How to Find a Profitable Niche – Whether An Online Speciality Store Is The Right Solution?
While it can be easy to set up an online store, it is quite challenging to find the right store idea. Many of the ideas are either already taken or are not feasible. In some cases, there may be too many online stores with the same basic idea. Therefore, it can be challenging to find the right idea to set up an eCommerce business. In such cases, a profitable niche or speciality store can be a suitable solution. However, identifying the right profitable niche or the online speciality store could be a humongous task in itself. Neverthless, once found, it can be a successful one.
Here are a few questions to be answered to help identify a profitable niche or a speciality store to match your expectations.
Is it the Right Solution?
First thing to do before finalising a profitable niche is to assess whether it is the right solution. While online speciality stores can be the best idea, if it is not widely accepted, then it can be a failure. Hence, it is important to assess carefully whether it is the right idea to go in that direction. Speciality store can be successful if right products are chosen and optimal marketing options are employed. This is especially true if the products are widely sought but rarely available. Market survey to identify the needs and available solutions is a must while identifying the products for speciality store.
How Niche are the Products?
A profitable niche is the one which is either already popular or can be popularised swiftly. An example of this would be the app and online store known as curefit. While there were already several apps and stores for fitness and fitness products, curefit became popular as it combined several aspects related to fitness including gym/ fitness club memberships, fitness products, and health foods under one app/website. Choosing the right product or popularising them in the right manner is hence important while finalising the profitable niche or speciality store. Some of the homemade products or traditional dishes/ eatables can be a profitable niche too. Evaluate the niche products before setting up a profitable niche store.
Is Selling the Niche Product Online Feasible?
The next aspect to be addressed while identifying the profitable niche or speciality store is the feasibility. While it may be the best product to be sold online, it should also be the one which can be sent easily without any issues related to damage during transit. Foods that can get spoilt within a span of few days may not be the best choice if steps to preserve it during transit cannot be taken. Nevertheless, some of the online stores have been successful only because they have been able to address this issue and send some niche products all over the country. Hence, running a feasibility test is a must before choosing the profitable niche for your online store. You can start an online speciality store with shopnix.
Can Competition be Expected?
Any idea that is available online can be copied. Hence, it is vital to ensure that your niche store has something which cannot be imitated, although the basic concept may be copied. A profitable niche is the one which can be successful even though there are several players in the field. Competition must be expected as popular ideas are often copied for quick success. However, not letting out all the ideas at once and being persistent, can help you sustain competition and make your online speciality store a profitable business. A profitable niche is the one which cannot be copied or mimicked easily.
Is the Niche Product Readily Available?
While selling a niche product can be profitable, it cannot be the right product if it is not readily available. Although the buyers may wait for a while at times, they may lose interest if they have to wait every-time for it. If it has to become a profitable niche, then steps should be taken to ensure continuous supply of the products being sold. Hiring people or training them to improve productivity can be one of the options to ensure this. Additionally, identifying individuals who make such products in different locations can also be a profitable option. Sourcing of raw materials may also need to be sorted out for avoiding production delays. Finding niche products can be a challenge at the same time introducing a nuance idea to the market via an online speciality store comes with its pros.
Can the Margins be Made Profitable?
The next aspect to be assessed while choosing a profitable niche or speciality store is the profitability itself. If the base price of the niche product is itself high, then the expected profit margin may not be very high. This is especialy true for products that are widely sought, but cannot be overpriced. For example, organic products can be priced double that of the regular products, but not three to four times higher. Although there may still be buyers for such products, the popularity may be low. Hence, products chosen in the profitable niche must be such that a good profit margin can be made by selling them. This is also applicable while appointing wholesale distributors for the products, as such distributors often expect a margin no less than 30%.
Have I Chosen the Right eCommerce Platform?
Choosing the right eCommerce platform to sell niche products is also a critical decision while setting up a speciality store. A profitable niche requires robust online selling platform. The platform chosen must have the best themes available to highlight the products being sold, must have all the features to make it easy for the customer to browse through and choose the right product, and must be simple for the seller to track orders, manage inventory and update new products on the go. Shopnix is one such option which offers simple yet elegant, easy yet comprehensive eCommerce platform at an affordable price.
Addressing all these questions can help choose the most profitable niche or speciality store. Innovation and persistence is the key to success of a speciality store. Identifying the right products and having variety is also essential for a profitable niche store.