How To Find Your Niche Or Market In Business (4 Simple Steps)
Finding your niche or market is the first step in any business.
What Is A Niche:
A business can't possibly serve everyone and has got to find a focused niche it will be serving.
A niche is basically a topic or a category that a certain population is interested in (for example Business & Money).
Every niche has got sub-niches and many times sub-niches under the sub-niches (for example Business & Money > Investing > Analysis & Trading Strategies).
When choosing a niche it's best to niche down as much as possible since you'll be serving a much more targeted audience and you'll be able to serve them better because you cater specifically to their needs which means they are more likely to convert into paying customers.
So, how do we pick a niche?
Picking A Niche:
Start off by asking yourself a few questions:
What topics interest me?
How knowledgable am I in those topics?
Will I be interested in those topics even 5 years from now?
Take your time to think about these questions and answers them slowly because it's the basis of your business.
If you select a topic your kind of interested in but maybe it's just a temporary thing, then you won't have the motivation to delve deeper and be persistent with it in the long run.
If your having trouble coming up with topics than the next step should help you out.
Validating Market Demand:
This is the second step after you think of a few topics that you're naturally interested in.
If you haven't done it yet, then stop, go and write down your personal interests and then come back and continue reading.
With that said, if your having difficulty coming up with ideas then this step should help you open your eyes to niches or markets that you might be interested in and just haven't thought about.
First, I recommend you go to the Amazon Kindle Store Best Sellers Page and click on "Kindle eBooks" in the department area on the left side of the screen.
You'll notice a large number of general niches that come up.
I want you to look at those niches and select one that looks interesting to you (best look for your personal interests that you wrote in step 1).
Once you do you'll see another load of sub-niches that come up.
Repeat the process and again select one that interests you and continue doing so until no more sub-niches or categories come up.
This means you've niched down as much as possible according to Amazon.
Look at the different books in that sub-niche and first of all see if those books pick your interest and/or you are knowledgable on these topics.
If it doesn't match your interests then look for another niche or sub-niche.
Secondly, see how many reviews these books have.
Is it hundreds to even a few thousands or is it a low number?
This is an indication of how much demand there is for that niche or topic and your niche must have demand if you want your business to succeed!
As a side note, if your niche is in the best sellers list then it probably has demand, but we want to be extra sure of that before we build a business, so we are going to perform even more research.
The next thing we are going to look at is how much demand there is for the main keywords of that niche.
Keywords are words or phrases that people use when searching for something in a search engine like Google, YouTube, Amazon, and so on...
By looking at how much people are searching for the main keywords of our niche, we will be able to determine if there is a demand for it or not.
So, think of the main keywords your niche has.
For example, in the Analysis & Trading Strategies niche which is under the Investing niche people probably look for the words "Investing" or "Trading Strategies".
After determining what are the main keywords in the niche we are researching, we can search for the amount they are searched for each month using free tools like Ubersuggest or more advanced tools like Ahrefs and Moz.
To determine the demand for the niches main keywords using Ubersuggest is enough for now.
If we determine that there is demand in that niche we can start thinking about who is the target audience and what do we want to offer to them.
Determining Who Are The Ideal Customers Of This Niche:
Now that we have a possible niche in our hands we want to see who is the target audience and how can we help them.
The first thing you should do is write down a few pain points you think they will have.
If your interested and/or knowledgeable in that niche you probably know of some pain point that people have, that you might also have or had.
Next, we are going to start collecting data online by going searching for what our potential target audience is saying and asking online.
See what are they asking, what are their problems, what do they need?
After looking around, ask yourself if you can and want to supply a solution to these people.
If you decide you want to and can offer a solution then you're left with looking at your competition to see what they are already offering and what can be improved and how you can stand out.
You can do so by googling some key questions your target audience is asking and see what comes up as answers and solutions.
Is it profitable?
Do you see any reviews or comments that indicate an unanswered need?
If your planning to launch a physical product as a solution you can go to Amazon and search for your product, then look for the 3-4 star reviews to see what can be improved.
Choosing the right niche is very important to the success of the business, but over-researching and not taking any action is detrimental to the business since it will never start.
So, even if you're not 100% sure you chose the right niche, just start.
Your success and failures will be the best proof of what works and what doesn't.
If you have to change your niche and start all over again, don't get discouraged, it wasn't all for nothing.
You've gotten valuable experience and will do better next time.
Most successful business people have failed more than the average person.
That's why they are successful.
I wish you luck and good fortune in your journey and would love to hear what you've learned from your failures and success, so feel free to leave me a comment or a message :).
And if you have any related questions then leave them below and I'll do my best to answer them.
To your success!