If you’re looking to set up an online business soon and start earning right away, you’ll need to choose the right market. Because most fields are saturated and it will take a lot of time and work to rank high for keywords, beat the competition and become an authority, it’s better to choose a specific and profitable niche. So first, you’ll need to learn how to find a niche business idea.
A niche business might not appeal to everyone but it will target a certain group of people. Because that audience isn’t too big and your topic isn’t broad, you’ll be able to learn exactly what people want, get to know your competitors, write great content and optimize it.
You can then monetize your niche business idea through affiliate marketing, your own product, or else.
With a standard online business idea, I’d suggest you follow your passion. Meaning, it would be a market you enter that you’ll stay in for years, so it makes sense to be interested in the industry and know a lot about it. This way you can teach others, share your experience, master the skill, and see progress much faster.
However, a side hustle that’s a specific niche might be boring, complex and rare. With the right amount of research, though, you can easily become known and start making big bucks.
To help you with the idea generation process, here’s how to find a niche business idea:
Steps to Finding Niche Business Ideas
1. Follow trends.
Technology is advancing, new niche markets are popping up every year, and certain fields that you might not be aware of are booming.
Getting your eyes on a niche product and starting a business around it early on can guarantee you ten figures if you do the work in the beginning. It can even become a passive income stream.
Some services in demand include bookkeeping and payroll, influencer marketing, renewable energy, cloud computing, 3D printing, consulting, home renovations, real estate marketing, virtual assistance, and more.
Some money-making industries are eSports, video gaming, drones and vaping, to name a few.
The fastest-growing companies in America for 2017, for example, are in Software, Energy, Finance and Consumer Products.
2. Involve tech.
Did you know people are now buying shampoos that use algorithms to customize the product according to the needs of the individual and give them the ideal hair? Yes, there’s a company like that.
This is what happens when you combine tech and beauty. The beauty market itself is worth $22 billion and every next year that number is getting bigger. So coming up with innovating ideas for products, simply starting an eCommerce business around them or just being their affiliate and offering them to your audience, is a sure way to enter the niche market and start making a solid income.
But tech can be combined with many other things too to create a profitable niche business idea. People now make apps for fertility tracking and thus enter yet another profitable and highly lucrative field.
But tech is transforming every market and aspect of life too. Take agriculture, for instance. Digital technology is changing farming. Tech-savvy entrepreneurs know that this sector is a huge part of the world’s economy and is only going to evolve, so it makes sense to enter it in an innovative way.
However, the easiest way to combine tech with a profitable niche business idea is by starting an online business. For example, you can teach people how to use new beauty products with a video or write about the results.
You can offer Cannabis licensing consultancy via Skype and promote your services on your site and social media. As the legal cannabis industry is growing rapidly, more and more people are choosing this as their next niche business venture. You can help them with the legal part.
Did you know that the CBD industry is predicted to grow from $202 million in 2017 to $2.1 billion in 2020? It’s the reason why products like CBD Isolate are in high-demand.
3. Learn a lot about the niche business idea.
After finding the right side hustle idea for you, you need to start the learning process. This is the time-consuming aspect of a project like that as the industries that grow at a fast pace also have a big learning curve. Especially when tech is involved and it’s not something you have experience with.
But don’t worry. The Web is full of online courses on each subject and you can gain knowledge directly from experts.
One day you can teach others how to do the same. But for now, learn the basics related to your niche business idea and give it a try.
4. Know where other entrepreneurs find their niche business ideas.
Sometimes it’s smarter to work with what you got. Meaning, you might have the right person in your surroundings who can introduce you to a profitable niche but will need your skills and qualities to actually set up a business.
Or it could be a forum, social media, Ebay or Amazon, or a product discovery site that helps you come up with the right business idea at the right time.
You never know what your next side hustle might look like so you need to keep your eyes open.
Understanding how to find a niche business idea that makes a lot of money might happen in a day but it might also take weeks or months just to make sure you’re onto something.
Don’t give up. Even if we’re talking about investing some of your savings into this profitable venture and having a lot to learn down the road, it’s worth the effort. That’s because you’re entering a niche that’s proven to have the highest ROI.