Dropshipping is an online business model where a retailer sells items online without stocking an inventory. The first step to starting a dropshipping business is finding a niche. What is a niche? A niche is a specialized market segment for a particular product or service. For example, you can create a dropshipping store that caters to kids' toys because you want to target kids. In this article, I will show you how to find your niche for dropshipping.
This article is recommended for you:
- If you are starting a dropshipping business and want to get it right from the beginning by choosing the profitable niches for dropshipping
- If you are already dropshipping and generating revenues but want to increase revenue
Is dropshipping profitable?
Dropshipping comes with many benefits like zero to little start-up capital, zero expenses on warehouse space, less delivery hassle, and so on. However, like any other business, it has its drawbacks, like restrictions on what to sell, profit margin, etc. So, the success or failure of your dropshipping business hinges on choosing a niche for dropshipping. Once you can unlock this mystery, dropshipping will be a profitable online business for you. Fortunately for you, I will show you how to choose the right niche market and what products to sell and make huge profits.
The commonalities of profitable niches
What makes a niche profitable? It should align with your passion and keep you motivated, but that's not enough. More importantly, a profitable niche should also get demand all year round. In this section, I've divided profitable niches into two to clarify what I'm talking about.
Evergreen dropshipping niche: An evergreen niche or steady niche is a niche that gets demand all year round. A typical example is the yoga store. Yoga is a popular exercise that people practice to promote control of the mind and body. This form of exercise is widely adopted by people worldwide, which puts yoga products in demand all year round. Another excellent example of an evergreen dropshipping niche is a dog, cat, or pet store. Check Google Trends for more ideas on steady niches.
Trendy dropshipping niche: A trendy niche is a niche that is in-demand, hot, or trending right now but will eventually fade off over time. The biggest example I can give you, so you know what I'm talking about, is Halloween costume. If you check Google Trends, you will see a spike in Halloween-related products during Halloween. Would you buy a Halloween costume right now? No! You can make a lot of money selling trending products, just like many people made money selling face masks & hand sanitizers during the COVID-19 pandemic. However, building a sustainable business based on trendy niches isn't possible. Just imagine creating an online store where you sell fidget spinners. You will make sales at a particular time of the year.
You can make money selling either evergreen products or trendy products. However, the former will guarantee long-term success while the latter is for the short-term.
IN SUMMARY: If you want to build a sustainable online business, I recommend that you narrow your search to an evergreen dropshipping niche.
How to reach high-ticket product niches for dropshipping
Finding a niche for dropshipping helps you build an audience, makes it easier to create products for your target audience, and influences your marketing strategies. Follow these steps to find profitable niches for dropshipping.
1. Choosing a dropshipping niche that you're passionate about
The first question you want to ask before choosing a niche is: "What am I passionate about?" or "If I could spend my money on something right now, what would it be?" If you are passionate about something like laptops, you can use that knowledge to look for the best products in that niche. When dealing with a niche you are passionate about, you need to ensure you have an audience for the specific niche. You don't have a business without an audience to buy what you sell.
2. Do product research
After determining your passion, you still need to conduct product research to know which products in that niche will generate a high sales volume. Product research is crucial to finding the right dropshipping products. Choosing a product with low competition and a high-profit margin is a win for any retailer. In our previous example, since you are passionate about laptops, you can consider selling "laptop batteries", "laptop cases", or "laptop memory". Each of these products has high search volumes when you conduct product research. Software and dropshipping tools can help you determine your target audience and other marketing analytics. Don't worry! In the next section, I have listed a few dropshipping tools and software to help you.
3. Check AliExpress niches for ideas
AliExpress is a popular, globally-recognized online marketplace. It is wise to use this giant eCommerce space to explore niche ideas. The AliExpress website or app is easy to use. Visit the website or install the application and hover your mouse over the "best-selling" category to see a lot of niche ideas. Think of selling wall clocks, kitchen utensils, art, furniture, mobile phone accessories, etc. There are tons of mind-blowing options for you to choose from. If it falls under the best-seller category, then it will guarantee success. Make sure it aligns with your passion and is an evergreen product.
4. Facebook Audience Insights
Facebook is the world's largest social media platform boasting over 2.23 billion monthly active users. It comes with a powerful dropshipping product research tool called "Facebook Audience Insights". This tool is free and can help retailers learn more about an audience. Let's say you want to explore the Yoga dropshipping niche. Simply type in "meditation" or any keywords associated with Meditation, and Facebook Audience Insights will come up with the following information:
- Demographics: age, lifestyle, gender, job role, education, relationship status, etc.
- Page likes: topics and categories that interest an audience
- Activity: devices used, Facebook ads clicked, promotions redeemed, comments made
- Location: where the target audience lives and what languages they speak
The result will show that 200M and 250M people are interested in meditation globally on Facebook. This means the "meditation" niche could be a profitable dropshipping niche.
5. Also, check Amazon for dropshipping ideas
Amazon can give you inspiration on what dropshipping niche to invest in. Explore the category section; you will get many niche ideas to choose from.
Helpful tools, software, and websites for dropshipping
In this section, I'll show you some dropshipping tools that can help you determine a profitable, evergreen niche or one that aligns with your passion.
1. Google Trends
Google Trends is a popular dropshipping tool that helps retailers determine what to sell and who their target audience is. This tool can also help you analyze competitions, engagement, and other helpful information.
2. Trend Hunter
If you decide to settle for trendy dropshipping niches, then Trend Hunter is a must-have tool. This dropshipping resource can help you find trendy products that have low competition. Under the fashion category, you can find jumpsuits and sunglasses are cool trends to invest in.
3. Camel Camel Camel
Camel Camel Camel is a popular Amazon price tracking tool that alerts you on price changes on millions of products listed on the site.
4. Niche scraper
Niche scraper is another must-have dropshipping and product research bot that replaces the need to do manual product research. Niche scraper saves you hours of in-depth research while providing factual sales data to help you make informed decisions.
5. SaleYee dropshipping platform
If you want to succeed in dropshipping, your best chance of success is to:
- Find a profitable niche idea
- Source reputable dropshipping suppliers
I've written this article to help you choose a dropshipping niche. My research on the best dropshipping platform to look for evergreen products with low competition and high-profit margins identified SaleYee for 2022.
The SaleYee platform is a globally-recognized wholesale and retail dropship platform where you can find many quality products at affordable prices. On the SaleYee platform, you will find 30,000+ profitable SKUs in evergreen product categories.
Below are a few features that make SaleYee the go-to platform for dropshipping:
- Professional customer service to see through your needs
- Seamless integration with Amazon, Wish, Walmart, Shopify, eBay, and other top eCommerce networks
- Completely free to sign up – no listing fee; no monthly subscription fee
- Fast customer support
- Local warehouses (over 630,000sq.m) in China and the United States for free and fast shipping reduce shipping costs by a large margin
- Huge discounts on every product
Still, finding your niche idea challenging? Here are some dropshipping niches to ponder upon:
- Health and personal care
- Kitchen and grocery
- Mobile phone neck holder
- Tools and home improvement
- Camera and cellphone accessories
- Gaming accessories
- Car Accessories
- Inflatable pet collar
- Yoga mats
- Play slime
- Magnetic/wireless phone chargers
- Waterproof mobile phone cases
- Car phone holder
- Posture corrector
- Office products
- Portable blender
- Spider nail gel
- Eyeshadow stamp
FINAL THOUGHTS
I hope this article has answered your question on how to find a niche. Think about finding a niche that you're passionate about and is evergreen. That way, you can compete with established sellers on any platform you find yourself.
