What is a niche?

You may or may not be familiar with the term "niche" , basically it is a small targeted area of a market that addresses the need for a product or service. Too much??? To put it another way its going to be the topic of your website. It can be anything but the more targeted and profitable the better, so you need to find a high paying niche. Its better for you to earn $1 per visitor that converts for you than it is to earn $0.05 per visitor that converts for you, this way you can have higher earnings from fewer visitors. The idea here isn't to earn thousands of dollars a day from one website but to earn a small amount from one website, even $10 per day and then repeating the process by building further niche websites on different topics and increasing your earnings.

Finding Your Niche.

My two favourite sources for finding niches are Ebay and Amazon. Visit Ebay and click on the categories tab, it brings up a list of all the available categories , the screen grab below doesn't even amount to half the categories on ebay, think of all the potential topics for you to create websites for.

Suppose you start by choosing the electronics category, this in itself is a very broad topic to cover so we need to dig deeper and find our niche : so we go Electronics > Gadgets > Air Purifiers > Ozone . Now we are in a small targeted niche. The next thing we need to do is find out if this niche is profitable. Ozone Air Purifiers is provided as an example that you could use but it would be more beneficial to you to find your own topic and this is what I encourage you to do.

One of the best online resources for doing this is SpyFU . SpyFU provides a basic free search service and an upgraded premium service which provides information on different niches and web domains. Click on the link above then type Ozone Air Purifiers into  the search box at the top of the page and you will be presented with the following results.

So we can see that there are 21 advertisers in your niche "ozone air purifiers" and they are paying betwenn $0.88 and $3.88 each time one of their advertisements is clicked. This is good firstly beacuse the cost per click is high, although it is impossible to tell exactly how much you would earn from each click as the revenue is shared between you and Google anything over a dollar is usually considered a worthwhile niche, and secondly there are many advertisers competing against each other which is keeping the cost of their advertising high. The main thing to concentrate on here is the cost per click, the more advertisers are paying per click the more you will earn per click.

Keep coming up with new niches until you have found one that you like/are interested in, remember that you need to write original content on the topic so something that interests you will always be easier but anything you feel you can create content for and is paying a minmum of $0.50 per click and more than $1 per click is a good place to start.

Next we'll be looking at choosing and registering your domain name.