• Advertisement
To advertise, place classifieds free ads by category in a forum as a new topic, or in the classified display ads section, or start a classifieds free blog.

American Eagle to start selling cannabis-based balms, lotions this year

American Eagle to start selling cannabis-based balms, lotions this year

Postby smix » Thu Jul 11, 2019 11:45 pm

American Eagle to start selling cannabis-based balms, lotions this year
Reuters

URL: https://www.reuters.com/article/us-amer ... SKCN1U61H5
Category: Business
Published: July 11, 2019

Description: (Reuters) - American Eagle Outfitters Inc will start selling cannabidiol (CBD)-infused personal care products in the United States later this year, entering a market that has seen booming demand among the apparel retailer’s core younger customers. The retailer will sell CBD-infused lotions, muscle balms and aromatherapy products developed and supplied by Green Growth Brands Inc, the Toronto-headquartered cannabis company said on Thursday. The products will appeal directly to American Eagle’s mainly millennial audience as they view CBD as the next big trend in lifestyle focused on health, analysts told Reuters. CBD is a non-psychoactive chemical found in cannabis plants that is known to ease anxiety and other ills without causing a high. “American Eagle’s image is about positive messaging and wellness, so it’s not shocking that they would have CBD-infused products,” Jane Hali & Associates analyst Jessica Ramirez said. “The products complement their brand and customers.” The market for cannabis-based personal care products is getting increasingly crowded, with a number of companies including French luxury goods maker LVMH’s Sephora beauty chain and ULTA Beauty Inc already selling such products. However, the regulatory environment around CBD products is still cloudy, with many major retailers refusing to stock items made with the cannabis derivative until it is made legal at the federal level. Companies such as American Eagle will have to tread carefully due to a possible threat of a crackdown on the cannabis industry by the federal government, A Line Partners analyst Gabriela Santaniello said. That has not stopped cannabis companies from developing their products and finding new retail partners as demand continues to grow. This is the third major wholesale deal for Green Growth since the passage of the U.S. farm bill in December that legalized the cultivation and sale of hemp, a cannabis plant different from marijuana. Green Growth said American Eagle is expected to start sales of the products in nearly 500 stores and on its website in October. The addition of CBD products on American Eagle’s store shelves could bring in curious younger customers, Santaniello said. “In terms of how its going to drive the top-line, It’ll have a halo effect.” American Eagle shares have fallen 14% this year owing to a disappointing profit forecast in March and trade tensions weighing on the retail sector.
User avatar
smix
 
Posts: 1893507
Images: 1
Joined: Sat Aug 10, 2013 8:05 am
Blog: View Blog (0)

  • Similar Topics
    Replies
    Views
    Last post

Return to Medical Marijuana - Cannabis


Mobile Device
  • 1
  • FREE CLASSIFIED ADS
    Free Classified Ads
    There are 3 ways to advertise - your choice: you can place free ads in a forum topic, in the classified display ads section, or you may start your own free blog. Please select the appropriate category and forum for the ad content before you post. Do not spam.
    Caveat emptor - let the buyer beware. Deal at your own risk and peril.
  • Advertisement