I talk with hundreds of people every week via phone, webinars and in person about starting an online business.
Many of them are new to the entire scene of online marketing.
For most of them, this is their first venture in to the big world of eCommerce.
There are two main hurdles I try to “sell” to them from day one. Jumping over these two hurdles can help them be most successful with their online business.
- Finding Suppliers
- Finding a Niche
I put these two hurdles in this order mainly because, if you don’t have anything to sell, it doesn’t MATTER what your niche is. Finding wholesale suppliers can be easy if you know where to look.
But the topic I wanted to write most about today is finding a niche and why it’s so important.
I found this article that can’t say it any more directly from Perry Marshall:
Last night I was in Indiana and a guy I don’t know very well asked me what I did.
“Marketing consultant. I specialize in Google advertising.”
2-3 years ago that answer usually produced a puzzled look. Most people didn’t even know that “Google” and “advertising” even belonged in the same sentence. Now PPC is so mainstream, it usually provokes a further series of questions.
Will says, “You know, I’ve been thinking” [I think know what he’s gonna say next] “….why don’t I start some kind of online business where I take orders and send them on to the manufacturers who ship stuff direct for me, and…”
I replied, “A lot of people do that, and there’s an endless supply of manufacturers that know how to make stuff but don’t know how to sell it. You’ll find them at any trade show. Oh and by the way, the BIG opportunities are with the foreign manufacturers, cuz they have no clue how to sell stuff here. That model can definitely pay off.”
We talk some more. I explain, “Now here’s a litmus test that will tell you if you’re in the right kind of business.” We were standing in the lobby of his church and someone was playing music in another room somewhere.
I said, “If you walk in that room and give one of your church buddies the elevator speech for your business, and they immediately understand it… you’re in the wrong business. If you’re starting a solo online biz, the only way you have a chance is if it’s a niche within a niche.
“If you tell them, ‘My business sells RS232 interfaces for computers made between 1995 and 2000 and we enable software communication with Unix blah blah blah’ they’ll have no idea what you just said. That’s probably a good niche.
“Or if you tell them, ‘I do property tax negotiations for landlords who’ve failed to file form GL632 and are in violation of the Underhill Act of 1964’ their eyes will glaze over because they don’t get it. That’s probably also good business to be in.
“You want to choose some teeny tiny hill and be the #1 king of that hill in the whole world.”
He nodded his head excitedly. “I GOT IT! THANKS!”
The lightbulb went on. I was there when it happened, I saw it :^> He’s a sharp sales guy and I’m sure his imagination is working overtime now.
And so it is with you. If you’re getting killed in a mainstream market, narrow your focus to a smaller niche within that market. Fight a battle you can win, and prevail…
This article sums it up!
Be the king of that small hill that has some demand but has little competition and DOMINATE!
I love online marketing. I put in minimal time with some of my online businesses and they continue to make money. Why?
- Not because I was sold in to some “get rich quick” scheme
- Not because I picked the “hottest products out there” and sold them
- Not because I knew all about this online marketing stuff before I started
- Because I’ve found SPECIFIC NICHES and then dominated those niches over and over again!
How are you implementing what Perry writes about?