It is possible you may picture yourself as an entrepreneur without knowing what type of business you could even begin. For those feeling lost in this area, there are some practical steps you can take to narrow down your thoughts and find a niche that suits your expertise.
Identify the Skills and Passions You Have
The easiest way to begin determining your niche is to take a look at the skills you possess and the different areas you are passionate about. Let’s say you love to picnic. This may not seem like a scalable business at first thought. However, you could easily create an empire full of satisfied clients who pay you and your employees to assemble five-star-worthy picnics for special occasions like anniversaries, birthdays, or wedding rehearsals.
When it comes to being an entrepreneur, no passion is too silly to be considered a possible business idea. If you are truly passionate about what you do, you will find a way to make it work. Simply begin by identifying areas you excel in or the ways you like to spend your free time. Before you know it, you might have an entire notebook’s worth of ideas.
Investigate if There’s a Need for Your Niche
Referring back to the picnic example, you can begin researching if there is anything like this available in your city already and how their sales have been performing thus far. You may need to conduct this research on a few different niches you previously investigated in order to see which may be more needed or may pose more opportunities for profits. Take it one step further and decide if it is something you could possibly franchise someday.
Doing simple Google searches or looking companies up on social media is a simple way to determine whether this market is oversaturated or not. Even if some niches may be more competitive than others, your ultimate goal should be to bring something new to the table that sets you apart from others.
Research the Competition
Even if you may not have competition in your town for the services you are hoping to offer, you should still research similar companies located elsewhere. This can give you a good idea of the pros and cons, potential risks and customer expectations for the niches you’re deciding between. This can also uncover ways you can be different from your competitors early on. You can use this to develop your mission statement and have a more detailed reason for choosing to pursue the niche you will eventually decide upon. Market research is essential in every entrepreneur’s career, especially when they are determining their niche. You can determine ways you will stand out prior to launching your company.
Once you have gone through these steps, you will find it much simpler to choose which niche you want to pursue in your entrepreneurial career. Perhaps your market research will even inspire you to combine two niches together to create a truly dynamic and distinctive company.