Starting a small business is a big undertaking. You have to learn about finances, marketing, business management strategies, and a million other things. While all of that is important, one of the first things you need to do is find your niche in the business world. You can’t move on to anything else until that is sorted out.
What is a Niche?
A business niche is simply the specific area in which you are going to focus your business efforts. It is a specialized corner of the market that you want to target and a certain problem you want to fix. A niche will allow you to focus your attention and meet a need that is currently unmet. There are several steps you can take to find the perfect niche for your business.
First, you need to discover what your interests and passions are in life. Starting a business is hard and eventually, it will test your limits. It is important that you are working in a field that you care about so that when you hit this wall, you have the motivation to keep moving forward.
Make a list of your top ten interests and areas of passion to help you visualize what some possible options may be for you. You can think about how you like to spend your free time and what you look forward to doing. You can also think about the kinds of magazines or books that you read and what you like to research on the internet. You can also think about gadgets or hobbies that you already do like owning a 3D printer or Lotus Laser.
Solve a Problem
A profitable business sees a problem and helps people to solve it. Think about or talk to people in your target demographic and find out what they struggle with during the day. You can do this in person, or you can do this online in forums or on social media. You can also research different keywords to find out what people are searching for in regards to your areas of interest.
You also need to know what competitors you will face in this field. No matter what field you decide to enter, you will have competitors, so don’t take that as a bad sign. If there are others trying to fill a need, then you have stumbled upon an important problem!
Evaluating a competitor to see their weaknesses can help you craft a business that will be successful. It will be easier to outshine the competition if they are producing low-quality content if you produce high-quality content. Creating a sense of transparency for your audience can also go a long way towards being successful over a competitor.
By now, you should have a little bit of an idea if this could be a profitable niche for you to jump into. If you have it narrowed down to a few possibilities, then you can start researching to find out how large the profit margins will be in a given field. It is also important to find out if people are buying what you are trying to sell. If no one else is profitable in that niche, then it is unlikely that there is a market for it.