Looking for a New Business Idea? Here’s How to Identify What People Need.

If you can identify an unmet need, a niche, you and your company could declare it yours.

If you’re a potential entrepreneur, it is sometimes tempting to believe that all good ideas for business have already been adopted. In a world where every sector seems to be flooded with companies (particularly in the age of e-commerce), it isn’t easy to figure out how to distinguish yourself from the crowd.

However, there’s still lots of opportunities for those willing to look more. When they look for specific, unmet needs in their field of expertise, entrepreneurs can come up with brand new and highly profitable businesses that are their own.

In the end, you don’t need to please everyone to build an enterprise that is successful.

1. Be aware of your desires and unmet needs

If pursuing your passions is a standard beginning point for entrepreneurs of all kinds, this is particularly crucial when discovering the needs of a specific niche. Focusing on your passions will make it easier to pinpoint areas in which your needs are currently not being fulfilled.

Making a list of your hobbies, skills, and interests and the problems you’d like to have solved in your life could be a great starting point to find unique opportunities.

Sometimes, entrepreneurs can find niche business opportunities by combining elements from various hobbies. In a smaller way, it can be found on sites like Etsy, where, as one instance, you’ll see items that blend an individual’s aptitude for laser-cutting wood art with interest in video gaming.

2. Find out what competitors in your field don’t have.

If you have a particular sector in mind, it might be beneficial to research competitors. Do not just examine what other businesses in your field offer -take a look at a range of businesses sites to understand better particular items or services that aren’t readily accessible.

This was evident in a recent discussion with Ashley Sarnowski, co-founder of Sunnie Hunnies. She explained, “We found our niche specialization in super soft and comfortable swimwear for babies and toddlers partly because of a problem in our families. What really gave us the motivation to create our own brand was researching and discovering that the products we wanted were not available in the marketplace. Our research helped us gain conviction that we could provide something different in a competitive market.”

3. Find out who the audience is.

You can look beyond your personal experience and gather ideas for niche requirements by asking people who could be your target market. You can start by asking your friends, family members, or business acquaintances, or you can join online communities and participate in the conversations of their members.

Take note of the problems people face and the services or products they would like to have or the questions they’re asking. Think about how these issues and needs connect to your specific niche and how you can apply your knowledge and skills to offer a solution.

Apart from assessing the issues and requirements, it would help if you looked deeper to know their purchasing patterns and motives. When you can better comprehend the personality of your intended market, you’ll be able to create an appropriate special item or product. You’ll also be able to promote it effectively.

4. Conduct keyword research

Your personal experiences or tales from your family and friends could assist you in identifying needs that aren’t being met. However, not all niche concepts are created to be the same. Before committing to the idea of a niche-based business, it is important to conduct keyword research to prove its potential.

Based on NerdWallet, “If a keyword has less than 500 search per month it is having a tough time in terms of the demand. The ideal is between 1,000 and 2,000 search results per month. With that kind of number you’ll be able to evaluate your service without burning funds.'”

However, if a particular keyword receives more than the expected number of searches, it could be as popular or as underserved as you thought. Tools such as Google Trends will also determine whether interest in keywords fluctuates in time or if the product or service has variations in its demand over time.

If other companies already are in the sub-niche you want to be in does not mean that you cannot make an entrance into this market. Utilize your initial research on keywords to help you determine your superior or different product to make an impact in these small markets.

Finding success by niching down

Finding the best products or services to fill the right industry will enable your company to be much more efficient and profitable than if you were to appeal to a large market.

Focusing on a smaller area means the general audience is fewer companies that concentrate on the more niche audience typically succeed in generating more profit. With lesser competition and the capacity to participate in more specific marketing, entrepreneurs can create significant brand loyalty and boost word-of-mouth. If you are among the first to establish a presence in your area, it is possible to be the king of SEO.