3. Choosing Your Niche
60
Niche evaluation in action
Now you know all of the strategies for selecting which niche to choose, but maybe
you’re a little confused about how it all comes together. So let’s
put all of this into
practice by looking at an example.
Let’s say you’re looking to set up your first dropshipping store, and you’ve searched
the Internet for some niches that are ripe for new businesses.
You have a list of 4 niches:
dz Travel
products
dz Custom T-shirts
dz Coding
dz Fidget spinners
To narrow this list
down to just one final choice, you can ask the questions listed in
the 2-step process above. Here’s how that might look.
3. Choosing Your Niche
61
QUESTION 1:
Is this a product-based niche?
The first step is to filter out the niches that don’t have
a large need for physical
products. But even once you’ve done that, you want to gauge how well physical
products could perform in the remaining niches.
Right
off the bat, you can answer ‘no’ for coding. Coding has a few physical
products associated with it, but for the most part it’s a digital-based niche. So you
could remove that from your list.
The other three niches all have specific physical
products associated with them, so
they get a ‘yes’ for this question.
Now onto part 2 of this question. Exactly how big of a need does each niche have
for products? You could argue that all three have fairly large needs, so for now you
can keep considering all of them.
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