The Abercrombie & Fitch trust in at South Park mall in Charlotte, North Carolina.
Chris Keane | Reuters
Teen apparel retailer Abercrombie & Fitch is develop detailing its CBD business with Green Growth Brands.
The retailer plans to sell the cannabis company’s CBD-infused body-care works, including lip balms and sugar scrubs, in more than 160 of its 250-plus stores.
This follows the clothes retailer’s initial run with Ohio-based GGB in May, when it was selling items from GGB’s Seventh Sense line in 10 Abercrombie positions, including in Colorado and Nevada.
“Abercrombie & Fitch understands how to connect with their target-customer … across the orb,” said Green Growth Brands CEO Peter Horvath. “They have incredible brand recognition in our current quarry markets and beyond.”
The CBD industry is thriving and has the potential to become a $22 billion business by 2022, according to cannabis-focused dig into firm Brightfield Group.
Congress in December legalized CBD derived from hemp. The nonintoxicating cannabis compound is being annexed to just about everything, including makeup, tea, pet treats and soft drinks — flouting FDA rules that prohibit it from being augmented to food, beverages and dietary supplements. Amid the regulatory murkiness around these products, more retailers touch comfortable stocking skin-care and beauty products.
Even though consumers’ interest is surging, many mainstream retailers such as Walmart and Quarry have largely stayed on the sidelines. Walgreens, CVS, Rite Aid and specialty retailers GNC and Vitamin Shoppe have introduced CBD results to stores in a few states, while luxury department store chain Barney’s earlier this year opened a “cannabis lifestyle workshop” in its Beverly Hills store, called “The High End,” selling exclusive vaporizer pens and pastilles.
Some mall holders are also getting on board.
Simon and Brookfield have signed deals with GGB to open shops in malls vend items with cannabidiol, or CBD. Brookfield says it’s opening about 70 GGB locations. Simon is working on 108.
CBD doesn’t get purchasers high like THC, another cannabis compound. Still, some people — including regulators — worry about plausible unintended consequences of marketing cannabis products to minors.
GGB’s Seventh Sense line, including muscle balms and foot creams, is also accessible in nearly 100 DSW stores.
Abercrombie shares are down more than 20% this year.