Choosing an Ecommerce Niche

There are 3 metrics you should use to judge ecommerce products:

- Functional
- Tribal
- Fad

In other words, you should ask yourself:

- How functional is this product?
- How tribal is this product?
- How much of a fad is this product?

In other other words, this means:

- Is this product solving a clear problem?
- Is this product directly appealing to someone’s identity?
- Is the demand for this product likely to drop very quickly?

Here are examples of products that measure highly as…

Functional Tribal Fad

Could anyone clearly explain Do the target audience Has this product seemingly
what problem is being solved consider the category as part of popped up overnight for
by the product? their identity? unknown or fleeting reasons?

Back Support Band Model Planes Fidget Spinners

Hair Removal Cream Fishing Equipment Custom Face Masks

Memory Foam Mattress Gluten Free Snacks Pet Rocks (and clones)

By understanding these 3 metrics and how they are used to measure products, you can then
seek out niches that align with the…

The (Near) Perfect Product Formula

Start with a tribe, then find a problem.

Tribal + Functional = a solid foundation for a customer base

(Added benefit: You can continue to appeal to your customers’ identity even after you solve
the initial problem)

Examples of the (Near) Perfect Product Formula:

- Beard Oils (Tribe: Men with Beards | Problem Area: Maintaining a Beard)
- Specialist Rabbit Food (Tribe: Rabbit Owners | Problem Area: Keeping a Healthy
Rabbit)
- Baby Monitor/Camera (Tribe: New Parents | Problem Area: Staying Aware of a
Baby’s Condition)