Remember to Consider Market Trends!
Remembering to consider the market trends in a niche is one of the most important factors to take into account before you persue it and it will be a deciding factor in whether your website makes money or not.
When you decide to pursue any niche there are usually a few factors which should have played a part in helping you to make your decision. The following factors are most probably the ones which you were able to confirm:
- Your niche has enough search demand in the search engines
- Your niche is not too competitive in respect to competition
- Your niche has enough products within it to promote and are selling well
But did you ask yourself if your niche products are selling all year round?
There are certain niche products which will have an obvious search trend, seasonal items such as Christmas decorations or Easter costumes are prime examples of these. But there are other niche products which have slightly more complex search trends which you absolutely must take into account before moving any further with that niche.
Using Google Insights to establish search trends!
Google insights for search gives you a lot of information about the searches performed over the last few years including keywords, rising trends and falling trends. Even if you have established there is traffic to your niche, there are products to promote and these products are selling you should still plug your niche phrase into Google insights and take a look at what the search trends are doing. But don't just concentrate on the Worldwide market, you should be examining the trends revevant to your geographical locality.
You will find that when you start looking at market trends you will see two main types of niche, you have the 'all year niche' and 'the seasonal niche'. The all year niche will still have peaks and troughs but the peaks and troughs of the seasonal niche will be far more pronounced and have a much greater effect on your sales. Lets consider two examples:
A Seasonal Niche: BBQ grills
If you were building a site around the niche of BBQ grills then it's pretty obvious that the majority of sales will occur in and around May to August, so you could expect your site to earn the most during this time, right? Wrong, it's not that simple! If you look at the trends for BBQ grills worldwide then you will see a massive peak around the months mentioned above but that data is somewhat skewed by the larger majority of searches around the world. If you were going to build your site based around search data from the Australian market then you would find from further research that the trends show that the peak in this market actually happens around December, not May to August as is the case in the UK and US markets.
Characteristics of a seasonal niche
- Very high peaks and very low troughs
- High traffic for a month or two of the year and lower traffic thereafter
REMEMBER THE GEOGRAPHICAL LOCATION YOU AIM TO PROMOTE WITHIN
An All Year Niche: Baby milk bottles
With this niche you can see quite clearly from the market trends that it is recieving traffic all year around. Whilst there are peaks and troughs these are no where near as significant as they were within the BBQ grills niche, indicating that there is likely to be a steady flow of traffic all year around.
Characteristics of an all year niche
- Some small peaks and troughs
- A steady trend of medium volume traffic throughout the year
REMEMBER THE GEOGRAPHICAL LOCATION YOU AIM TO PROMOTE WITHIN
Why is the type of market trend important?
There are two main reasons to identify and understand the market trend of any niche. Firstly you need to know that there is going to be enough interest in that niche for it to be financially viable. If you are going to spend hours upon hours researching, building and promoting a website to have it make money for only one month of the year then you have to decide whether it's going to be worth it.
Secondly, you need to know when your site has the potential to make the most money. There is no point marketing a site heavily at a time of year when there is likely to be very little interest. Equally, if you are targeting a seasonal niche then you need to know WHEN to start generating traffic to it.
Which market trend is the best to go after?
The obvious answer is that the market trend with the constant stream of steady traffic is going to be the best to go after because you will always get some sort of income from it. However, there is a lot of money to be made in seasonal niches such as those around the Christmas period. It's just about establishing through thorough market research whether your effort is likely to be rewarded financially in that short space of time, sometimes it is and sometimes it isn't.
Just remember that even when your niche has highly searched keywords and an availability of products to promote which are selling you MUST ALWAYS look at the market trends.
Are you doing well with a seasonal niche? Or do you tend to stick with the all year niches?
Similar Posts Which May Be Of Interest:
- Using Google Insights For Niche/Market Research?
- Finding Profitable Keywords & Niche Markets: Micro Niche Finder Review












Hi Ben,
What a great read! :D
Thank you for introducing me to Google Insights. I will have to have a deeper look at it. I only just mastered understanding Google Reader! :roll: (Which I luv)
Hope all is great! See you back here soon! :mrgreen:
Jacinta :D
Hi Ben
Great post & lots of detail as always.
Got any thoughts on these new FTC guidlines as regards affiliate marketing? I’m confused!
Regards
Mike
Mike Mott´s last blog ..You gotta see this…….
@Mike Mott – Hi Mike,
I read through the new guidelines a little while back when the hype started and the way I understand it is that the FTC guidelines will only apply if you are giving a direct endorsement/recommendation in return for financial reward.
From a niche site point of view we generally do not give endorsements to products, we are simply advertising them along side relveant content. So from a niche site point of view it won’t affect us BUT it WILL affect bloggers who provide reviews or recommendations in return for a commission.
I don’t have a problem with the above at all, I think there are WAY too many people out there recommending products for the sake of a commission. I am always quite clear to my readers that I only ever provide an affiliate link on products I have used and had success with myself. The new FTC guides are just promoting more transparency, which is not a bad thing.
Thanks for stopping by.
Ben
Hi Ben,
Great post and your blog looks great, love the whole wizard theme- brilliant!
totally agree by the way on the FTC guidlines. As long as you are an ethical and honest marketer you will not have much to worry about. This should at least clear out a few of the scamsters!
Thanks!
Steve
http://steve-wilkins.com/
http://www.buildyourebizwithresalerightsandplr.com
Steve´s last blog ..My Top 5 Tips to Choosing the Best Home Business Opportunity
nice post very interested. I am going to recommend this blog to my friends. Thanks:D