Product Niches and Examples: Real Business Analysis

In fact, many entrepreneurs start with trendy products to make a quick profit, but sustainability is often lacking.

This approach is common among general stores, which sell a dozen or even more types of products and use a dropshipping model at the beginning of their business. Considering the wide range of products, maintaining inventory for all these items is difficult and often drains their energy. This is because this business model relies heavily on paid advertising to generate traffic. Once the ads stop appearing, traffic declines, making it difficult to maintain and develop substantial brand influence.

Additionally, post-sale problems arise because products cannot be inspected and suppliers are completely dependent on them. Unstable supply chains generate complaints, which impact store performance and put the account at risk of being suspended. While there may be some gains, the effort required is significant, and profits can diminish over time, let alone foster customer loyalty and brand trust.

After gaining experience and capital by selling a variety, companies often shift to a niche strategy. Different product niches require different marketing approaches. If you're targeting American female consumers, consider Pinterest. It's like visual Twitter, so it's best to make sure your product images are eye-catching enough to encourage users to click.

Even within the same niche, people can take different approaches due to differences in available funds and experience. Some are Instagram influencers with large followings, while others excel at operating on Reddit, Facebook, and YouTube videos.

They leverage their resources and strengths, aligning them with the preferences and demands of their target consumer base to select appropriate marketing channels to promote and sell products, ultimately improving brand awareness.