With the recent clamor about cannabidiol products, Google is starting to review its prohibition on these products in their advertisements. According to a seller of CBD products, companies interested can pay to advertise in this platform with one restriction – to not use the term ‘CBD’ in the advertisements.
Google, the world-famous search engine used to prohibit companies with CBD in their products from advertising in their portals. CBD was listed under its unapproved pharmaceuticals and supplements category which led retailers and distributors relying on search engine optimization.
Shedrack Anderson, co-founder of the CBD-infused skincare line Chllyo LP, said that Google has invited him to participate in the trial of this project. Participants are able to buy advertising through the Google Ads portal. However, Anderson did not state how many retailers are part of this program or when Google plants to introduce this to the public.
Anderson when on to say that just recently, Chilyo was able to submit advertisements for review to Google’s Ads platforms. This is to check if sellers are following regulations such as “no use of the term ‘CBD’” in their ads. According to the CEO, Google urged him to use phrases such as “full-spectrum hemp” to replace CBD names.
In a recent statement made by a Google representative, the prohibition of sellers advertising CBD products is still in effect and that the trial program is not being made.
CBD – A Booming Industry
In 2018, the industry value of CBD was estimated to be $1.9 billion. But in the recent forecast of BDS Analytics, the industry can reach a valuation of $20 billion by 2024. Add this to the tetrahydrocannabinol (THC) products, and this can spike up to $45 billion.
However, there is confusion on the advertisement of CBD products. The 2018 Farm Bill lifted the ban on industrial hemp, but the Drug Enforcement Administration’s list of controlled substances still has cannabidiol.
But where advertising is concerned, Google is not the only platform imposing strict guidelines on CBD advertisements. Facebook Inc.’s regulations are as strict taking down advertisements that have CBD in their products. Likewase, the company prohibits the sale of marijuana and non-medical drugs. As Facebook owns Instagram, these regulations also apply. To add to that, Amazon.com Inc. also doesn’t allow for CBD products or CBD-infused products to be advertised on their site.
Google is forecasted to be the world’s largest digital ad seller this year with a market share of 31.3% in global ad spending which is equivalent to $103.73 based on eMarketer. Currently, Google has suffered a slow growth in the first quarter of 2019 with just 17%. This is the slowest growth the company has seen since 2015.
All information is for general informational and educational purposes only. Nothing should be interpreted as legal or wellness advice.