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Build An E-Business On A Shoestring
Free Tips, Tricks and Tools To Make You Money
Issue # 50
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In This Issue
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Finding Your Niche on the Internet (c) Copyright 2003,
Angela Wu
Those who are new to the Internet business world --
heck, even those who have been successfully operating
online businesses for some time -- can attest to the
difficulty in deciding what to sell.
"Newbies" in particular may be led to believe that the
more "stuff" they sell on their websites, the more
money they'll make. They place dozens of banners and
ads on their sites for everything from dating services
to internet marketing manuals, from pet toys to
self-improvement tapes. It's pretty hard to persuade a
visitor to purchase anything from a site like this;
chances are -- if they even managed to find your site
in the first place! -- they'll simply go back to the
search engines and find a site that's offering them
exactly what they want. One click-of-the-mouse and
they're gone, probably for good.
You can't be everything to everyone. Choosing a
tightly focused niche market gives you the ability to
home in on a specific group of like-minded
individuals: it's easier to find out what they want,
and thus easier to come up with and develop new
products and services. It's also easier to make your
site "stand out"! You'll have a better chance of
success if you take the time to define a niche.
However, the strain of trying to figure out what to
build a business around often leads people to do what
they perceive as the "easiest": copy what other people
are doing.
For instance, many people decide to build websites
around teaching others how to market on the internet.
But if you use Overture's popular Search Suggestion
Tool, you'll see that "internet marketing" received
102085 searches (at the time of writing), compared to:
* recipe - over 1 million searches
* pet supply -109975
* jewelry - 449044
* gardening - 787621
* golf club - 548398
* exercise - 129368
As you can see, there's a market for a wide variety of
products and services. Your "job" is to figure out
what people are looking for -- whether it's a new
product or an "improved" version of an existing
product -- and ask yourself how you can fill that
need.
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As you do your research, try to assess the demand (ie.
how many people are looking for that type of product)
in relation to the supply (ie. how many businesses
provide the product and how well they do at meeting
the demand). Ideally, a great niche market would be
one for which there is high demand but not (yet)
enough supply.
There is always the possibility that there's no real
demand for the product, which is why no one has
bothered to create it. Most people would prefer to
find this out before they invested a great deal of
time, effort and money into creating a product no one
wants!
Even if you don't create your own product but instead
decide to promote affiliate programs, a great deal of
work still goes into the promotion of your affiliate
link.
One way to research a new idea is to run the key
phrases that represent your business through the
NicheFinder software (http://onlinebusinessbasics.com/findniche.html
).
This
software will automatically produce several
informative and eye-opening reports and charts to help
you assess the potential of your idea.
Some people start businesses related to their current
line of work because they already have many of the
skills and the experience they need. Others build
their business around specific interests or hobbies.
Regardless of what you do, be sure it's something you
*want* to do -- don't choose a niche solely because
"other people are doing it" or because you think "you
can make lots of money". Do what you love, and *enjoy*
the journey to building a profitable business.
_________
ABOUT THE AUTHOR: Angela is the editor of Online
Business Basics, a practical guide to building a
business on a shoestring budget. It features loads of
instantly usable tips and tools that were specifically
chosen for beginners. For details, visit
http://onlinebusinessbasics.com/article.html or
download the free trial version of the Online Business
Basics manual:
http://onlinebusinessbasics.com/freebook.html
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