Q&A: Kadenwood’s Dickens highlights company’s CPG approach to CBD

Drug Store News: Tell us about Kadenwood. What makes the company unique?  
Eric Dickens: Kadenwood is unique for several reasons. First, we were founded in 2019 by consumer packaged goods professionals who have spent decades launching and leading household brands. Secondly, we have rapidly emerged as one of the largest vertically integrated suppliers of CBD in the United States through our acquisition of EcoGen in 2020, giving us unparalleled quality, cost and scalability advantages. And finally, our medical advisory team is led by former surgeon general Dr. Richard Carmona. We also have an industry-leading $30 million marketing support plan, including an exclusive television arrangement with the Discovery Network of stations specifically focused on building brand awareness and driving retailer traffic.   

DSN: The CBD category continues to entice mass retailers. What do you think is happening in the marketplace right now?
ED: There is really a tale of two cities in the marketplace today: We have retailers that have chosen to sit on the sideline, waiting for the FDA to weigh in, while there are many others who have leaned in with first-generation CBD brands who are unfortunately struggling to show year-over-year growth. In both situations, there is untapped potential, and we at Kadenwood hope to work with all retailers to share our expertise and to help them capitalize on the explosive interest and opportunities for growth.

DSN: What do retailers need to do to build sales in the category?   
ED: We feel strongly that retailers need to draw upon basic CPG fundamentals that have proven to work in nearly all other categories. Specifically, CBD brands should first and foremost contain high enough CBD levels to deliver upon consumer expectations. Today, far too many brands have too low of CBD levels to deliver a benefit, which is leading to a lack of repeat and loyalty, and overall sluggish sales. Secondly, we need to make CBD more affordable to the average consumer through better value, lower price points, OPP, trial and entry pacts. And finally, brands need to do their part by investing in demand creation. No other brand invests to the levels of Kadenwood, and we set a new high bar on all of these very important elements.

DSN: What is Kadenwood doing in terms of products and marketing to push sales?
ED: Kadenwood is continually innovating across our multiple brands, including Level Select, our performance-based CBD line of topicals, oil drops and gummies; Purity Organic CBD Hot Teas; and our newest launch, Purity Preferred pet CBD products, consisting of oil drops, hip and joint balms, and chews, as well as very high levels of CBD Plus added functional ingredients. All of our science-based formulas are proprietary and are supported by industry-leading marketing plans, including national television and radio, influencer and digital/social campaigns, and best-in-class trade and retailer support plans. For consumers, we offer tremendous value through lower price point options and by offering the absolute lowest retail price per milligram of CBD of all our leading competitors.

DSN: What does the future look like for the CBD category?   
ED: The category has exploded and consumer interest in CBD has never been greater. We believe that retailers and consumers are becoming more educated and more sophisticated in terms of their expectations around CBD and this is why, although Kadenwood may be a new player onto the scene, we are confident that we are best positioned to help the category and retailers expand and grow.