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How to choose a niche and find a profitable sub-niche
Promoting mass market products is different from promoting premium products. Popular products or services belong to highly competitive niches. Each niche has its own consumer, whose habits have long been formed. If you don't have an adequate marketing budget, you won't make any money in them.
By studying niches carefully, you can identify a narrow segment of the market - a sub-niche where there are not many competitors. This is often the starting point for entering a larger market. What should you consider when choosing a niche? Here is a look at this year's most popular niches and interesting sub-niches. The choice is up to you, and the TONOP programme makes it easier.
By studying niches carefully, you can identify a narrow segment of the market - a sub-niche where there are not many competitors. This is often the starting point for entering a larger market. What should you consider when choosing a niche? Here is a look at this year's most popular niches and interesting sub-niches. The choice is up to you, and the TONOP programme makes it easier.
Price of goods
Low-margin, highly competitive niche: everyone sells, but who will the customer choose? Competing with hundreds of dropshippers and retailers is difficult. Especially when you have a limited budget. However, it is often more profitable for a dropshipper to sell one expensive product once a month than to sell a dozen inexpensive products with the same end profit, time and effort. Dropshipping allows you to adapt to different consumer trends in the market.
The transaction cycle
How many products does your online store have? Is it a one-stop shop or are you trying to cover several niches? The answers to these questions will also determine the type of transaction cycle your business can handle. Some dropshippers prefer to sell products with a short transaction cycle. The time from order to payment should be short (1-2 weeks). Others are entering the market for high-margin goods and are not afraid of the risks of late payment and long contract processes.
Health, beauty and fashion niche
This is one of the most lucrative niches, with many sub-niches: weight loss, mental health, fitness, nutrition and more. Save your health, your children's health and your family's health - the trend for health, healthy food and lifestyle is pretty steady. Beauty and fashion is one of the most popular and profitable niches: grooming, style and accessories. In the age of filters on TikTok and Instagram, interest in fashion and beauty products has not and will not go away.
Trend of the year. Ethical, vegan and eco-friendly cosmetics.
Technology niche
From computers and smartphones to software and web hosting, there are always little niches to promote in this rather competitive niche.
Trend of the year. With the growing number of smart devices and subscriptions, this niche is set to grow for decades to come.
The pet products niche
You're scrolling through your social media feed and you freeze on yet another video of a cute kitten. Yes, yes, yes. That's how the lucrative and almost "bottomless" pet products niche works: toys, grooming products, food, supplements.
Trend of the year. Pet training, education and insurance schemes.
Low-margin, highly competitive niche: everyone sells, but who will the customer choose? Competing with hundreds of dropshippers and retailers is difficult. Especially when you have a limited budget. However, it is often more profitable for a dropshipper to sell one expensive product once a month than to sell a dozen inexpensive products with the same end profit, time and effort. Dropshipping allows you to adapt to different consumer trends in the market.
The transaction cycle
How many products does your online store have? Is it a one-stop shop or are you trying to cover several niches? The answers to these questions will also determine the type of transaction cycle your business can handle. Some dropshippers prefer to sell products with a short transaction cycle. The time from order to payment should be short (1-2 weeks). Others are entering the market for high-margin goods and are not afraid of the risks of late payment and long contract processes.
Health, beauty and fashion niche
This is one of the most lucrative niches, with many sub-niches: weight loss, mental health, fitness, nutrition and more. Save your health, your children's health and your family's health - the trend for health, healthy food and lifestyle is pretty steady. Beauty and fashion is one of the most popular and profitable niches: grooming, style and accessories. In the age of filters on TikTok and Instagram, interest in fashion and beauty products has not and will not go away.
Trend of the year. Ethical, vegan and eco-friendly cosmetics.
Technology niche
From computers and smartphones to software and web hosting, there are always little niches to promote in this rather competitive niche.
Trend of the year. With the growing number of smart devices and subscriptions, this niche is set to grow for decades to come.
