Niche Market Research
Niche Market Research is about knowing how to find a niche in the
market that is less competitive which will give you a
marketing advantage over your competitors.
Market niches are those small, but profitable, sub-sets of an already
profitable larger market. It's through niche market research that
you can identify those small but super profitable niches.
Before you can begin to create your internet home business, create a
website or start blogging, you will first need to find out how to successfully
identify a profitable niche.
(Right-click and select
"save target as")
Identifying your niche market through Niche Market
Let's start by looking at the things people spend their
Besides the necessities like food, water and shelter people
will spend their money on things that bring them
Of course these are not niches, they are very broad topics, so the next
step is to select a topic of interest and narrow it down to a more focused niche category that has a
popular interest among individuals interested in that topic.
For example, beauty is a very broad topic with several categories of
interest, things like anti-aging, skin care, hair care, nail care, weight loss, etc.
As you determine the categories that interest you it gets harder to determine what
niche areas people are interested in and what kind of profitability the niche has.
Using a good keyword research tool will help with this.
For example, using the Google keyword research tool if you type 'weight
loss' the following comes up:
- vegan weight loss
- weight loss for children
- weight loss for women over 50
- diabetes weight loss
These are the very things people are
searching for online with relation to weight loss. We know that because they are typing them into the search
Once you find a topic of interest, there are 3 things you'll need to
Demand - This is where
you'll find out if there's interest in your niche.
Using the Google Keyword tool, you can look up "vegan diet" and see
that there are over 240,000 monthly searches for that keyword phrase and 'vegan diet weight loss'
gets over 14,000 searches a month.
That's a good indication it may be a good niche. But to find out how easy it
will be to complete with that niche we need to examine the competition.
Competition - The
benefit of doing business on the web is that we can easily see who our competitors are and what they're
Let's take a look at how your competition can actually help you.
Go to www.google.com and type in "weight loss".
If you look down the right hand column of the page you will see that there are
many paid ads for this term.
This tells me that people are making money on this topic. These Google Ads are a
good indicator that a specific niche is a money maker. However the competition is high because we can see
that there are over 11,000,000 competing web pages using that term.
That's a lot to have to compete with and if you look down the page you'll see that
you are competing with top marketers like 24hour fitness, mayo clinic, la weight loss and others.
In this example, weight loss may not be a good product to try and compete
On the other hand, 'running for weight loss' or 'weight loss over 50 are
narrower niches that will give you fewer competitors. The number of searches are less but it will be
much easier to compete. I'd rather get in front of 100 people interested in what I have to offer,
than get in front of no one because the competition is too stiff.
Monetization - Once
you settle on a topic of interest you'll need to create your website. From there you'll need to decide how
you can monetize your idea on your site.
Start by looking at what products are
being sold in this market right now? A topic like 'running for weight loss' has several options like promoting or
selling running shoes, running apparel, distance gadgets, books, etc.
Check out affiliate marketing networks for suggestions on promoting products and
services through affiliate sales. What advertising can you use on your site or blog for generating
For an easy way to start your niche market research, check out these free videos from James Jones that conveniently steps you through
the process of finding a profitable niche.