Most internet home business entrereneurs fail when they start their internet business because they make one large error.
They don't find out if there are potential customers for their product before deciding on what to sell.
Internet home business entrepreneurs need to find a niche market looking for their product before they decide on a product to sell online.
Once a product or service is found that can service a particular niche market, the internet entrepreneur must do market research to ensure their idea is a profitable one.
To avoid this fatal mistake follow these three simple steps.
Step #1: Brainstorm your own passions and interests
Internet home business entrepreneurs are more likely to succeed if they base their business on something they have experience on or expertise in.
You won't be motivated to stick with a business that you are not interested in. Let your interest and passions guide you when choosing a niche market.
Unique skills and interests can come in a surprising variety of forms. For example, knowing how to pass the exam required to become a firefighter is a skill on which you could base a business. So is quilting, or collecting model trains, or kicking a bad habit like smoking or biting your nails. But a lot of people find it difficult to think of their own unique expertise.
You should sit down and create a list of all of your jobs, hobbies, interests, volunteer work and any challenging situations you have overcome in your life. You will see this is a good place to start...don't be modest!
Pick out the areas where your particular interests lie. Once you have this narrowed down to a few different areas you will be ready to do your market research.
Step #2: Find a niche
When it comes to finding a niche market, you've got to think small if you want to find big profit potential.
Smaller, specialized, untapped niche markets can be the source of big revenue streams.
On the Internet, a niche market is a group of people who are searching to solve a common problem but not finding many (or any) relevant results.
People do not usually go online to buy (at least right away), but to find answers to a problem.
Once you've found a group of people who are all looking for a solution to the same problem -- without success -- you'll have discovered the "hidden treasure" that will form the basis of your successful internet home business!
If you start with a big, broad market you will likely find it full of competitors. You need to think small.
To strike gold you have to be patient and not rule out any possible avenues you have brainstormed. You need to keep drilling down to make a small market even smaller.
How will you this kind of market?
With a simple keyword research tool like BeBiz you can find out exactly what people are looking for -- and failing to find - on the internt, based on the passions and interests you identified in Step One. Then all you have to do is think of a way to sell them what they're looking for.
Starting your internet home business in this manner will ensure you know there is a market of potential customers out there who want your product...all before you spend any time or money on cerating it. When you think you have your niche you still need to validate the market before running out and creating the next hot product.
Step #3: Validate your market
You need to confirm your market has profit potential in it at this stage. Can you actually make revenue from it?
To find out, ask yourself these four key questions:
1. Can you easily reach and define the market you are validating? Most potential market groups will have a place they congregate on the internet. Use places such as forums, discussions boards, club sites and online groups to analyze exactly who your potential customer is.
Once you know who they are, you'll have a much better idea of whether they'll buy from you.
2. Is the market big enough to be profitable, but small enough that there aren't many competitors?
If you find there are lots of well established, well funded and well supplied competitors in your market...get out! You want to find a small pond but it needs enough fish to make your efforts profitable. If there are too many competitors keep looking for a more precise and smaller market.
3. Do your potential customers have money... and are they willing to spend it?
You need to know if these people actually buy stuff... so it's a good sign if there's some competition already selling products to the market. You'll have a much harder job selling to people if there are too many free products or free sites available.
4. Are they passionate enough about the problem they're trying to solve that they're willing to spend money on your product?
A motivated market eats, sleeps, and breathes their interest... so you want potential customers who are so passionate that they must have all the information related to their subject.
People who are obsessive about their passions, such as video gamers or stamp collectors make a profitable market!
In closing
When starting your internet home business it is essential you follow these three steps. If you find a niche market based on your passions you will be able to create a business you are motivated to make work. If you validate your market before you create a product, you can be confident you internet business will be profitable.
This simple, but effective formula will start you on the path to internet home business success.
They don't find out if there are potential customers for their product before deciding on what to sell.
Internet home business entrepreneurs need to find a niche market looking for their product before they decide on a product to sell online.
Once a product or service is found that can service a particular niche market, the internet entrepreneur must do market research to ensure their idea is a profitable one.
To avoid this fatal mistake follow these three simple steps.
Step #1: Brainstorm your own passions and interests
Internet home business entrepreneurs are more likely to succeed if they base their business on something they have experience on or expertise in.
You won't be motivated to stick with a business that you are not interested in. Let your interest and passions guide you when choosing a niche market.
Unique skills and interests can come in a surprising variety of forms. For example, knowing how to pass the exam required to become a firefighter is a skill on which you could base a business. So is quilting, or collecting model trains, or kicking a bad habit like smoking or biting your nails. But a lot of people find it difficult to think of their own unique expertise.
You should sit down and create a list of all of your jobs, hobbies, interests, volunteer work and any challenging situations you have overcome in your life. You will see this is a good place to start...don't be modest!
Pick out the areas where your particular interests lie. Once you have this narrowed down to a few different areas you will be ready to do your market research.
Step #2: Find a niche
When it comes to finding a niche market, you've got to think small if you want to find big profit potential.
Smaller, specialized, untapped niche markets can be the source of big revenue streams.
On the Internet, a niche market is a group of people who are searching to solve a common problem but not finding many (or any) relevant results.
People do not usually go online to buy (at least right away), but to find answers to a problem.
Once you've found a group of people who are all looking for a solution to the same problem -- without success -- you'll have discovered the "hidden treasure" that will form the basis of your successful internet home business!
If you start with a big, broad market you will likely find it full of competitors. You need to think small.
To strike gold you have to be patient and not rule out any possible avenues you have brainstormed. You need to keep drilling down to make a small market even smaller.
How will you this kind of market?
With a simple keyword research tool like BeBiz you can find out exactly what people are looking for -- and failing to find - on the internt, based on the passions and interests you identified in Step One. Then all you have to do is think of a way to sell them what they're looking for.
Starting your internet home business in this manner will ensure you know there is a market of potential customers out there who want your product...all before you spend any time or money on cerating it. When you think you have your niche you still need to validate the market before running out and creating the next hot product.
Step #3: Validate your market
You need to confirm your market has profit potential in it at this stage. Can you actually make revenue from it?
To find out, ask yourself these four key questions:
1. Can you easily reach and define the market you are validating? Most potential market groups will have a place they congregate on the internet. Use places such as forums, discussions boards, club sites and online groups to analyze exactly who your potential customer is.
Once you know who they are, you'll have a much better idea of whether they'll buy from you.
2. Is the market big enough to be profitable, but small enough that there aren't many competitors?
If you find there are lots of well established, well funded and well supplied competitors in your market...get out! You want to find a small pond but it needs enough fish to make your efforts profitable. If there are too many competitors keep looking for a more precise and smaller market.
3. Do your potential customers have money... and are they willing to spend it?
You need to know if these people actually buy stuff... so it's a good sign if there's some competition already selling products to the market. You'll have a much harder job selling to people if there are too many free products or free sites available.
4. Are they passionate enough about the problem they're trying to solve that they're willing to spend money on your product?
A motivated market eats, sleeps, and breathes their interest... so you want potential customers who are so passionate that they must have all the information related to their subject.
People who are obsessive about their passions, such as video gamers or stamp collectors make a profitable market!
In closing
When starting your internet home business it is essential you follow these three steps. If you find a niche market based on your passions you will be able to create a business you are motivated to make work. If you validate your market before you create a product, you can be confident you internet business will be profitable.
This simple, but effective formula will start you on the path to internet home business success.
About the Author:
CEO of The Internet Marketing Center, Derek Gehl teaches over 1.8 million Internet home business owners per month on how to create incomes of $100,000 to $2.5 MILLION or more per year online.
No comments:
Post a Comment