There are 3 questions you need to ask yourself while choosing a niche product:

1. Are your customers accessible?
This comes down to niche marketing your product for the right people in the right space.
Demographics, age, income and gender all play an important role in this.  Advertising a feminine product in an all-male gym in sounds crazy in the “brick and mortar” world but is easy to blunder on online if your targeting is not carefully planned out.

Let’s say you have a product that will help farmers grow more crops. You need to somehow figure out a way to communicate this product to them. There’s no point in advertising on billboards in big cities that farmers hardly ever frequent.

Make sure you have a clear niche marketing strategy to easily attract your customers.

2. Does the niche have potential to grow?
Does your niche product have the potential to grow into something  bigger and better or it is a one-time phenomenon? What about business in future? When niche marketing your product, you need to consider the lifespan of the product. Sometimes niche marketing isn’t the best way, especially if your product is a one-time thing. Remember the reason for niche marketing is not to “hit and run” make a samll profit and move on, the objective is to be a first entrant in a space where rapid growth in demand will make your website the authority in that arena.

Niche marketing is great for those products directed at a targeted group with their individual needs as the focus. However, make sure your niche product has the potential to grown into future sales through repeat business or as the niche idea catches on with others.

3. Is the product already established in the market?
The key is to take an already existing product and transform it into something a niche market would use. Or, develop something that does not exist, but should. A little competition never hurt anyone but if a large and well-known company is already selling the same product in the same niche market, it is going to be hard to convince your audience to switch to your product.

As an example, the Swiffer Sweeper combines sweeping and mopping into one easy motion. It is well known and trusted by everyone. Niche marketing this same product under a different name to a specific group of people, say, university students, is not going to help you much. However, changing the Swiffer into a smaller version, one that fits inside a dorm room desk drawer, might just work.

So, before you jump into niche marketing, ask yourself these simple questions to find out if your
product is niche marketing worthy.

Niche marketing research and Keyword research go hand in hand. The main goal is to find a niche keyword and check out its competitiveness. Expand your search to uncover new unexpected market niches rather than stay in the predictable areas that everybody else is targeting.

However, keyword research is not the end of your work. After identifying suitable keywords you have to dig deeper to expand your search:

• Check websites that unite people according to their interests. You will see patterns of niches you never thought of.
• With a broad niche in mind search for news on this topic to narrow down the niche.

The key is to remain a step ahead of other niche marketing competitors by being creative and innovative.

Niche marketing allows you to tap into smaller defined markets which large marketers cannot target. This leaves open a wide opportunity for niche marketers to capture market share with relative ease and far less cost.

The successful niche marketer needs to constantly look for the right balance between competition and search volume. They also need to analyze the nature of the niche to determine how much potential it really has before they enter it. By doing this they find markets that can make them profitable very quickly.  Throguh constant effort and application it is very possible to make a comfortable living online using niche marketing.

It’s been said that when asking a question, the best answer is often another question.  The reality is that more often than not, the most direct way to finding an answer is through a string of basic, yet targeted questions – which in turn causes you to think and vocalize in an attempt to find the desired solution.

The same techniques used in this questioning game could also be used in your business to develop a kick-ass niche marketing strategy.  While keeping focus on your product, service, customers, goals and market you will slowly begin to uncover a strategy that is tailored to fit the needs of your business and your target audience.

Niche marketing is all about segmentation, and by discovering that perfect slice of the market you will be able to generate massive profits and take your business to a higher level of productivity.

To get your thoughts sparking – start off with the four W’s:

Who? What? Where? and of course Why?

Who Questions:

• Who is it you would like to benefit from your product/service?
• Who is your absolute perfect, targeted audience?
• Who needs your product/service?
• Who wants your product/service?
• Who has the funds to purchase your product?
• Who does not have the funds to purchase your product?
• And for the previous question, how can this be adjusted?

What Questions:

• What the hell are you selling?
• What makes your product/service better than that of your competitors?
• What do you have to offer that is different?
• What do you want to get out of your business?

Where Questions:

• Where is the ideal location for your to sell your product/service?
• Where would be the ideal location to advertise?
• Where would your product/service be used?

Why Questions:

• Why would anyone care about what you are offering?
• Why is your product worthy of market status and respect?
• Why do you love what you are selling?

As you’ve probably noticed, it’s not as easy as it seems to answer these questions when you’re asking them to yourself.  If you’re still unsure about what type of strategy you should be implementing, take a look at your competitors advertisements, websites and products and compare them to your own.  If you analyze long enough you should be able to identify exactly what is needed to take the top spot within your particular niche market.