Before launching your new product or service to market, whether it is an app or any other type of product, it is important that if you want to obtain some kind of economic or any other kind of return from it, you should make a previous market study to try to find out if this niche market you chose can be a good one or not. A deep knowledge of the subject matter of this market niche and a limited but sufficient number of consumers can be the key to success.
What is a market niche
In my own words a market niche is only a segment of the market based on common characteristics shared by the market’s members (consumers). Normally, the more specific the niche, the less consumers you will find in it. The key is to find a balance between the specificity of the niche and the number of consumers. In other words, if you choose to launch your product for a superspecific sector that contains very few consumers, it will probably be very difficult for you to achieve a return on your investment.
Let’s give an example to see it more clearly. Imagine that you decide to create an app for the niche “Affected by rare diseases“. This is already a very limited niche in itself, since according to FEDER, only between 6% and 8% of the population are affected by this type of pathologies. Let’s say that such an app could be of interest to the patients with rare diseases, to their intimate circle and to researchers and professionals who treat these diseases. But… could we go further and look for something even more specific? Of course!
Imagine that instead of making an app on rare diseases, we make it on one of these pathologies identified as rare. For example the “Idiopathic achalasia“. You will agree with me that following this strategy would greatly reduce the target audience of your product and what you get in the end would be a very small volume of potential consumers.
How to know if a market niche is profitable or not
Why opt for one niche or another? In addition to your expertise in the field, one of the things you should value is whether you will be able to make your product profitable in that niche market. No matter how good a service or product you launch, if you don’t have a minimum critical mass, it will be very difficult to get a positive ROI. It is important that you value very well the public you will be able to reach and if only with them it will be enough to make profit.
Best Tools to find market niche for apps
As you know, there are several tools with similar functions at our disposal for almost anything we want to do. It is true that some are more powerful than others and have more functionality, but they may also be more expensive. And especially when you’re just starting out, you have to measure very well where you invest every coin you have. That’s why today I just want to focus on the free ones that you have at your fingertips.
These are the 3 tools we use in King of App to find high quality market niches:
Google Adwords Keyword Planner
If you have already used Adwords to make ad campaigns or to do a search for Keywords for content marketing you’ll probably know how this tool works.
The Keyword Planner tool is very useful because it allows us to filter Google’s searches by geographic location, language and date, offering results on search volume, competence level and suggested bidding. We will focus on the functionality of “Categories”, as we aim to dive into them until they return specific high volume searches.
We’ll use it this way:
1. Login Keyword Planner from Google Adwords and fill your billing data:
2. Display the option “Search for new keywords using a phrase, website or category” and enter category by category to see what results return us:
3. Look at the Keywords you get as result and analyze if you could find an app about that topic:
The second tool that I would like to present you is Google Trends. It offers trends of search level worldwide for a certain keyword and its related keywords.
To use it, just type the keyword you have taken from the Keyword Planner and check if its searches grow, maintain or decrease along time . You can easily imagine in which cases it may not be interesting to focus on a certain keyword and therefore on a niche market.
Google Keyword suggest and Google Play Keyword Suggest
Finally, the last tool for finding interesting market niches we are going to talk today: Google Keyword Suggest and Google Play Keyword Suggest.
Keyword Suggest uses other users´ search history. Therefore, what it does is to show you search suggestions while you type in the search box. It’s a living thing, that changes as searches do.
Just a few days ago the European Handball Championship ended and Spain was the winner, so it is logical that when writing “European” it proposes those related searches.
It works quite similar in Google Play, but results can be different:
It seems that popular news have a higher weight in search suggestions in Google Play.
Therefore, if Google proposes it to you means that it is a term with a large volume of searches and that can suppose a very interesting niche market to do business.
I hope I have lent you a hand exploring the market and finding interesting business opportunities. You already know how to find a good niche market for your app and you also know some of the more useful tools you have at your fingertips for that. Can you think of an under-exploited niche to take advantage of with a new app?