Membership Niche Selection Tips

Membership Niche Selection Tips

Article by John

This article explains how to select a profitable niche for your membership business.

First – Look for Fanatics

The first step in developing a profitable membership business is to find a market with fanatics in it. What’s a fanatic? It’s someone who is so excited about a certain topic that they will spend their time and money on information about it. Now that we know what we’re looking for, let’s talk about how to find them…

Look at magazine racks. This is an often overlooked, yet extremely simple way to find niches that people are interested in. It’s becoming increasingly difficult to run a print magazine. So if you see one on the shelves you know they are making money, which means that there are enough people interested in what they’re saying to make it profitable. If they can make money in a print version, you can probably make money with a membership website.

Pay attention throughout the day in your regular activities. See what people are talking about on the radio, TV, at parties, in public, etc. If people are talking about something, they probably want to know more about it. And that may also mean they’re willing to pay money to learn more about it.

Again, looking in the physical world for clues you can tell there are lots of people interested in something if there are clubs and organizations around the topic. Conventions are expensive to hold and attend, so if one if going on that’s another strong indication of a good niche to go into with your membership website.

Think about the things that you are interested in. There’s a good chance that others are interested in these things, as well. The icing on the cake here is that you get to build a business doing something you love.

Google Trends. This is a great way to figure out what people are interested in. This service shows you the current most popular search terms. The reason people are searching Google for info on these topics is because they are interested. And the fact that it’s made it into Google Trends tells you LOTS of people are interested. Building a membership business around things people are actively searching for is a great way to ensure your success.

Next – Figure out if there’s money in it

OK, so you’ve got a great idea for your niche membership business with lots of fanatics. But will they actually spend money? The quickest way to find out is to determine if others are profiting in your potential niche.

OK, how do we figure that out?

Are there blogs or forums in this niche? Take the name of your niche and search for “niche name blog” & “niche name forum” in Google to see if there is an active group of people talking about and interested in the niche. This lets you know there is a market (a group of people actively interested in the niche.)

See if other people are creating and selling product in this niche by searching in Google Shopping, ebay and Amazon. If other people are creating and selling products in this niche, it means there is money to be made.

Monitor Google Adwords to determine if people are running the same ads for weeks in a row. If they are, this means they’re making money on these ads – otherwise, they’d stop running them. Which means there is money to be made in your niche.

Last, but not least… How hard will it be to break into this niche?

After figuring out a good niche and determining that other people are making money in it, the last thing to do is decide if you will be able to enter the market. Here’s how to make this determination:

Figure out what kinds of products people are interested in. If it’s mostly physical products, coaching and live seminars, then it will be harder to break into this niche. That’s because it’s much easier to build a membership business around information vs. any other kind of product.

Competition. How many other people are trying to sell to this market? You want to start in a market that’s not completely saturated with competitors.

Unless the market is just so big that it doesn’t matter how many competitors there are, you want to limit the competition. So evaluate the size vs. the competition.

How ready is the market for marketing messages, and how willing are the fanatics to buy. Some niches are made up of people who require lots information and have a very long lead time, and some markets are filled with people who will spend lots of money right now.Putting it all together

At this point you’ve figured out what niche you’re going into. You found your fanatics, you know they spend money and you’re confident there’s room in the market for you. If you’ve done your homework, your business will be a success because you already know your market is a profitable one with room for you. Learning how to run a membership website is a topic for another article…

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