Last updated on September 10th, 2021. Posted in Market Research For Online Business.
How can people succeed in an online business with the incredible amount of competition today? There's some bad business advice out there...I don't know, I think it's coming from a good place -- I hope it's coming from a good place! -- but a lot of what's being suggested is based on gut instinct and opinion...which is no way to run a business!
Here are links and resources mentioned in today's video. Enjoy!
For instance, the advice to steer clear of "over-saturated markets." What does that mean...oversaturated? When people say "oversaturated," I think they mean "too much competition." But how much competition is too much competition? Are 3 other competitors too many? Does having 5 competitors meet the "over-saturation" threshold?
See what I mean? There's no clear definition for "market over-saturation" other than people's opinions and feelings. The truth is, every viable market has competition (some more than others)...and competition is a VERY good thing.
Why is competition a good thing? I mean after all, most entrepreneurs don't like the idea of having competitors, right? Well, competition is a very good sign because it tells us that there's an active, viable market of paying customers here.
If there are no other vendors operating in the space you're thinking of...then what you have is a wasteland! There's nothing there! There's no active customer base, no activity, and very, very likely no profits to be made. If there were, other people would have figured it out already.
So, "market saturation" isn't really a thing. Yes, some markets are much more competitive than others. And yes, there are markets that are SO competitive that they should probably be avoided...
...but if you're in a market where there are lots of competing vendors, see if you can narrow down your focus to a smaller market sub-set that's currently being overlooked.