Before you get too caught up in finding your niche market, make a list of your personal interests, hobbies, favorite pass times, etc. In other words, be honest about what rocks your boat? The most important aspect of finding the right niche begins with you, not with your potential customers. You, above all others, have to be passionate about your business. If you cant sell yourself on your idea, you will never sell it to anyone else. You have to believe in it, because at least in the beginning, no one else will.
If you have always loved birds or building birdhouses, you might look into starting a custom-made birdhouse business. You could offer to make birdhouses that match the color and architecture of the customers home. It sounds like a great idea, and so far thats all it is.
Once you get an idea, you have several options to test it. Talk to people about it; ask if they would be interested in such a product. Your friends may quickly agree that it is a great idea, but would they pay for it, and how much? It is not enough to pay attention to the feedback you get from your friends and family. You should test your idea with strangers.
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