One of the questions that always pops-up in my inbox every once in a while is, “Tony, how do I choose a profitable niche?”
You may also be wondering whether you should go into a niche that you don’t know much about (but is profitable) or a niche you’re already familiar with (or even passionate about).
In this post, you’ll learn a step-by-step niche selection system so you’ll know exactly which niche to go into, if you don’t already, and hopefully dominate.
Let’s jump straight in…
Most niches can also be categorized as either a…
- Need niche, or a
- Hobby niche
Need Niches (Easier To Sell To, but Customers Aren’t As “Fun”)
As the name implies, people in the Need niches are desperate for an immediate solution to their problems. They’re lying awake at night, staring at the ceiling because they want to solve X problem as soon as possible. These niches tend to appeal to our basic humanistic needs.
As a result, this niche is the easy to sell to. I know because I was diagnosed with a nasty illness known as Ulcerative Colitis a few years ago.
I was in bed for 2 weeks and felt like absolute shit. I searched the internet for solutions and bought every single information product and nutritional supplement that was supposed to help.
No joke. Every single one!
People in need are easier to sell to because they don’t make rational decisions when they are in a desperate mood. Instead, they make a lot of impulse buys, which is why this niche can be so profitable to market to.
Here’s a list of 12 “evergreen” Need niches that are currently profitable (and will be for a long time):
- Weight Loss/Fat Loss
- Make Money/Make Money Online
- Debt Relief
- Muscle Gain
- Natural Healing
- Get Rid of A Disease
- Stress Reduction
- Self Defense
Hobby Niches (Harder To Sell To, but Better Customers)
You can probably guess what Hobby niches are. These are groups of people who share commonalities that cause them to spend “dumb money”, as Jason Fladlien calls it.
Unlike the Need niche, people don’t need to spend money on their hobbies, but doing so gives them fulfillment they can’t get anywhere else.
I used to love magic tricks (in fact, my first affiliate website was a magic website). I would spend a TON of money buying DVDs that revealed the secrets to these tricks.
Although the Need niche is easier to sell to, you might find those types of customers are less fun to work with. They’re in a constant state of turmoil and can even make you cynical if you let it.
On the flipside, with Hobby niches, you get customers who are constantly in a fun, excitable mood. But the markets aren’t as big. So it can be a trade off between profits and customer quality.
If you don’t have any expertise or resources you can leverage right now (like being in a Hobby niche yourself), then I would recommend starting in a Need niche. Once you build a solid business that’s making profit, you can move into the Hobby niches.
Here is a list of 10 evergreen Hobby niches:
- Learning an instrument/singing
- Playing a sport better
- Video Games
- Home Improvement
- Pets and Animals
Okay, so now you have 20+ niches you can enter today and begin dominating.
So you might be wondering how you should go about choosing the right one.
The first thing to do is let go of trying to choose the “right” or “perfect” niche and ending up in indecision or analysis paralysis.
Instead, focus on taking action and speed of implementation.
Here’s how I would go about it…
Step 1. Grab a pen and paper and write down every skill you have, regardless of whether or not you think you can leverage it in a certain niche. Give yourself 5 minutes.
Step 2. Make another list of resources (people, places and things) you have access to that might be able to give you an extra advantage. For example if you have a friend who’s a bodybuilder, you can leverage his expertise if you enter the ‘gain muscle’ niche. Give yourself another 5 minutes.
Step 3. Take a look at the 2 evergreen lists and set another timer for 5 minutes. Think about your resources and personal skills and choose a niche within the time limit.
Step 4. Pick your niche, and drill down 2 or 3 levels, so you’re targeting a specific segment of the niche. You don’t want to start out in the general “weight loss” niche. You’ll get eaten alive. Instead, drill down and become the LEADER in the “weight loss for brides” or “all natural weight loss” category.
Step 5. Build a site and spend 3 weeks testing the niche. Use whatever monetization and traffic strategies you know of (I’ll also be showing you some of my best high-impact traffic and selling strategies in upcoming posts).
If your niche shows promise, keep at it and refine your sales and conversion funnel.
If the niche isn’t making you any money, ditch it and pick another one.
Can you just how by just by taking fast action and making quick decisions, you gain a ton of “insight through experience”?
Can you see how this is way better (and profitable) than taking your time trying to figure everything out and do everything perfectly?
Alright, that’s it for this post.
See ya later.