A recent review of online CBD start-up interest, analyzed by state, revealed some expected information and some surprises.
SCARBOROUGH, Maine, March 18, 2020 /PRNewswire/ — First, the expected: According to new CBD start-up information provided by the CBD payment solution Organic Payment Gateways, Washington, DC, Vermont, and Colorado have the highest rates of online CBD start-ups when adjusted for population. Washington, DC is the most active. Due to the long history of cannabis acceptance in these states and in DC, beginning with medical cannabis and culminating with both recreational cannabis and the prevalence of hemp-based, low-THC CBD, this information is not surprising.
The low density of start-ups in places like Utah, Louisiana, Arkansas, the Carolinas, and the Dakotas is also not surprising given the relatively slow rates in which those states have adopted more lenient cannabis regulations. Although the data released by Organic Payment Gateways focused only on new CBD sites inquiring directly with the company about online payment processing, their broad national reach and geographically agnostic approach add validity to this data. Additionally, the high rates in places like Vermont and low rates in places like the Carolinas all pass what could be called “the sniff test” in terms of expectations.
States like Virginia, Georgia, Texas, and Oklahoma are reasonably tolerant of low-THC cannabidiols. The moderate but healthy levels of online CBD start-up inquiries in those states seem to reflect the regulatory environments. What is most surprising about the data is, paradoxically, how unsurprising much of it is. States that have tolerant cannabis cultures and regulations seem to foster far more online CBD start-ups than those that don’t. The inverse is also true, according to Organic Payment Gateways’ internal data.
This does not mean that every state and region lines up perfectly with expectations. On the surprising side, California and Oregon show only modest online CBD start-up activity when adjusted for population. According to Alex Roy, president of E-commerce 4 LLC, which is the parent company of OrganicPaymentGateways.com, the difference may have to do with market maturity. “The data we used for this internal study was comprised of start-up processing inquiries from the past 12 months. The fact that California and Oregon show only moderate activity may have to do with the relative maturity of the CBD markets in those states, in addition to the high level of established e-commerce businesses that have historically operated in tech-heavy markets like California.”
Based on previous information published within the “CBD Basics” section of the Organic Payment Gateways website, online start-ups are flocking to familiar site builders and shopping carts like WooCommerce and Shopify to build their online CBD stores, along with a select but growing number of businesses that are choosing more marketing-specific platforms like ClickFunnels – regardless of region.
Organic Payment Gateways is a CBD-focused payment gateway provider based in Maine that focuses on placing legal, US-based CBD businesses with easily integrated payment gateways. According to their site, OrganicPaymentGateways.com, they help CBD website owners sell online using the shopping cart and platform they already have in place. To learn more about their CBD payment gateway decision tools, visit their site directly at https://organicpaymentgateways.com/cbd-payment-gateways/.
To see more details and a ranked list of states by online CBD start-up activity, visit https://organicpaymentgateways.com/cbd-start-up-activity-by-state/ .
SOURCE Organic Payment Gateways