Prequalifying a Niche for Further Investigation

There's quite a bit of research that you want to do before you launch an entire career and put a lot of effort into building a business around a niche topic. Thankfully, there are some preliminary things you can look at to determine whether or not a niche is worth further investigation.

The first thing you want to do is figure out whether or not you have any knowledge or personal preferences about certain niche topics that you would like to share with others. By identifying your passion for subjects that are near and dear to your heart, or that you have experience in, you'll be able to pick a niche that not only delivers in terms of profits, but also gives you something enjoyable to work on day after day.

With some niche topics, you may need a little bit more experience or knowledge than others. For example, if you were to get into the stock market as a niche topic, you would have to know the subject matter before you began to manipulate people's finances.

But with other niche topics, such as those you simply want to pick up as a hobby, you can start off with no insight and share your journey as a beginner. This could be anything from arts and crafts to gardening, cooking, and more.

There may be something where you feel you have a competitive edge over others. An example of this might be if you are a golfer who enjoys playing as a hobby, and you have a score consistently under eighty.

Others who are continually struggling to shave points off of their game would love to learn what you did to achieve your handicap and consistent scores, such as improving their short game or being more strategic with their swing.

If you find a niche that you're considering, you may want to take a quick look and see if you can immediately identify any gaps in information that are not being served to consumers in that niche.

The niche that you choose needs to be defined enough so that you can pinpoint the needs of a particular demographic. That includes the goals they have set for themselves and any obstacles or pain points that they are dealing with.

You also want to look and see if there is competition in that niche. The absence of competition doesn't mean you have hit upon a gold mine, but instead it may mean there are no profits to be made in that niche.

And lastly, you want to take a quick look to see if there are products that you can promote in the niche. These will include a mix of digital and tangible products. If you don't see anything at all, and you have no immediate idea of what you could create to sell to this niche audience, try to find something that won't provide much of a struggle for your profitability.