You may be excited to get a business going, but not knowing how to decide what niche to work with could be stopping you from getting started. There are various things to consider when choosing a niche, such as the number of potential prospects available in the market, how effectively you can deliver your product or service to the niche, and how much you can profit. In this article, we discuss how to choose your niche.

Consider Your Current Knowledge and Interests

To help you decide on a niche, consider niches that you already have an interest in or knowledge about. This can make it easier for you to relate to the customers, build rapport, and secure business. However, this should not be your sole basis for choosing a niche. Consider and research things such as your profitability potential for the niche, the product or service price you can offer, the quality you could deliver, and your investment in time and resources to reach and serve the niche.

The Size of the Market

Sometimes, a market may be saturated so it may be helpful to find a smaller niche or a niche that is less competitive. When you dig a little deeper while doing research, you may find niches that you can help that are under-served or not very well served. But make sure that the size of a niche is large enough for you to have enough customers. Also, make sure that you will be able to reach your target market relatively easily and that they will want what you offer.

Identify Problems and Solutions

To establish the solutions that you may be able to offer a niche, identify their main problems. There are several ways in which you can uncover the major pain points of your audience. For instance, you can talk to the people in the niche, create group polls asking about the challenges in the niche, search forums and groups for the most common questions that people ask, and do research on the keywords that your audience uses that are related to their pain points.

Research the Competition

Do some research to find out about the competitors of a niche that you want to work with. What are their marketing tactics and their strong and weak points? How would you do things differently than the competition and would you be able to stand out and compete with them? There are various tools out there that you can use to research your competition.

Create Customer Profiles

Create customer profiles for each niche that you want to work with. To do this, list the specific characteristics of the different customer types within a niche. This can include things such as their location, income, and job title.

As a coach, I can give you guidance on how to choose the best niches for your business. Get in touch today.