Follow your hearts desire, this is the common advice you get from family and friends. While this may be true and effective to some, what if that passion of yours doesn’t actually make money?
Would you still consider it a good idea when planning to create a money-making business online?
Here Are 5 Easy Steps You Can Do In Identifying Your Money Making Business Online
Step 1 – Brainstorming Ideas
If your passion does not give you the opportunity to create a lucrative business online, leave that behind. What you can do is create a similar version of that passion by expanding the idea or narrowing it down to a more specific niche.
Say, instead of simply selling dog accessories, why don’t you try to do a more specialized business related to dogs. Like “Dog Hair Care And Grooming.”
The key here is to create a list of all your hobbies and skills. Include your past experiences too. After that, add topics that you have long wanted to learn about.
Once everything is laid down, use this as your keywords and start to google them. You will notice that while typing the word or words in the search bar, there are other suggested keywords that comes up from its autosuggest feature. You can also see more from the results.
Observe the following results and from there, you can explore more and expand your ideas. Take note on the following:
- How many similar businesses exist online? Are they making money?
- Are these products also sold in Amazon and eBay?
- In what catogories do they belong on these sites?
- What is the extent of products or services covered in this niche, and what were not?
Keep in mind that those missing parts is or might be your big chance to make good in this niche. However, make sure to do some further research and find out why it has not been tap yet. (It should not be that there is no need for it, otherwise, this particular field is not a good idea after all). Looking at the other possibilities (which are usually profitable) is often overlooked.
Step 2 – Ensure That The Business Actually Pays
Many entrepreneurs fail in this area. Common reason is: to barge into a business they like without knowing first if:
- The market would pay for it?
- How much are they willing to pay for it?
- What other items they typically buy on top of what is offered? Are they shopping the same products in other online stores?
- How much of the target market is expected to purchase and provide income and sales?
- How often can or will a potential client buy the product?
Keep in mind that even though you are an expert in that niche and could probably market a good number of that product, it is still important to do the math. Is the number sufficient enough to do a business for that particular item? If not try to research further and do step 1.
Step 3 – Take a List of Your Ideas
Again, start brainstorming. Let your ideas flow out freely and don’t start to rule out anything just yet. Think deeply, is there any skills or achievements that you neglect to jot down? Ask these questions or do some comparative analysis of the following (this could help):
- What are my strengths and weaknesses
- What I like and hate the most
- What makes me so busy and what makes me lazy or shy of doing
- What are the skills I acquired and assets I already have
Do not rush this part. Think hard and deeply. Do not miss out anything. Knowing the answers to these questions significantly defines you in a deeper sense, where and what you do best or the weakest, your interests, even your shortcomings. Knowing these facts can lead you to realization of what you really want and what you are capable of doing best.
Don’t mind those listed activities that makes you lazy or unproductive, instead, focus on the activities or topics where you are most productive and prolific.
Step 4 – Make Sure To Have That Touch of Originality
To create a lucrative online business, you have to be highly unique and must specialize in that field. In short, you have to “stand out from the crowd.”
Take stoneware pottery business for example. With the hundreds or thousands of competitors online producing the same pottery designs, what do you think is your edge among them? Try to observe around and see what people are fond of. Say they love frogs, so to put a zing to that ordinary pottery, why don’t you design your line of stoneware products with frogs from mugs to plates to other frog crafts you can think of.
This is how you make your skills, assets and passion put to use and build a business out of it but with a touch of originality.
Of course, before you end up with the “frog” idea, market research is involve. So basically, the first step is to list down your ideas then followed by research. But remember, this is not a quick research. This should be carried out with attention, focus, careful research and analysis to every possible aspect of your niche.
After that, you can do your initial internet research if there is a demand for it. If there is, check further to find out if that particular niche can bring in cash.
Step 5 – Know Your Market
At this point, you have already pinpointed your niche. Now is the time to dig deeper into the specifics. Learn what your target market urgently needs or want. To find out, you need to ASK!
You can ASK through the following activities:
a. Participating in forums and ask members directly. It is best to join forums related to your niche. Read past and present posts about the topic and look for feedback, complaints, wishes and questions.
b. Participating in social media. You can ask friends and followers (who are in your target market) about their opinions, wants, needs, etc… Ask them anything under the sun related to your niche. Grab as many ideas as you can.
c. Performing Surveys. Maximize the use of survey sites like Survey Monkey. Then use the social networking sites you have or forum sites to ask people to answer your survey.
d. Looking for your competitors. Find out what complaints they commonly receive about their products or services. Check out reviews. Find out what customers are asking for. Determining what they do and what they supply and cannot supply. What are their good points and bad, their strength and weaknesses. In what way can you be better?
Remember, the more research you do the better. Ask yourself more searching questions:
- How much time can I commit with my business idea?
- What is the size of my expected market?
- What is my edge in my business among my competitors?