Charlotte's Web: "The CBD of MLB" (MLB's Newest Venture in Sponsorship)

Many things in MLB are changing, bigger bases, runners on second in extra innings, and now new sponsorships. In the ever-evolving world of the decriminalization of marijuana, more and more athletes and fans are using non-THC binding supplements. MLB is the first of the “League” sports organizations to use it in a sponsorship role, starting with advertising during the World Series. 

Charlotte's Web makes CBD products such as gummies and topical sprays. CBD is short for cannabidiol, a compound found in the cannabis plant and touted as a natural remedy for reducing inflammation and stress. MLB will have its logo on a "sport" version of CBD that would show that athletes use it, too.

CBD products are easy to acquire in a fully legal state; one could eschew the dispensary in favor of a pharmacy and find products like Charlotte’s Web lining a wall behind the cashiers. Although their effects can vary according to the product (ointment, tincture, and even lip balm), they generally offer a soothing, relaxing feeling that can work perfectly with the post-game de-stressing that athletes (or people in other stressful professions) undergo. Each person will respond differently, however, the result is relief from pain, or to have the ability to relax or sleep.

MLB has been entertaining the idea of Charlotte's Web as a sponsor but needed a little more assurance before signing on the dotted line. Aside from Nascar, MLB will be the first of Major League Sports to join CBD companies for sponsorships to sign a league-wide deal. Noah Garden, Chief Revenue Officer a representative from MLB stated in an article with Marijuana Moment, "We've been watching this category for a while and waiting for it to mature to the point where we can get comfortable with it. Our fans are the customers they are looking for, and we like being first. It's a good opportunity for us and the clubs." 

Baseball is constantly looking for ways to make improvements to the game so that younger fans are more likely to stay interested. From changing the pace of play with pitching clocks to adding CBD as a sponsor.

It’s part of several changes in attitude around CBD products. On June 22, 2022, MLB announced that teams could solicit and acquire CBD sponsorships, though players could not individually be sponsored or hold a stake in such companies. In 2019, MLB decided to implement a change to take place in 2020: MLB would not punish players for using it on their off-time or having a positive test, a complete reversal of their previous banned substance, where marijuana would garner a $35,000 fine. 

There are boundaries for obtaining a sponsorship, with rules and guidelines to be followed. For example, a team could only sell a CBD sponsorship if a prospective company's products were certified by NSF International, a consumer safety and product-testing organization that sports leagues use. The club would also need authorization from the MLB commissioner's office. The CBD must not have any THC, meaning that marijuana products with THC will still fall under the scrutiny of MLB. 

This new relationship is not a pass for players to engage in activities outside the Major League Drug Policy rules. The rule created in 2020 still stands and states; players can be "subject to discipline" by their team or the MLB "for engaging in certain cannabinoid-related conduct, including violations of federal, state or local laws," such as distributing marijuana or driving under the influence.

Cannabis is a large and profitable industry, and with its popularity growing, so has its profit. In 2021 alone, the cannabis industry topped $4.7 billion last year, and now MLB will start to see a cut of those profits. Charlotte's Web has started small with the MLB logo on the side of their "Sport CBD" bottle and is officially known as the "CBD of the MLB." 

There has been no formal statement from the Minnesota Twins, nor any statements on how it would affect minor league teams. Each state has rules and regulations based on its state's marijuana laws. 

Sports sponsorships have gotten away from things like cigarettes and alcohol because of the harm they can do when used in excess. Do you think that CBD as a sponsor is smart for the industry and something that will help get younger fans involved in the game?