The pet products niche
You're scrolling through your social media feed and you freeze on yet another video of a cute kitten. Yes, yes, yes. That's how the lucrative and almost "bottomless" pet products niche works: toys, grooming products, food, supplements.
Trend of the year. Pet training, education and insurance schemes.
Food and Beverage Niche
The food and beverage niche is a great option if you are interested in promoting products and services related to cooking, eating and drinking. An online retailer can choose from a variety of sub-niches: healthy eating, dietary preferences, vegan food, wine and beer, cookbooks, kitchen tools and appliances, delivery services.
Trend of the year. Merchandise for target customers who identify as gamers and cosplayers.
The food and beverage niche is a great option if you are interested in promoting products and services related to cooking, eating and drinking. An online retailer can choose from a variety of sub-niches: healthy eating, dietary preferences, vegan food, wine and beer, cookbooks, kitchen tools and appliances, delivery services.
Trend of the year. Merchandise for target customers who identify as gamers and cosplayers.
Luxury and exclusive goods niche
Products and services promoted in the luxury niche include designer clothing and accessories, luxury watches and jewellery, high-end home decor and furniture, cars and other vehicles. The luxury and exclusive goods niche is profitable but quite narrow, not for "beginners". Although it is possible to find small loopholes for newcomers: repair, maintenance, servicing.
Trend of the year. Luxury accessories and elemental decor, a combination of aesthetics and functionality.
Business growth and research tools
How do you analyse the prospects of a niche? Will it be possible to expand the target audience, increase reach, broaden the range, increase sales? Where to look for new suppliers of similar products?
You can learn a lot about the niche and its prospects by using the tools available.
Google Trends is a free tool that checks the popularity of a niche. The information is presented in the form of graphs and searches over the last year. You can see how popular a niche is, whether its ranking is rising, stable or falling.
AMZScout is another valuable niche analysis tool. It is ideal for e-commerce businesses as it analyses the popularity of products on Amazon. You can access average monthly sales and trends over the past year for any product you're interested in.
Google Ads - Keyword Planner shows you how many users are searching for products online and for what queries.
Facebook Audience Insights shows markets and trends, presenting information on demographics, page popularity, location and activity such as ad clicks for your niche.
TONOP software allows businesses to model the sales process, track published transactions and conduct market research. TONOP software uses unique algorithms to plan and analyse data, generating statistical models for current periods. It effectively combines modern technologies, planning strategies and optimisation tools.
Products and services promoted in the luxury niche include designer clothing and accessories, luxury watches and jewellery, high-end home decor and furniture, cars and other vehicles. The luxury and exclusive goods niche is profitable but quite narrow, not for "beginners". Although it is possible to find small loopholes for newcomers: repair, maintenance, servicing.
Trend of the year. Luxury accessories and elemental decor, a combination of aesthetics and functionality.
Business growth and research tools
How do you analyse the prospects of a niche? Will it be possible to expand the target audience, increase reach, broaden the range, increase sales? Where to look for new suppliers of similar products?
You can learn a lot about the niche and its prospects by using the tools available.
Google Trends is a free tool that checks the popularity of a niche. The information is presented in the form of graphs and searches over the last year. You can see how popular a niche is, whether its ranking is rising, stable or falling.
AMZScout is another valuable niche analysis tool. It is ideal for e-commerce businesses as it analyses the popularity of products on Amazon. You can access average monthly sales and trends over the past year for any product you're interested in.
Google Ads - Keyword Planner shows you how many users are searching for products online and for what queries.
Facebook Audience Insights shows markets and trends, presenting information on demographics, page popularity, location and activity such as ad clicks for your niche.
TONOP software allows businesses to model the sales process, track published transactions and conduct market research. TONOP software uses unique algorithms to plan and analyse data, generating statistical models for current periods. It effectively combines modern technologies, planning strategies and optimisation tools.
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TON OP DOO LTD
Address: 8 BORBA STR., PLOVDIV, BULGARIA, 4021
Mail: info@tonop.bg
Address: 8 BORBA STR., PLOVDIV, BULGARIA, 4021
Mail: info@tonop.bg