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How to Choose a Winning Niche Market for Your Business

The word “niche” by its definition varies and depends on what study it refers to i.e. biology, ecology science or industry you are referring to.

In this particular article, we are going to focus on niche market other than the broad definition of a niche.

Following the step by step process discussed in this article, by the end of it you should be able to determine your niche market – I should say your potentially profitable niche market.

What is a niche market

In affiliate business space, a niche always refers to niche market. For simplicity, we are going to refer niche market as niche throughout this article.

So a niche is simply a particular segment of market that are looking for a specific product or service. It refers to a group of people, which is your audience with the same interest or want for a product or service.  I hope I did not confuse you there.

Why need to choose a niche

You want to be seen as specialist not generalist.  Without a niche, you have to compete with giant business owners who have huge budget to promote their business and products.  As an affiliate, you can’t afford to compete in this level. It simply not your game.

By having your market niche you are separating your business from the mass market and focusing only to certain group of people which are searching for products or services which no one has produced or introduced to them. You are actually filling up the gap of the current market.

Niche Ideas

Choosing a niche is a perquisite before starting any online business. Be it an affiliate business or selling your own product or service, there must be targeted buyers which the product or service is going to be sold.

There are a few ways you can start your niche ideas.

The easiest way to start your niche is by looking at what is your passion, hobby or something you have vast knowledge about.  This is optional.

You can venture to any niche you choose as long as you make a thorough research about it.

One of my favorite places to search for a niche ideas is Answers.com. On the site there are a bunch of categories listed which are broken down to various very narrowed segments. Browsing through the list to get ideas on what your niche.

If you intent to be an affiliate promoting physical products, a great place to search for a niche is Amazon.com.  Amazon sells over 480 million products in USA alone with an average of 485 thousands new products listed in their catalog every day.  And these products are categorized to specific section – the smallest section within a specific department – those are niches.

Another section in Amazon website you can search for niche ideas is the Amazon Best Seller Sections and see in the categories section and see if there is anything interest you.  These are products that bought and reviewed by real end users.  Looking in this section will give you the impression of certain categories of product in which you can choose a niche.

Niche Verification

What I mean by niche verification is that you want to make sure the niche you have choosen are not too small that you find it difficult to reach enough audience later. If the niche is too small and not expanding it’s going to be too challenging to have content about the topics around it and also, over time it will be scaled down.

Find something that consider evergreen where it has proven demand for the products is always available – example of this is health section.

Keyword Research

For that purpose, one thing you can do is make a search over the internet and see if your niche is something people are searching for in other words there are potential audience for the product or service you are going to be promoting.  It defeats the puspose of having a very narrowed niche but there is too little audience to present to.

When it comes to keyword research, there are two (2) methods you can use:

1.  Alphabet Soup Technique
In Wealthy Affiliate (WA) there is a section where we are tought about using this Alphabet Soup Technique which I am going to share with you today.

If you to Google and start typing for a search term, Google will give some dropdown suggestions.  Starting with a term and space, if you put an ‘a’, Google will present you with all possible search terms to you and you can choose the phrases you are looking at.  Google suggest these words and phrases based on search terms people are normally search – meaning there are other people looking for the same words or phrases as your choosen niche.

== >>>  Watch the full tutorial on how to search for the right keyword using the Alphabet Soup Technique here (video).

2. Using Keyword Research Tool
The second option is using a keyword research tool.  There are a number of keyword research tools out there – free and premium.  For a start, you might want to use the free keyword tool like Google Keyword Planner (you need a Google account to access this tool).


We, at Wealthy Affiliate are using Jaaxy (keyword and niche research).  The free version gives you 30 top search results.  The advantage of using Jaaxy compared to other free keyword research tool out there is that it gives more details about the keyword such as traffic, SEO value, QSR (Quoted Search Result), KQI (Keyword Quality Index) and whether there is available domain related to the keyword.

You may try using Jaaxy keyword and niche reserach tool below.

Formulating A Winning Niche

Formulating a winning niche simply means choosing a niche that is profitable, sustainable and expandable.

Market niches are not static but rather dynamic. Over time the demand for certain product or service will change, either increase or decrease due to many factors – technology change, trends, usability of products and so on.

Ask these questions to yourself to ensure you have chosen a winning niche.

  1. How long the product or service that I am going to promote lasts? e.g. seasonal product or service will be a challenging niche to sustain.
  2. What type of audiences I want to target?  Are these audiences have sufficient numbers for the niche to be profitable.
  3. If there are changes to economic environment, can this niche sustainable?
  4. Can this niche expanded and grow over time?

If you have positive answers to all these questions, you have a winning niche.

We really hope, by now you have the idea how to search for a niche and be able to start identifying one that most suitable for you.

If you have comments or feedback, please leave them below and we will be pleased to answer them at best.


  1. Understand How to Make Money Online
  2. Choose A Niche
  3. Building Your Own Niche Website


This post contains some affiliate links. Read my full disclosure.

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