Choosing an e-commerce niche is not a piece of cake. It requires you to dig deep into the insights to learn about your audience and the trends that can get you profits. Starting off with a niche business without any prior knowledge of the niche and how it would perform is a perilous mistake that one can commit. It is worthy and intelligent to put effort at the initial stage rather than repenting a business idea. An idea is something that will drive your business to success, so making the right choice is as important as getting started with the business. We have enlisted 9 strategies to help you out in selecting a niche.
1. Identify your interests and passion to pick a niche
It’s best to pick up a niche that represents your passion and interests. A niche that you’re not much interested in and you chose it just for the sake of money, would actually get hard to get along with. Businesses are not an overnight success and require persistence. Hence choosing something you’re interested in would make it a lot easier for you. It has always been said that if you like what you do, you are highly likely to succeed. Learn what interests you and then go ahead with your research.
2. Evaluate your business ideas
People usually neglect to evaluate a niche while making a choice. Evaluating a niche helps to identify opportunities and potential threats of the niche selection. It includes analyzing your competition, profitability, potential customers, and how the trend is supposed to grow. Some products are not just enough to sustain a profitable business and hence, a good evaluation would make you able to decide on the product that fits best depending upon the popularity and interests of the community.
3. Keyword Research
You can start with some free keyword research tools like Ubersuggest. More the search volume for a niche, the more difficult it gets to rank in search engines. The competition gets really tough and can affect sales. With many people getting into niche businesses, niche markets have become over-crowded. This calls for narrowing down the niche so narrow down your keyword research to arrive at appropriate keywords.
TIP: Do not go for either very low competition or very high competition. Instead, find something in the middle.
4. Creating an advantage over other marketplaces
It is very obvious that people first go to big market places like Amazon and others to look for a product. Hence you need to understand that a good product and a brilliant service is not enough. You need to offer that businesses on those marketplaces are not offering. You need to create a competitive advantage over those sellers.
Think of reasons why someone should come to you instead of going to a renowned and trusted marketplace. After all, you’re new in the business.
Look at creative angles for marketing your product or services. Have pricing that is enticing for people to choose you over others.
5. Learning about the competition
It is very important to look closely at your competition before you decide on a niche because if it is already overcrowded you might not want to go for it. Suppose you choose on a particular niche, you should search for it on a platform like SEMrush. It generates data that includes stats related to paid and organic search. You can find your significant competitors in the “organic search results” section. Combining Ubersuggest with SEMrush is a great idea to dig deep into the data and learn if you’re willing to compete against the sites you find.
6. Evaluating the profitability
The end goal for any business is to make money and hence it is a vital step to learn and know if your selected niche will make enough profit for you to survive the race. It is advisable to choose products that produce enough margins rather than choosing products that choosing low priced items to sell. Though high priced products require more customer education but are beneficial in a long way.
7. Being sure with the ads
It is a great idea to test with ads if people are willing to buy what you are planning to sell. You can set up ad campaigns for your market and divert traffic to your landing pages to collect email addresses. This way you can learn how people are responding to your products. Number of clicks, impressions, and other insights would help you to decide if the niche you’ve selected would perform well. Spending some amount of money for ads is totally worthy of deciding what will drive your business.
8. Focus on acquiring customers over anything
The most important thing is to acquire a customer base. Hence, it is important to know your customers. Learn about the platforms they visit, their problems, and how much they are willing to spend for the provided solution. You can have your presence on various platforms depending on the services or products you’re offering. Target your audience by learning about what they want because it’s more about offering what the people want but not what you want to sell.
9. Choosing trending niches
It is always better to choose trending niches rather than choosing trending products. With evolving technology and trends each day, any product might stop finding its usefulness at any moment. The same happens with a niche. Google Trends is an amazing way to find out if your niche ideas have a stable, growing trend. It offers data that can help you learn about the trends with various options to narrow down your searches and be specific to what you want. It also shows interest from different parts of the world on a map.
There is absolutely no need to get anxious about choosing a niche and to worry about making the wrong decision. There is a sea full of opportunities and the internet is the ultimate power that you can make most of and select an appropriate niche. Your efforts and research will definitely show awesome results. All the best!