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When you want to provide a service or sell a product online the competition that you will face can be daunting. How can you possibly compete against Amazon, Apple or any of the big internet companies? The only viable option is to find a niche market with a decent amount of interest and low competition.

Finding the best niche market to target can be time consuming and a process of trial and error is normally involved. In this article we will be looking at some guidelines and tips that could help you to simplify the process and make the best decision.

Finding a Niche Market:

1. Decide on something that you are passionate about or have an interest in. In this article we will look at books as an example.
2. Make a list of possible specialized topics within the main focus area. Using our example you could list books about nature, adventure books, DIY books, car manuals, books about doll making, and more.
3. Research the topics on the list by using Google's Keyword Tool to determine the interest (number of monthly searches) and competition. Also have a look at the related terms and note down any promising topics.
4. List the top 10 topics based on the maximum number of monthly searches with low levels of competition.
5. Ask yourself what you can offer a customer that the competition can not for each of the top 10 topics.
6. Try to find a unique selling point for each of the top 10 topics that will attract visitors to your website.
7. Look at each of the top 10 topics and decide whether you have a good product or value added service that you can sell based on the topic.
8. Trim the list down to the top 5 topics that you feel you can successfully market.

Now you have a list of 5 possible niche markets with a decent amount of interest (monthly searches) and a low level of competition. The next step would be to decide on the niche market that you are going to target.

Deciding on a Niche Market to Target:

1. Do a search on your search engine of choice for each of the top 5 possible niche markets and have a look at the results.
2. Browse through each of the top 10 results and make a note of the product, service and price.
3. Look at the user friendliness of the sites and sales copy used.
4. Read all of the eBooks and articles on the sites carefully.
5. Target the niche market where you feel you can provide a better product, service or price than the top 10 websites for that niche market.

The next step would be to build a website around your niche market, optimize your keywords, build quality links and promote your website. It is important that you establish yourself as an expert as soon as possible within the niche market through social media and the use of SEO article marketing techniques. If you commit yourself to this process and allow sufficient time for your website to be ranked high on the result pages, you will be successful.

Heinrich Muller is the owner of The Link Building Guy and he writes articles about SEO, link building, keyword optimization and social media developments. Feel free to visit his website The Link Building Guy for more information and articles.