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How to Pick a Niche: Choosing a Profitable Niche

how to pick a nicheKnowing how to pick a niche is a skill that differs depending on which types of online marketing you have in mind. For example, a niche that is designed to convert customers into sales might not be suited toward being used as a niche for a blog.

Learning how to pick a niche involves knowing your own personal preferences. A niche should somewhat align with your own personal interests. For example, if you enjoy golf, a niche in the golf category might be the perfect pick, depending on how you intend to market your online business.

How to Pick a Niche for CPA Marketing

CPA marketing, or cost-per-action marketing, involves marketing a company’s product through paid search or a highly trafficked website. Visitors fill out a form and submit their credit card information in return for receiving a free sample or a trial version of a product. In return, you earn a commission for referring that customer. This is easier in some respects than straight affiliate marketing, because the enticement that a free trial or sample provides often spurs customers to submit their credit card more quickly than for an expensive product.

But do you know how to pick a niche for this market? Ordinarily, you need to pick something that is close to a person’s heart, either physically or emotionally. Diet products that promise amazing results are often a popular option, as are free trials for dating sites. Products or services that offer nearly immediate gratification are ideal.

CPA marketing is often the market that has the least to do with your personal interests. You need to pick what sells, not what you’re interested in, per se.

How to Pick a Niche for Affiliate Marketing

If you want to find out how to pick a niche for affiliate marketing in general, then all you have to do is make a list of your hobbies and interests. Some examples include music downloads, sports, musical instruments, ticket sales, kitchen gadgets, Apple electronics and home decorating.

Within these big niche categories, choose a subcategory that you can really focus on. You want to build up rapport in this market, but you can’t dominate every aspect of any category. Thus, the smaller the subset that you choose to focus on, the better your chances of dominating and making an authority website.

Once you’ve chosen your niche, search affiliate platforms like Commission Junction and LinkShare for companies who sell products like the ones you wish to promote. Knowing how to pick a niche does you no good if you can’t find products to sell!

How to Pick a Niche for Blogging

You can choose virtually any niche you desire if you just plan to monetize a blog with sponsored ads. The skill of knowing how to pick a niche for blogging relies mostly on your own ability to create content for that blog, either through your own research, professional knowledge or life experience. If you can’t write your own content, you may need to hire an independent contractor to do it for you.

You can also choose to sell products on your blog, just as on your website. But many bloggers don’t want the hassle of inserting affiliate links and prefer to just select a niche that drives lots of traffic, which in turn increases the odds of visitors clicking on sponsored ads.

All in all, knowing how to pick a niche involves selecting a business model based on something you’ll be interested in and with which you’ll be able to make a good return on investment.

 

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About Sean Donahoe

Sean is one of the most recognized industry leaders in business and marketing. As a popular speaker, author, consultant he has helped over 50,000 students world wide find success in their businesses and has consulted with Fortune 500 companies and businesses of every size grow and thrive...

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One comment

  1. Hey Sean! Nice tips, but I’m wondering one thing. As an affiliate marketer, I don’t always go after niches that I’m actually interested in. Do you think I should confine myself to niches that I really have knowledge or interest about? 

    For example, let’s say I want to run a Video Marketing Campaign on a product that’s paying me up to 50 bucks per sale and I feel I can beat the competition, but.. I don’t like that niche, it’s not even close to any of my interests. In such a scenario, should I go ahead and force myself to research on it and do it anyway? 

    Also, outsourcing content generation is kinda out of the options right now, because I’m a beginner and poor, LOL. But yeah, I most certainly will once I start making a regular income. (Sidenote: I REALLY love your CPA niche selection explanation – I’ve never come across a better guide for selecting CPA markets to target before! Thanks for that.)

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