Picking a niche is probably the biggest hurdle people face when starting an online business. It often takes weeks and even months to decide on a steady dropshipping niche for stable income. With a plethora of options to choose from and suggestions coming your way from all directions, things can be confusing. However, you can eliminate all chaos and stress and increase your chances of picking a viable and profitable niche easily.
With that said, let’s dive in!
Pick a Niche Where You Can Add Value
This is unarguably one of the biggest and most-important factors to be successful while selling products online. If you want to sell a product, you must offer a compelling reason for customers to buy from you. The best way out is to solve the pre-purchase problems of customers by educating them with useful, outstanding, and relevant content. No doubt, you will be able to bank up a lot of goodwill and loyalty by providing value to your customers and solving their problems. Moreover, you will establish yourself as an industry expert by offering tons of informative content and it is a proven fact that customers prefer to buy from experts. Why? Simply because they can fall back upon an expert in the field if something goes wrong.
In other words, you must offer something unique and meaningful to your customers. Because everyone is usually selling the same product, that something needs to be the clarity, expertise, unique selling proposition, and information about the best ways to use a product and its features to your customers to help them make an informed decision.
Look For Niches That Are Confusing
You must be wondering why you have been suggested to look for niches that are confusing. Well, there more complicated a product is, the more room there is for you to educate your customers and become an authority.
It is a proven fact that customers prefer buying from sellers that remove the mystery and complications associated with a product and educate them to know how a specific product will work exactly for their requirements. Some of these complicated yet profitable niches are commercial water purifier systems, home security equipment, and home stereo equipment.
Requires Multiple Components
Customers are more likely to add more products to their shopping carts or make purchases in the near future if you tell and educate them about the benefits of products that will be best with their purchased products. This even works for businesses that deal in products with universal compatibility, sometimes even more if your competition has not yet realized this as a confusion point.
For instance, a customer purchasing underground sprinkler equipment may have done research extensively but there is a possibility that he or she still doesn’t yet know that all sprinkler heads are universal and can fit all piping on the market. You can win customers by telling this fact up front and assuring them that all purchases made at your store are compatible.
Requires Complex Installations
Complex products that are generally installed by the purchaser are best when it comes to adding value by you. More or less, your customer will get intimidated by complicated installations and you can justify charging a premium by offering exclusive step-by-step illustrated installation guides (after a purchase, of course).
You should always remember that you cannot ever compete on price if you are selling an existing product online. To charge a premium and get customers pay for it, you MUST offer something special or of great value to the customers.
Target The Right Type Of Customers
If you have already spent a month or two studying the market, you might have realized by now that all customers are NOT created equal.
Here are some core groups that you must target:
It is really unbelievable to understand how much people can spend on things they are really passionate about. Diehard fishermen will not even hesitate to spend thousands of dollars to just outfit a new bass boat. Similarly, you may find some off-roaders spending close to a quarter or half million just to customize their vehicles.
You have a great chance for success if you can offer products and value to customers that are passionate about a hobby. Target hobbyists’ online hangouts and forums!
Those With a Problem
If you can provide a great solution to people who have a serious and pressing problem, you can make big money. For instance, if you notice that people are out of mobile battery charging when traveling long distances then you can sell them a portable, light, and reasonably-priced power bank but only after you have clearly specified to them that your product is exactly what they need.
Let us now have a close look at some of the most steady dropshipping niches for stable income: