When you first start your online company, the first and most obvious issue you will ask yourself is…what am I going to sell? Points to consider when deciding the answer to that question are:
· Is it light and at ease to ship?
· Is it a digital good that is downloaded (e-book or software)?
· Is it perishable or breakable?
· Does it have to be seen and held (designer fabrics, perhaps)
· Is there enough request to make your venture profitable?
· Does it have little rivalry from large online companies (niche products)?
The last two characteristics are the ones that can be hard to pin down. Here is a generally accepted method of arriving at an idea of how heavy the request and competition is for a merchandise.
If you have a special curiosity in some goods that meet the above criteria, great, but don't limit your research just to items you like. You are looking for a niche product with relatively good demand (enough to make it profitable), but without heavy rivalry.
One way to see what the demand is for goods you are interested in is to look at Google to see how repeatedly people search for the merchandise you are considering.
The result of all this research should be that one or more products will fit into a niche market - goods with some request, and relatively little supply. For the best results, focus on one niche product category, and offer a wide selection. That way, you can become the best online mine for that particular category. For example, instead of present general craft supplies, offer the widest possible selection of needlepoint kits. This strategy will also allow you to rank higher in search engines because you can optimize your pages for fewer, more specific, keywords.
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