There is a false idea behind the success of online businesses that revolves solely around the product and its market base. Over the years people have come to believe that a successful business is based on a profitable product however this is not the case because every successful online business starts off by finding the right niche market to dominate.
But what is a niche market exactly? Basically these are sub sections of an already dominant market. For example, dog training is a market but a niche market would be dog training for Labradors. People usually spend years researching the right niche but with the following guide you shall have your niche in no time.
Step 1: Recognizing Lucrative Niches
According to recent research, it has been found out that people tend to spend a lot of their money on both travel and hobbies or troubling aspects of their lives. While these two pointers are great to start researching for your desired niche, there are some more important aspects that need to be analyzed alongside as well like product availability and market demand for it. Moreover, these may tend to vary geographically as well.
Step 2: One on One with Your Audience
Knowing your audience is a key aspect in determining your niche market.It is important to understand that although products are tangible, your audience is not. Sometimes a particular product may not work, but with your in-depth knowledge on your specific audience, you will be able to introduce a new product very soon.Some people have also managed to introduce 2 successful products simultaneously as well. An easy way of doing this is through Google Trends.
Step 3: Let’s Look For Profitable Keywords
Keywords are your intricate link to your audience. What they think about and all the issues in the life are an important piece of information that will ultimately reveal your profitable niche market keywords. The simplest way is through the Google AdWords Keyword Tool. Through this you can check monthly and annually tabulated search volumes for products, problems and even particular services. Any keyword that gets over 1000 hits is definitely something to look into and can become a potential source of income.
Step 4: What about Long Tail Keywords?
Long tail keywords are the best way to analyze traffic in relation to your set of goals. Long tail keywords are an easy way of finding out whether users are comfortable with your goals or not. An easy way to accomplish this is through Google Analytics which helps you track your incoming traffic for free. Insights into your users’ activities can ultimately help you in making further decisions. About your business and the products that would flourish.
Another source to pick out long tail keywords is Market Samurai. You can use this software’s trial version before going for a more permanent solution. Customers using it have shown great enthusiasm for its adequate ability to identify long tail keywords used by majority of their traffic. Once you have your long tail words selected, you can use them to further your products market base.
Step 5: Always Know Your Competition
Knowing your competition is one of the most important rules in the online industry. These can help you understand profitable niches as well prove unhealthy or dangerous for new businesses. Some niches may seem profitable but in reality they are not. But how can one pick out the good ones from the whole maze?
- Prime keywords take up at least three prime advertising positions.
- Some keywords specifically attract advertisements.
- While some may lead to further advertisements.
To make your job easier, you can always take help from Google Keyword Tool to help you get insight into what a keyword is really good for.
Step 6: Come On Let’s Finalize
Business decisions are made on hard well researched facts. And if you have all your data with you, it will make your decision making easy and worthwhile. It is always recommended that you keep a few options open so you can make comparative decisions based on them. Experience is also key, because a lot of what you have done will benefit you in your future endeavors some way or the other.
Hopefully these steps will help you break down markets and reach the right niche for you. With the help of these if you come up with a profitable niche market, it is recommended that you look deeper into it. Sometimes a sub set of a niche market can prove even more profitable than the previous one chosen.
Author Bio: Brooke fill in as tech and parental control expert. She is an author and writes about latest technology news and reviews of monitoring software. Currently she blogs at TheOneSpy – a software to spy android, iPhone and blackberry. Follow her on twitter @brookechloe78