Although inflation is driving up the price of most goods and services these days, one area that is actually seeing a decline in prices are CBD gummies. CBD gummies have been all the rage for the last few years. But the raw material price for these tasty little treat used to make them almost three times as much money as regular nutraceutical gummies. The manufacturing world for gummies has undergone some very big changes in the last couple of years with multiple companies going out of business and some being consolidated and merged with bigger brands wanting to get into the space. Improved processes with the extraction facilities has also made the raw material much more available and more affordable.
Of course, no one can predict the future of inflation and what effect it will have on all markets, including the manufacturing of gummies, but for the time being the creation of this popular form of consumables is enjoying a reduction in terms of costs. Having said that, a group out of Salt Lake City is disrupting the market even more basically matching any competitors price on CBD related gummies. That group is Vitapur Labs. We have talked with Chris Hines, one of the principal owners about the price erosion in the market and though it is not good for a race to zero strategy, he told us that what is happening in the market is what happens when there is massive saturation. After the Farm Bill passed in 2018, everyone and their grandma got into the CBD race with most of those groups focusing on gummies. Unfortunately, there were many bad actors and brokers destroying the customer journey. Chris firmly believes that once some of these brokers and people acting like manufacturers and who really aren’t, move on to the next wave, things will settle down and the process of buying gummies for most people will not be so chaotic.
How Are Gummies Made?
When it comes to consumption of vitamins, arguably the most popular delivery system is gummies. The prices are generally higher compared to the solid or tablet versions on the market. This is because creating a gummy involves a different and more complicated process compared to making a tablet. And while most people might not know, making quality nutraceutical or CBD gummies takes a true level of skill and know how. Not to mention, very expensive and large equipment that is not easy to run.
A typical gummy is made of sucrose, corn syrup, starch, gelatin, and water. In some cases, food acids such as citric or malic are added to enhance flavor. The ingredients are mixed together in the proper proportions into a slurry, then deposited in molds, then sent down a cooling tunnel and the result is that a gummy is formed. This is a gelatin-like or pectin based product that is soft, easy to chew and may have different colors or flavors depending on what different elements are added. Sounds easy enough, right? Wait right there! it’s not that easy. When making quality nutraceutical or CBD gummies, many things can go wrong. If the PH balance of any of the active ingredients interacts with another active component, the gummy will not form. If the humidity in the clean rooms is not exactly at the perfect level, the gummy will not settle properly. These are just a couple of things that can happen to completely destroy your batch and unfortunately you could have a very big mess on your hands. Most major supplement manufacturers do not even make their own gummies but send their orders to designated vitamin and CBD gummy manufactures such as Vitapur Labs.
Same Gummies Different Price
For the CBD industry, gummies have proven to be a popular product. They are easy to consume, they can be carried around easily, and they come in different colors and flavors. The rise of the cannabidiol industry over the past few years has been quite astonishing. Of the many CBD products on the market today, gummies have proven to be one of the most popular. There are good reasons for this, but it is really a combination of taste, convenience, and storage that makes gummies such a popular item. And CBD manufacturers have seized upon this trend, creating a wide variety of gummies that include different cannabinoids both psychoactive and not. It’s not only the demand, but until recently the manufacturing process that made creating gummies slightly more expensive. But now with the price wars, these gummies that used to cost four times more than a regular nutraceutical gummy are basically the same price.
What Is The Future On The Price Of Gummies
For larger manufacturers, the price is not only dictated by the cost of the materials, but the demand as well. Even with the soaring inflation that everyone has inevitably felt over the last year or so, the price of gummies will not be affected. With the cheaper raw material pricing as well as the stiff competition in the manufacturing space, we believe at Metapress that the future of gummies will to be going up any time soon.
For those who are looking to have bulk gummies made, this is a great time to talk to a manufacturer. If you are interested in learning more about creating a custom CBD gummy, reach out to Vitapur Labs. Vitapur Labs is leading the way in terms of keeping the prices of CBD gummies at rock-bottom levels while creating a high level product.