Discovering Your Niche For An Online Marketplace: How To Ace It?
by Ordering on Jan 19, 2022 9:41:30 AM
Online marketing platforms are an opportunity for you to make large amounts of revenue in a short space of time. They are every entrepreneur's dream, but as with everything in life, they also come with a clause.
See, you cannot earn unlimited cash by providing items that no one wishes to buy.
Not only can you not reach your full potential and grow if you supply too many things instead of having a specific niche area.
You do not want to be the entrepreneur with many prospects when selling goods online and be so random that you fail. It would help to aim big and find a niche area that sets you aside from everyone else.
A great example of this would be when Amazon lost a substantial revenue, $957,230 to be precise, in the Indian market in 2014. They could stabilize and remain strong because they are a large organization and receive regular cash injections from unexpected sources and investors.
However, as a smaller entrepreneur, you will struggle to raise funds to begin your initial startup, pushing to the side the prospect of getting the funds and then losing them and expecting to find someone else to fund you after you failed the first time around! That is bang on impossible.
That is why discovering your niche is essential if you wish to ace selling on an online marketplace.
Setting aside the finances and any other obstacles will stand in your way. An example would be if you decided to sell food and aimed at being an organic supplier with a certificate that sets you aside and recognizes that your items are organic and have received the stamp of approval for being legitimate from governing sources.
Once you have got that seal of approval, it is a small baby step because building up confidence amongst other people and convincing them to supply to them will see you taking a big crunch with your finances! By no means will you rake in wads of cash in this timeframe.
Find your niche and find it fast, but how do you do so?
Discovering Your Niche Area
To discover your niche area, you must ensure that you offer a high value to sellers and buyers. When you can provide something with a high level of value, you effectively solve a problem and offer a solution. The more niche it is, the easier it is to solve.
A great example of this would be Task Rabbit, the founder of the marketplace; Leah wanted to head out to the store one day to get dog food, but the cold outside was more significant than her desire to go, and she could not venture out.
That was the ultimate signal for her to found the platform Task Rabbit and create a marketplace where people could help one another run an errand.
Market Research Is Vital
You need to conduct market research to understand different niches and their issues when put into practice. This will enable you to determine the problems you can solve in your business model and that you cannot.
Once you have hit the nail on the head and discovered the niche area that you wish to roll with, you then need to make a community to market to. You will then be able to review the issue and communicate the solution and the niche area to the people that will be your customers.
So, if you choose to offer vegetarian food, there is a shortage of vegetarian options for people who like to sidestep meat. Play on the card of how unobtainable and nearly impossible it is to get your hands on vegetarian food options.
Portray yourself as the superman or superwoman of the vegetarian world, flying in to distribute vegetarian food options that are tasty and easy to grab when needed.
Find A Partner
When you decide on the niche, you will have to find someone to partner with you who can share the same passion as you do for the venture.
For example, there is no point in partnering with a meat-loving, teeth-grabbing succulent steak eater when you have a vision for vegetables and vegetarian animal-friendly foods.
It would be best to see eye to eye with your business partner and share similarities and passions to help you reach your goals.
You can ace anything in life if you want it badly enough. The amount of work you put into the venture before starting, the research, and the planning stage play a considerable role.
The more time you spend, the larger your return on investment. It may seem complicated; however, it is also lucrative and well worth your time when you focus carefully on what you want.
Best of luck, and remember, Rome was not built in a day. Be patient and ensure that you do things with accuracy, consistency, and, more importantly- passion. Online marketplaces are the way to go in 2022.
Topics: Solutions and Use Cases