Why Internet Businesses Fail
Two common mistakes many internet business owners make at this stage are:
- Choosing products based only on a high demand (Lots of people buy HDTVs, so I am going to sell that!)
- Choosing a product based only on personal preference (I love to play paintball so I am going to sell that!)
Both of these mistakes generally result in failure due to high competition.
If you get into a product that carries high demand like smartphones, HDTVs, smart speakers, keep in mind, it will almost always carry incredibly high competition. Why? Because the reward is high. This is a Google ranking that can bring in hundreds of millions if not billions of dollars of revenue.
As a result, heavy hitters like Amazon, Walmart and Best Buy are willing to dedicate hundreds of millions of dollars and thousands of man hours obtain and keep those rankings. So, if you compete with these companies head to head, no matter how well you know your stuff, you will always fall short due to the immense time and effort these companies put into categories.
Finding Opportunity Instead of Saturation
So, where does a small player like me or you fit in a market like this? In the United States, there are 326,000,000 people. This means, that if you find a product that only 1 in 10,000 people will buy online per year, you still have something that will sell 32,600 times a year! If that item sells for $75 on average that is still $2,445,000 in revenue per year. Do the math, and see for yourself.
2.5 million in annual sales is a drop in the bucket for Amazon or Best Buy. This would not be enough to keep even one of their locations open for a year. For you and me, even $500,000 in revenue makes a meaningful financial difference. As a result, large companies overlook smaller markets which means that if we can find niches with little or incompetent competition, we can flourish.
The name of the game is to find a very specific niche with good demand, low competition, steady trend numbers and a good average sales price.
We want to focus on doing one thing extraordinarily well, rather than a lot of things poorly. The problem with being a big box store, is you can never be bothered with becoming a outdoor tent expert. They will never try to offer the broadest and best selection of high end over range microwave. They will make minor efforts to make searching for product easy enough, but that is where they stop.
This is exactly where we can excel. We can offer the broadest selection, easiest to navigate site, most search friendly product categories, most descriptive product descriptions and rank on the first page of Google not just for 1 keyword phrase related to a niche, but hundreds.
Imagine if you were on the first page of google for the term “Yoga Mats” but you were also there for “wide yoga mats” and “”Pink Yoga Mats” and “Soft Yoga Mats” and “Firm Yoga Mats” and “Thin Yoga Mats” along with hundreds of others. Each year, tens of thousands of people would see your site in Google and for those that enter will feel like they have died and gone to Yoga Mats Heaven. This is how we are going to succeed.
Starting the Research
Below, we have created a tool generates product ideas. To generate what is found in the list, we have researched over 300,000 product ideas. What remains are the products that had a high enough demand, low enough competition, good trend numbers, etc. over 99% of product ideas were eliminated due to not meeting our requirements.
The ideas generated from the tool met the following criteria when they were researched:
- They all carry a good demand of at least 1,000 – 2,000 searches per month according to the Google Keyword Planner
- They carry a low competition rating of 45% or lower using the Moz Keyword Explorer tool.
- The carry a steady trend number in the Google Trends tool.
- The generally sell for $50 or more on average. This is more subjective as most products have a broad price spectrum.
- There are drop shippers available.
To learn how to do product product research, reference our product research webinar here. To speed up the process and come up with a good niche idea, pull an idea from our niche generator below. Both research methods are great. One just takes far less effort on your part than the other.
Use Our Product Niche Generator
Now that you know how product research works, use the product idea generator below to come up with a product you can get behind. Keep in mind, that THERE IS NO PERFECT PRODUCT. If you look at a product long enough you will find problems with it. The most successful online business owners are people who can make decision. If you are not careful, you can easily spend months or years doing product research.
To use the tool below, follow these instructions.
- Wait a few seconds for the product ideas to generate. Once the ideas come up, write down any that seem interesting.
- Once you have written down any ideas you liked, click the “Do It Again” button for a new list of ideas. Repeat this until you have 2-5 product ideas that you have written down.
- Once you have written down 2-5 product ideas, STOP. Then pick your favorite idea from your list. of 2-5 ideas. and let your coach know.
The entire exercise of deciding on your niche should take less than 10 minutes. If you spend more time than this, YOU ARE OVER THINKING THIS.
We achieve success through action and not through indecision. Enjoy the tool!