Great Niche or money hole ?

Fast growing amongst the popular terms being thrown around by online marketers is the term Niche Market. It would appear to be dominating their every conversation and for good reason. It is actually where the money is.

So, to the heart of it – what is Niche Marketing ? Is it another of those overhyped terms or does this fad have some legs?

So let’s see what its isn’t. – It isn’t something you can buy – It isn’t something you can make ( well not directly ) – It’s not a new job opening so don’t ask your boss for a transfer – And as usual, the hordes of people taking a stab at it are nearly all probably going to fail.

So Let’s Look at An Example

I am going to make up a definition on the fly here. Niche marketing is marketing that is directed very specifically at a very narrow vertical market segment. So, let’s try this one.

Marketing to those that buy – Basketball shoes. Niche or not? Not – Michael Jordan running shoes. Niche or not. Not (What did that surprise you?) – Michael Jordan HighTop running shoes. Niche or not? Feeling the sun yet ? – Michael Jordan HighTops signed by the great one himself . Niche or no Niche? Jackpot !

This last example sounds like a niche for sure. It has a narrow focus and we have eliminated several wider approaches to our target audience. So, should we run out and stock up on these specialty running shoes in anticipation of the demand?

Not by a long shot. If you are reading this now, thinking that I am holding back, stop, don’t do it. Our research hasn’t even begun yet.

The little questionnaire is not the process used to find a niche market product or service. You really need a tool for that. It can be done manually but searching hundreds of ideas manually isn’t anyone’s idea of fun. That was merely an example of what a niche market might look like, but for any number of reasons, I would never enter that marketplace – and I don’t much care if 4 of my marathon running friends ask me for those specific shoes next week.

So, did I just give you a really bad Niche Market example?

It wasn’t necessarily a poor example, but the truth is – far more research is required. To start off with, are those actually the keywords that people use to search for this product? In the past, only search engine statistics could tell us that. Then there were great search engine tools that could help further filter that information. But to help determine whether its a great Niche product, even search engine tools like wordwatcher can only go so far.

Competitive websites and the number of potential clients would have been enough data to help in quantifying this as a niche product — in the past. But not now. The competition has gone considerably further than that in their analysis and so must you – even as a newbie.

You may be someone with experience with keyword usage based on several of the great tools out there like wordwatcher or the excellent google adwords tool that gives you exact number of potential clients for broad, phrase and exact searches. Perhaps even you were like me, thinking that I could use those excellent tools to find Niche Market products. Well, you probably can if you have an enormous amount of time, but a total newbie using specific niche software would blow us all out of the water due to the specificity of those tools now.

A software based Niche tool can be an extraordinarily powerful piece of arsenal for someone investigating this area. Most tools gave you competitiveness based on the number of sites that had the keyword in them, but most of us know that our search phrase is already on millions of websites but just a few hundred of those might be competitively attempting to get traffic based on that keyword. A Niche market tool, intuitively understands this and in this specific area searches for keywords in the titles, urls and domain names and comes back with a ranking. It can frequently open clickbank and other affiliate sites with your exact keywords to find affiliate products. Sometimes, these tools also understand article marketing and may directly find you an article for reprint.

At this stage in online marketing, it no longer makes sense to find Niche Market products the old way. There is a list of products on my site. Have a look.