The deals keep flowing in the CBD-infused beverage category, with new partnerships involving Bhang Inc., Jones Soda, Elev8 Hemp and American Premium Water, which is unleashing CBD water for dogs.
Craft soda provider Jones just sold shares of its stock worth $9 million to HeavenlyRx, which is an international, hemp-focused portfolio company. Along with financing product extensions, Jones plans to use the capital to develop and market CBD-infused beverages.
HeavenlyRx also will leverage its relationships with several thousand quick-serve restaurant locations to increase the number of locations where Jones products are sold.
“We believe that HeavenlyRx seeking out the Jones brand is a testament to our beverages that resonate well with consumers, and we expect their involvement will help accelerate future CBD-infused beverage brand development,” says Jones Soda CEO Jennifer Cue.
Elev8 Hemp is best known for its ready-to-drink, CBD-infused canned iced coffee and lemon-flavored, bottled iced tea. The Orlando-based company recently reached distribution deals with McLain Distribution, NorthStar Exposure and Organic Distribution. The result will be greater reach for Elev8 in Alabama, Indiana, Tennessee, Wisconsin and other Midwestern states.
In August, American Premium Water will launch Lynks CBD Pet Water on the SingleSeed website. SingleSeed already sells American’s LALPINA Hydro CBD water along with a variety of CBD-laced products not only for humans but for cats and dogs, including biscuits and soft chews. Lynks CBD Pet Water is a joint venture with LinkRes Pets.
“The Company's LALPINA CBD Water has been a top seller for us on SingleSeed,” says SinglePoint President Wil Ralston.
Bhang Inc. sells more than 100 cannabis, hemp-derived CBD and terpene products. Now it has a joint venture with organic coffee house Oceana under which Bhang will control the production of CBD coffee products produced under the new Bhang brand Röst, as well as terpene (another active compound in marijuana) coffee products branded Cosmic Terp.
The first shipment of Bhang’s 5,000-pound coffee bean allotment to be used for the CBD and terpene beverage lines was grown in Honduras.
The ongoing proliferation of CBD-infused products comes with myriad claims of mental and physical benefits. For example, American says its products for pets can help reduce stress, separation anxiety, pain and inflammation.
So how are consumers to judge the efficacy and value being proffered?
“A lot of it is going to come down to trust,” says Scot Keith, founder and president of Vancouver-based agency One Twenty Three West. “If there's a brand that already has trust and is going to do a CBD version, then those who believe in the health benefits of CBD are very likely to trust that it will help them. Much like when a brand has things like Vitamin C or vitamins or anything in it that will [allegedly] help their health.”