UK CBD company Goodrays specialises in a range of food and drink products – with the aim of educating the consumer and bringing CBD into the mainstream.
Founder and CEO of Goodrays, Eoin Keenan, has been in the cannabis and CBD industry since its fruition. Studying Drug Policy at Trinity University, Dublin, and using CBD and cannabis as anxiety and stress relievers Eion says he has long been an advocate for the plant’s use.
Keenan left a job in a tech business and headed for Canada and California to better understand the cannabis market, working with cultivators and manufacturers.
“I was really interested in the space and helping to pursue policy but, also to see if we could bring this to the masses and actually change the legislation,” said Keenan.
Read more: Growing pains – fresh challenges for the UK’s CBD industry
“They really took me under their wing – what they taught me from a commercial standpoint was that the three areas of growth were in the ancillary services, in innovation and how we deliver cannabinoids and, on the brand side.
“How do we actually build brands that people can connect with, people can get educated from and that also can get really strong distribution and strong products as well?”
The beginnings of the UK CBD industry
Eoin returned to the UK with this knowledge in 2015 when there was a very limited industry in the country. He began helping to build the industry – including analysis company Prohibition Partners, and one of Europe’s most well-known B2B cannabis platforms Cannabis Europa.
Keenan commented: “I wanted to help bring together industry leaders from business and from pharmaceuticals, but also political leaders to help advance legislation. But, I think the dream was always moving to the consumer side – bringing CBD and good quality products to the masses was always a vision.
“I wanted to take it mainstream, put it on to grocery stores, marketplaces, distribution points from airlines and retail.”
A key aspect of bringing quality CBD products into the mainstream, says Keenan, was also centred around educating the consumer.
“I was really good at educating people on simple questions around CBD and educating people on what they need, what dose they need, what they should expect, the brand and what should they should look for in products,” he said.
“It has been pretty fun and we’ve now got a full range from CBD drops to CBD gummies to CBD drinks. They fit into different needs states, whether it’s middle of the day relaxation, mid-afternoon functional drinks or evening time. They are really positioned around relaxation and anti-stress, which, for me is the most interesting and the most relevant part of CBD – but also commercially the biggest opportunity.”
Keenan, who is also very interested in cannabis cultivation, says watching the industry develop in the UK has been fascinating. He highlights that cultivation and manufacturing saw a huge amount of investment in the beginning when the market had few serious brands.
“Now, of course, there are really great brands that exist,” he said. “However, at the end where consumers were interacting with CBD – there wasn’t a mass there. Early on, I could see that it was a gap in the market and, for me, it’s the most valuable part of the market.
“Budweiser doesn’t own hop farms – they own the brand – and I think that’s probably the most long-term valuable piece, as well as having good distribution, a loyal community and a loyal consumer base and the infrastructure to scale up.
“We’re not interested in being a vertical supply chain, we’re interested in being a specialist brand.”
The UK CBD industry now
Eoin highlights that the Novel Foods process has catalysed the industry – removing, he says, non-compliant products from the shelves.
He commented: “It has been really difficult for smaller brands because of the expenses but also because of the uncertainty. It’s very difficult for small brands to raise capital amongst that uncertainty, and to secure distribution amongst that uncertainty as well. It’s a really difficult position for small brands to be in if you don’t have serious financial backing to survive.
“But I think ultimately, for consumers, it’s probably a good thing to have increased regulation. It just probably hasn’t occurred the way most people would have wanted it to occur. These things take time and they’re difficult to do right. So it’s, it’s to be expected that it is a lengthy process at the same time.
Keenan says the UK has become an interesting CBD market, and that looking at the global markets, the US and the UK tend to be the most innovative food and drink markets.
“We tend to be very much on the cutting edge of innovation and also I think the UK population, particularly London-centric and urban centres tend to be quite stressed out,” said Keenan. “So, they’re looking for these kinds of wellness solutions. So, I think it’s become an interesting market and we find European partners looking to the UK for innovation as well.
“Despite all the regulatory changes, it’s become a real hotspot of innovation.”
Eoin says the UK CBD industry is heading in a positive direction, with regulation, research and compliance contributing to a boost for investment back into CBD.
“It will give a boost to retailers to jump in on this and start stocking it. This is something that’s going fully mainstream – by the end of this year, every big grocer will stock it. Everyone should have access to CBD either at the click of a button, or within 5 to 15 minutes of their house. So, I think that’s quite exciting for this year.
“Long term, the reality is that the CBD market opens pathways for other cannabinoids as well, whether that be cannabinoids that are under current research and can help them with other solutions.
“For me, Goodrays is a passion project as much as it is a business, so I’m interested to see where it goes in five to 10 years’ time. And that’s why we educate people on the plant and why we want that full mainstream distribution.”
After closing its second funding round earlier this year for £2.5m, Goodrays will now be working to scale up the business. With products already featuring stores such as Selfridges and Amazon and a partnership with Anytime Fitness, the company expects to see increasing retail appearances in the coming year.
[activecampaign form=31]
