Starting A Dropshipping Business: How To Find The Right Niche

3 Mins read

Online shopping is predicted to become the number one means of consumers buying products in the future. For you as a starter in e-commerce, this presents a possibly lucrative opportunity to earn a passive income through dropshipping. 

Furthermore, one of the most important factors that determine the success of profitable sellers is in finding the right consumer groups to market to. This can be tricky as there’s tough competition and many niches tend to be saturated with merchants. Fortunately, there are still ways you can seek out a target audience for your shop in this current era. 

Here’s how you can find the right niche for your startup dropshipping business. 

Sales Online. Working women at their store. They accepting new orders online and packing merchandise for customer.

Look For A Gap In The Product Market Using Social Media 

The low competition will always be your great advantage, especially if you’re a beginner dropshipper. Thus, you should seek out products that are in demand but have little to no supply line for local consumers. The best approach to finding this untapped market segment is by searching social media trends, hashtags, and topics. 

Look out for comments that express the desire for specific products that aren’t available in a specific location or are difficult to access. You can find these with popular products related to hashtags and topics that have videos or posts with a high engagement. Check feedback and reviews of other products that aren’t to their specification. These people will most likely be the target audience you’ve identified. As a newbie starting an online shop, you can read more about programs to learn strategies on how to better generate sales and earn an income.

Consider Products That Encourage Repeat Buying  

For your dropshipping company to be profitable, you should sell products that keep your consumers coming back as repeat buyers. This combined with selling items in high demand and needing replacing can ensure the sales success of your business. As such, you should aim to sell products that fall within the necessities, consumer goods, and disposables categories. While they might not yield as much profit as consumer electronics, they do have a higher buying recurrence rate. 

Case in point, when someone purchases a cellphone, they won’t need one for many years to come whereas skincare creams run out after a few weeks before the customer needs more. Therefore, this approach can build your business to create a continuous cycle of re-orders and transactions. You can click here to find out more on how to make money online. You can also search for useful selling techniques to get an idea of which consumer goods can be gainful for selling. You can also conduct research on personal care and food items along with the accessories that accompany them.

Research Consumer Product Demands 

There are many online resources you can use to conduct research and measure which products are in demand by consumers. These analytical tools will give you the most up-to-date data to help you narrow down a niche for your dropshipping business. To get started, you can use a search engine insights tool to find the most searched product trends. The app should breakdown the data of previous searches by age, location, online activity, and topics that audiences are interested in. 

For instance, you can have a list of potential product terms such as ‘pet food’ to be specific or ‘clean beauty’ as a broader search term. Each word will have a subset of related terms that can also be ranked in frequency that has either increased or decreased in trends over time. Additionally, when you examine this data be aware of search terms that have amassed the most gains as these could be niche ideas that you can capitalize on. 

Find A Community Of Passionate Hobbyists 

Fandoms and hobbyists are one of the easiest target audiences to sell to because they already belong to a niche market. These are consumers who’re passionate about their niches and are most often willing to splurge on unique items of high-quality merchandise. In addition to this, many of their favorite products aren’t sold in regular consumer stores so they largely depend on online merchants to provide them with their interests. 

To find fervent hobbyists you can search for communities of people who enjoy popular media and entertainment as well as niche lifestyle interests. They can be found on online forum websites where they constantly discuss their topics. These include people interested in gaming, veganism, sci-fi films, gardening, EDM music, and mountaineering for example. Once you’ve discovered a possible customer base, research whether there are strong competitors who already supply to these groups or if there’s space for you to sell to them. 


Finding the right niche for your dropshipping business consists of doing online searches and utilizing search engine tools to find data on what consumers want. You can also make use of platforms such as social media and online forums to locate uncatered to markets looking for merchandise they have trouble finding.

These are the customers with the most potential to become repeat buyers of your store. Furthermore, you can ensure the success of your store by selling relevant, seasonal, and trendy products that are in demand for the niche that you eventually settle for. 

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