Business

4 Effective Ways to Perform Market Research and Discover Lucrative Markets for Free

In many cases, ambitious entrepreneurs as well as small business owners are misled or even misguided on the subject of the right way to research markets to find a lucrative niche.

The road most naive entrepreneurs consider is by using a keyword tool or even a database to start their research.

Being a market and keyword research expert and the brain behind one of the leading market and keyword research services on the web, I can tell you, based on my own experience, that keyword tools should not be your initial choice. In fact, you should not consider them at all. Why? Let me share the reason.

Keyword databases currently accessible to the general public only offer research data consisting of limited quantity of data—a total of 1% to 2% of the actual queries people performs around the world. They can only forecast (I’m putting an emphasis here) most of the actual searches from the top five search engines, namely, Google, Bing, Ask.org, Yahoo, and AOL, maintaining roughly 97%-98% of the key phrase data.

What’s more important to know is that these keyword tools are only able to show what keyword phrases users are entering in the search engines when looking for answers, not really what they buy on the internet. Remember that people may look for specific things or brands but not make a purchase. That’s a vital distinction many small business owners and business people need to understand.

When trying to find a profitable market marketplace, most of your focus ought to be on the search for evidence of a group of really huge and serious buyers that is willing to exchange their cash for products or services (be it information, “real” or electronic). Without this vital factor, you might have the best offers in the world, but you may end up having no market to actually sell it to.

Magnified Market Research word illustration on white background.

This post will share a number of excellent sources to check out which will provide you with a head start to uncover a really lucrative marketplace before you spend your resources for producing a website, product, and other processes that will lead to your getting an online property.

Once you are sure you have located an industry that contains indications of adequate business flowing through it, you will then have sufficient reason to go further and use a keyword research tool to find out what keywords and key phrases people utilize to access your chosen marketplace.

Let’s start learning how to recognize a lucrative market.

MAGAZINES

A great way to discover signs of a really profitable market is by looking for a journal or magazine focused on that niche. If the publisher has sufficient funds to print as well as circulate a completely-colored journal, it probably has advertisers which support the financing of the magazine. This also indicates that sales are continuously being harnessed by those advertisers.

Now, this might lead you to question the struggle between advertisers in a specific marketplace, given that so many marketers are selling their products in a single magazine.

Actually, it’s a great indication to have competitors because that means the market has more than an adequate quantity of customers to target and that each advertiser can get a sizable part of it. If there are very few competitors, you may (a) not have the right product to sell in that market; or (b) not have a marketplace to sell to at all. The more rivals you have, the greater the income you will be able to seize.

Without leaving your chair, you can visit Magazines.com and search through the different categories to locate a profitable subject or business in which to find an online concern.

After doing so, you will have to focus on the quantity of subscribers each magazine acquired and since when the magazine has been published—these will give you an idea of the publication’s stability.

List all the magazines you want to know more about, and then start looking for them at a huge, dedicated newsstand, the kind that offers pretty much all magazines in all available subjects.

To have a deeper understanding of what individuals are purchasing off the internet, you will need to eventually decide if you want to offer physical or digital items.

PHYSICAL PRODUCTS

Right now, there are only two unbelievably large marketplaces getting massive traffic, transferring thousands of items and are excellent places to discover what people actually buy.

Let’s take a look at these two large marketplaces…

eBay

At this auction website, you can examine a list of highly-popular items shoppers are buying via eBay auctions or from individual stores created within the site. To clearly see the proper way to pinpoint the most sought-after items, please utilize the extended version of this post, which you can find below.

Amazon.com

Another marketplace worth nothing is Amazon.com, which is currently most known for its book category. Nonetheless, on this site, you can find almost every product as well as name brand that is being patronized locally and abroad. Again, you ought to look at the most popular items in individual categories which you want to focus on.

DIGITAL PRODUCTS

In order to sell items of the electronic nature, which does not require a storage house but offers higher profit margins with regard to affiliates, you ought to check out Clickbank—a digital marketplace that rates product sales based on how much each item sells compared to other products in the same category.

You can easily do a search through the categories in Clickbank.com and you’ll immediately discover the leading sellers of information products (e.g., ebooks and reports), software, as well as subscription providers at the top-right corner of every listing page. Also refer to our resources section below for a link to the extended form of this post. There you can find visual aids and much more detailed guides.

Once you collect sufficient market data, you can choose to do any of these next steps:

  • Create a web-based store which ships “real” items and products (requires storage)
  • Sell products through auction websites such as eBay or their retailers (requires storage)
  • Create a website that represents suppliers as an affiliate marketer (requires no storage)
  • Make your own digital item, service or software (requires absolutely no storage)

By familiarizing yourself with a minimum of two out of the 4 places we shared with you, you can guarantee that you have conducted correct market research to discover “proof-positive” what people are purchasing and, therefore, a lucrative niche market.

After that, you can quickly develop a non-complex site and offer a simple product, look for low-cost key phrases to utilize on your Google Adwords PPC ad with a small spending of $50 to try the marketplace, and find out if what you chose is a winner.

When the initial check results come out positive, and, therefore, you acquired a profit out of your test, it will then be all right to exert more effort, carry out more substantial keyword research as well as shell out more advertising money. If the test outcomes are not satisfactory, however, look for another marketplace until you get your desired results.

In my opinion, all the above information should already equip you with the knowledge you need to locate a niche that offers unlimited earnings.

Leave a Reply

Your email address will not be published. Required fields are marked *