Thousands of home business owners are making very comfortable incomes online everyday using niche affiliate marketing. Simply put affiliate marketing is the process of connecting buyers with sellers. You act as the middle man and collect a commission, or a percentage of the sale, from the seller for connecting them with an interested buyer. As an affiliate you don’t have to worry about creating a product or supplying a service, you don’t have to worry about inventory or housing the products, you don’t have to worry about delivery of the goods and you don’t have to worry about customer service. All you really have to be concerned with is advertising the product or service in order to attract potential customers to the suppliers.
Niche marketing on the other hand is the process of narrowing your overall market focus and targeting a particular group in the market. For example, if your overall market is providing people with home business opportunities you may want to narrow your focus to newbies or people who are new to the Internet and target this niche or group in the market. As you can see a niche is a smaller segment of a market.
Niche affiliate marketing offers several advantages for your home based business. Niche markets are less competitive than major markets because there are fewer suppliers of the product or service you are promoting and therefore less competition for the buyers in the market. Also with niche marketing you can concentrate on doing something you enjoy rather than doing something that you find tedious or you find is too much like hard work.
Of course to be successful with niche affiliate marketing you need to find buyers for your opportunity. The best kind of niche you can find is one comprised of red hot buyers. This group is made up of two types of buyers. The first group is made up of people who will buy no matter what type of economy we are experiencing. They have a need and they want it fulfilled immediately. The second group is comprised of buyers who will purchase anything and everything relating to a particular interest they may have. If you are fortunate enough to find this type of niche it could create a handsome residual income for you for many years to come.
A good rule of thumb to follow when looking for a profitable niche is it shouldn’t be too big or too small. Your niche should be just the right size. For example if a particular topic only results in a few search results each month then there is no sense wasting your time and money approaching it because there are no buyers in this market . On the other hand if the market is too big it will be very difficult to make a profit because more than likely it will be over run with competitors and therefore not worth approaching. Your niche must be large enough to be profitable because it isn’t being served by your competition.
Finding these niches requires some work. First of all listen to what people are saying. What’s popular these days? What are people talking about on all the talk shows? What are the hottest selling products on eBay and what are the top ranked items on Google? You can check out the list of the hottest selling items on eBay at eBay pulse. You can also search Clickbank for the hottest selling goods in a particular category.
When searching for a niche of red hot buyers there are several approaches you should avoid. We stated earlier that one of the advantages of affiliate niche marketing is you can concentrate on something you enjoy. This shouldn’t be done at the expense of profit. If what you enjoy is not what the market demands then you have to change your focus to something which is in demand. Also if you decide on a niche which isn’t showing a profit over a certain time period then move on and investigate another group.
And finally if you are fortunate enough to find a profitable market group keep it to yourself. If you tell another affiliate marketer and he mentions it to someone else pretty soon your niche will have dried up because of the increased competition. This information should help you become one of the thousands of other home business owners who are very successful using affiliate niche marketing online today.