).

Phase 3 - Table of Contents

Introduction
Methodology
Definitions of Groups
The Institute's Health & Wellness
Consumer Segments

Executive Overview of CBD

On the Radar But Not Well Understood
A $70 Billion Potential Market Opportunity
Not All CBD Users Are Created Equal
CBD in a Category of Its Own
Most Popular CBD Product Categories and Formats
CBD Pet Care: An Emerging Market
A Potential Market Disruptor
Education: The Key to Driving CBD Growth

Executive Overview of Marijuana

Everyone is Aware of Marijuana. But Conflicting Perceptions Exist
Usage Rates Show Upside Market Potential as Legality Grows in the US
Clear Generational Differences Driven By Millennia's
Forms Used Skew Toward Plant/Bud/Pre-Rolls

CBD Consumer Awareness and Level of Feeling Informed
US cm Word Association: Top of Mind Word Cloud
Canada CH Word Association: Top of Mind Word Cloud
US - CH Usage Demographic Profile
Canada - CBD Usage Demographic Profile
US - CBD Usage Frequency by Health 6 Wellness Segment
Canada - CM Usage Frequency by Health B Wellness Segment
Familiarity with Cannabis Compound Terminology
CBD Trial by Generation and Health 6 Wellness Segment
CH Recent Use by Generation and Health 6 Wellness Segment
CH Use vs Intent vs Rejection
Top Purchase Influences for CBD Products
Secondary Purchase Influences for CBD Products
Initial Path to Purchase Steps for CM Products
Key CBD Product Purchase Drivers
Perceived Benefits of CBD
US - Generational Differences in Perceived Benefits of CBD
Canada - Generational Differences in Perceived Benefits of CBD

Consumer Preference for CBD Supplement Product Formats
Projected Market Sizing of CBD tummies
Opportunity and Drivers Among Various CBD Supplement Formats
Generational Differences in Daily Usage of CBD Supplements
Current User vs Intender Differences in Daily Usage of CBD Supplements
CBD Supplement Gummy. OTC Product Trade-Off Behavior
Switching Rationale for Trading OTC and Rs Medications for CBD Products
Products Impacted by Consumer Trade-Off in Favor of CBD Supplements
US - Opportunities for CBD es Therapy for Health Conditions

Consumer Usage of CBD Food and Beverage Product Types
Consumer Favorite CBD Foods and Beverages
CBD Foods and Beverages - Trade-Off Behavior with Current Products
CBD Foods and Beverages as Replacements for Other Products
US - CBD foods and Beverages as Treatments for Health Conditions
Canada - CBD Foods and Beverages as Treatments for Health Conditions

Consumer Usage of CBD Personal Care Product Types
CBD Body/Facial Care Usage by Generation. Health B Wellness Segment
CBD Personal Care Product Trade-Off Behavior with Current Products
US - CBD Personal Care Products as Treatments for Heahh Conditions
Canada - CBD Personal Care Products as Treatments for Health Conditions

Pet Ownership
COD Pet Care Product Use
Usage of CBD Pet Care Products by Generation
Usage of CBD Pet Care Products by Health 6 Wellness Segment
Projected Market Sizing of CBD Pet Care Products

Consumer Openness to Using CBD DEC or Prescription Medications
Awareness of and Perceived Uses for Epidiolexe
Projected Market Sizing of CBD Prescription Products
Projected Market Sizing of CBD OTC Products
CBD: Strategy Development. Overcoming Barriers
Overall Barriers to CBD Use
Lack of Education About CBD Fuels Many Barriers

Overall Barriers to CBD Use
Lack of Education About CBD Fuels Many Barriers
Consumer Concerns of Drug Test Failure a Psychoactive Properties
Key Persuaders to Drive Non-User Trial
Overcoming Usage Barriers

Purchase Influences: In-Store Efforts are Key for US Consumers
The $105 Billion Potential Market Size is Impressive
Strong Interest Exists in US Expanding Legality
Converting Non-Users May Pose an Uphill Battle

Executive Overview of Hemp

Familiarity and usage of hemp is currently law and driven by WELL BEINGS, FENCE SITTERS and Millennia's
There exists some confusion about what hemp is and what the benefits are.
Education and marketing efforts are vital to broaden the reach of this category.

Popularity of CBD Products by Category
US - Popularity of CBD Product Categories Among Usage Groups
Canada - Popularity of CBD Product Categories Among Usage Groups
Shopping Behavior - Where Consumers Expect to Find CBDProducts
Primary Drivers for Using CBI) Products
Secondary Drivers for Using CBD Products
The Untapped Opportunity Among Non-Users
The Non-User Opportunity by Generation and Segment
US - CBD Consumer Groups by Alcohol B Tobacco Use
Canada - CBD Consumer Groups by Alcohol B Tobacco Use
Overview of the CBD Market Size

Canada - Opportunities for CBD as Therapy for Health Conditions
Perceived Efficacy of CBD Supplements or OTC Medications
Loyalty to CBD Supplements/EC Medications Currently Using
Brand PerceptMn of CBD Supplements and OTC Medications
Projected Market Sizing of CBD Supplements

Brand Perception of CBD Personal Care Products
Projected Market Sizing of CBD Personal Care Products

Brand Perception of CBD Personal Care Products
Projected Market Sizing of CBD Personal Care Products

Consumer Concerns of Drug Test Failure and Psychoactive Properties
Key Persuaders to Drive Non-User Trial
Overcoming Usage Barrier

NMI Health and Wellness Consumer Segment
Five Distinct Segments within the Population
Snapshot: WELL BEINGS • Snapshot: FENCE SITTERS
Snapshot: FOOD ACMES • Snapshot EAT. DRINK B BE MERRYS
Snapshot MAGIC BULLETS

Methodology - Phase 3 Quantitative Consumer Study

Scope:

NMI conducted a comprehensive research project surrounding the whole cannabis plant — including CBD, hemp. and marijuana — and its impact on whole health across general population adults in North America with a focus on pathway to purchase, product opportunities, market sizing, and strategic marketing applications.
The focus of this consumer study examined the attitudes, behaviors, motivations, and purchase interest related to the dynamic. multi-faceted dimensions of whole health, including the impact on human health and that of the planet.

Survey Methodology:

4,000 US adults and 1,000 Canadian adults, nationally projectable to the adult population in each country; accurate at the 95% confidence level to +/- 1.2%
Conducted online February/March 2020
Representative in each country to the general population of adults 18+; balanced across key demographics and nationally projectable
Report released May 2020

Definition of Groups within the Report

GP — General Population Adults (by country)

iGen — born 1998-2001 (Ages 18-21)

Millennials — born 1977-1997 (Ages 22-42)

Young Millennials — born 1991-1997 to (Ages 22-28)

Older Millennials — born 1977-1990 (Ages 29-42)

Gen X — born 1965-1976 (Ages 43-55)

Boomers — born 1946-1964 (Ages 56-72

Matures — born 1900-1945 (Ages 73+)

CBD past 6 month users - used a CBD product* in past 6 months

CBD lapsed user — used a CBD product* but not in the past 6 months

CBD non-users — have never used a CBD product*

CBD Intenders — definitely/probably would use a 880 product* at some point in the future if available where they shop; includes consumers who have ever used CH but not in the past 6 months

All references to dollar sizes are in their local currency (US Dollars, Canadian Dollars)
*oil, tinctures, gummies, capsules, foods, topicals, other forms

NMI's Health S Wellness consumer segmentation identifies five distinct segments within the U.S. general population

For more information kindly contact Steve French, at Steve.French@NMIsolutions.com