How to Find an Amazon and eBay Niche that will Make You a Lot of Money

Hey everyone this is Seth Kniep Kniep’n it real hope your day is going really well is a beautiful day in Austin Texas I wish I was outside right now but I want to record this video because there’s a principle one of the laws of the dime that I teach that is really effective in helping people to know what product category they should be selling in and especially in finding a hot selling product I have one of my favorite t-shirts on this is from convertkit thank you very much guys teach teach everything you know and I believe that with all my heart and so that’s exactly what i’m doing here is i’m going to teach you what I know to help you to get better so here we go this law of the dime is really important it’s called the law of the niches the law the niches and the key is how far down should I niche in order to find a product that i want to sell on amazon or ebay or through e-commerce and there’s a principle that’s super effective and if you understand this principle it increases your chance of selling a whole lot so i’m going to show you exactly how to do that so the first thing i want you to notice is what every product you have what is called demand there’s always demand it will call that this right here the man going up and we can go anywhere from a 1 all the way to a 10 so the higher the demand the further up we are here then you also have the competition it will say the competition goes this way so the more competition you have the further you go this way so there’s a 10 here and there’s a 1 here now most products on average are going to go this direction the higher the demand the higher the competition and of course the perfect place to be is right there where its hiding a low competition and the worst place to be is right here where it’s high competition loda man so as much as possible we want to bring this sorry this way towards higher demand lower competition how do you move that needle how do you know when you’ve gone too far your your demand is super high which is great but your competition is too great and therefore you’re it’s already saturated it’s really hard to rank and there’s certain categories and products that are very challenging to rank it for that very reason on the other hand of that spectrum on the other end how do you know what niches should you be in where the competition is lower but the demand is still high because if you get into an issue where the competition is lower the demand can still be super difficult so I’m going to show you how to do that so here we go so let’s just pretend we’re selling in the music recording category so I’m gonna write it up here music recording now this is a very broad category in fact it is a subcategory of another category but how do we sell in that category the problem that category is on the demand side it’s going to be extremely difficult the demand is super high which is great but the competition is also super high and that’s what’s going to make it difficult so it’s going to be way way way over here so what you want to do is find a sub category to that so let’s just say we decide instead of selling something in that category we’re going to drop down to headphones now we’re getting a little more specific we’re not just selling music recording stuff or selling headphones now headphones the divan might be lets say down to an eight but the competition is still going to be an eight so we’re still right here in this a middle point the demand is still high that’s great but the competition is still too intense so what we need to do now is go down to an even sub category to that and let’s say it’s wireless headphones so now we’re in a subcategory of headphones we’re now in wireless headphones wireless headphones as a subcategory of headphones so again the demands gone down let’s seen that we’re now down to a seven but the nice thing is a competition is down to a seven the idea is you want to keep our niching down until the competition is not too great or the demand is still high and the better you can find a high demand low competition product that’s an indication most of the time that it’s a rising product and if you get in early you could be part of that wave and get there let me give you another example let’s just go completely different on here and let’s say instead of selling that let’s pick a really random category let’s say we’re selling costumes okay so I’m going to come up here and let’s see you want to sell a whole costume set now the problem with the costume set again is the competition is too high the demand is high but the competition is too high so you need to go to a sub category of that so let’s say we decide to do pirate costumes ok now the demand is a little bit lower let’s say it’s a 7 and the competition is lower which is good oh that’s still the problem is a competition is too high so let’s go to a subcategory of that let’s talk about a part of a costume let’s say it is pirate swords in fact here’s an example of one let’s say now we’re selling pirate swords ok so now we’re going to go to ulta say swords for simplicity so now we went from this call this category to this subcategory to this subcategory so now again of course our demand is going to be lower any time you go to a sub niche of an inch the demand goes down but the competition goes down you see that so now we’re at a six here and a six here now we’ve found a sweet spot this is a really good place to be this is what we’re going to sell because if we were trying to sell costumes the demands high but the competition is too great it’s going to take too much time and money to promote the product same thing with pirate costumes swords is great what if someone said wait a minute we don’t need to stop there what if we went with sword handles are the hilt what if we just sold this part or maybe a jewel that goes inside the handle itself now that would be pretty cool wouldn’t it so let’s pretend we did that let’s just say we did the hilt of the sword alright so now our competition is weighed out it’s like to a four that’s really good but you know the problem is so is the demand to a four and this area right here is not enough demand now yeah it’s easy to get in and get recognizing it on the first page but the problem is the demand is not high enough so the whole idea is this you want to start with a category and keep niching down going to a subcategory of the previous category until the competition is lower but the demand is still high and if you get too low then the competition is going to be nice but the demand is not high enough to justify it that is how you sell a product that’s how you find the right subcategory of a product to sell in let me give you an example if I was to go on amazon.com and I search for pirate swords and all of the top searches on the first page are pirate swords and those top results are very high performing sellers my chance of getting on that page is much less because the top performers are already filling up that page as a general rule of thumb the first page of search results is going to be 20 as a general rule of thumb 20 that’s why I recommend if there are more than top then 20 top competitors you don’t go with it because you’re now going to be on the second page you have to fight to get on the first page and it’s going to take a lot more time and a lot more money on campaign ads to get to the first page you see so that’s why 20 is a general rule of thumb i go by there for you need to make sure that there are not more than 20 top high-end competitors in a category if you’re trying to break into this category now if you’re already in the category in doing well you have a foot in that’s great that’s a huge advantage and you should be fine but it’s still going to take you some time to rank for a particular product but just make sure you don’t have more than 20 high-end competitors as a general rule of thumb but then that’s for this guy’s that editor’s now as a general thumb for the demand you need to understand that there are two kinds of keywords and the keyword that you want to rank for is called a long tail keyword so again let’s use the pirates or example if you’re just looking at swords and you’re selling a sword you’re going to get tons of demand for that but the competition is way too big so you need to go to a subcategory of that let’s go a little longer tail let’s say it’s a pirate sword now obviously there’s going to be fewer searches for this than this because it’s more specific but of the people who search for this this keyword a greater percentage of those are going to buy the product because they already know in their mind what they’re looking for if I just go onto Amazon a type and sword I probably don’t know what I’m warning I may not even buy that day but if I go in and type in book in your pirate sword I clearly know what I want because I’ve already thought about I already have knowledge and research done therefore I’m in the buying mode the chances of me buying the product is much greater because it’s a very specific item so when you get to pirate sword you want this to be at least twenty thousand searches per month and even better if it’s a book in your pirate sword now we’re looking at a super long tail keyword if I have 20,000 searches a month for this phrase right here that’s super high demand but if there are more than 20 high performing competitors on Amazon with that term with that is their main keyword then I’m going to have trouble ranking and that’s why it’s really important to understand I need high demand low competition niche down until the domains still high but the competition is low enough and when you find this or the demand is up here in competition is down here that means you found a gem and go for it this is seth Kniep Kniep’n it real have an awesome day see you soon bye

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