Day 4 — Determining Profitability of Your Micro Niche
Let’s face it. The Thirty Day Challenge is about building a solid foundation for a business instead of just a hobby. Profitability is certainly not optional for this reason.
In previous days, you may have found a micro niche that meets the criteria we have set up front. Just as a reminder, the criteria are:
- A keyword that is searched at least 6,000 times during the previous month.
- For broad-matched search in Google, the number of competing pages is no more than 50,000, better still if you can find something that is less than 30,000.
- Competition analysis brings you acceptable result.
The last one is something you should be deciding yourself. If you stumbled upon a keyword that shows good numbers during competition analysis, you may want to find better keywords. If you really like to play on the edge, there is nothing wrong to test a more competitive niche market, but not too competitive that it is not possible to take over any of the top positions in one month.
There are unlimited combinations in this case, so it is really left to your digression. If you’d like a smoother sailing, keep searching until you find the right keyword.
Note: If you think it is hard to find a keyword that is just right for you, think again. No where else could you almost like guarantee your chances to get traffic — and later prove the traffic will actually buy something before you plunge. In real life, it may take months just to think about and plan for a business. In this case you can shift through many niches quickly in front of your computer…
The Only Factor that Determines Profitability
If there is one surefire sign of profitability in a niche, it would be the existence of products and services serving that particular market. You can know for sure if the niche is a potential good market if people are paying for products and/or services.
That makes sense if you think about it. If there are magazines and other types of publications in the industry that have been around for some time, that only means the magazines have enough advertisers to support their operation.
Advertisers will not keep spending money unless they are in profit.
Of course, it may be different online. Not every keyword is the same. Some consist of mainly people who are looking for information and are not interested in buying. Others are ready to buy at that point in time immediately.
That’s why you need to test. You want to make sure that you are able to reach the target market effectively and still be able to generate profits from it.
Finding Affiliate Products
The beauty of the Internet is, you can find products that are related to almost any niche. Not only that, you can become a partner and help them promote the product for a commission. You can open for business without having to create your own product.
Many people are building a solid business just from selling affiliate products. At the moment, being in profit in not the goal. Once you’ve found out that the niche market you are entering is spending money, you can create a monetization plan that includes many sources of income, including selling your own product.
You may be able to find all sorts of products in Amazon or Commission Junction. For digital products, it would be ClickBank. However, you may be able to find various niche affiliate products from smaller affiliate networks.
Many people are confused about product selection. For that, I’d say that the only thing you can do at the moment is to try to position yourself in the searcher’s mind. What are they thinking when they are using the keyword in search engine?
If they are looking for information regarding the problem, give it to them and offer a solution. A product may offer a better, faster, and greater solution than the one you give in the content of your site or blog.
Even though you may identify a match between your niche keyword and a product, you will never know if it works or otherwise until you interact with the market. No matter how much time you spend on research, at the end of the day, the result that comes with a check attached is the only proof that a market is spending money.
Your goal for today is simple. It is to find a few affiliate products so you can include it as part of the offer once you have built a site. Remember that you are just in the testing phase, so if one product doesn’t work, you have the option to pick another product.
Interacting with Your Audience is Key
The price of the product doesn’t matter as much as the fact that the market is willing to spend money. As much as you love to earn $100 or more per sale, picking the right product is much more important at this stage.
Once you interact with the market, you will know what they want. This is when the guess work becomes demand and supply. Your target market often will tell you what products they are going to buy, and even more precisely, what they want you to produce.
While research is important, you can only do so much of it to ensure you are on the right track. Again, it doesn’t come with a check attached. Don’t be trapped in the analysis paralysis syndrome. Do whatever you need, enough to be confident that you are choosing a possible profitable niche, and then move on to the next step.
Pick one main product and a few backup ones and start testing the market.
The whole process can be done very quickly — from the Day 1 to Day 4 — in an hour, once you are familiar with it. Even if you find a keyword that doesn’t work for your market, that doesn’t mean you fail. Far from that, you will be saving a lot of time working on a niche that won’t make you money.
Just jump to the next keyword until you find one that works well. Today is an easy one, but it is not simple.
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