Have you ever come across a product and thought to yourself, “I could do that”? That’s the beauty of starting up your own small business; people come up with a great idea and decide that they can and will produce something that consumers worldwide will love. The problem, however, lies in the fact that not many people know what they’re getting themselves into. Without knowing the demand for a business idea, you could walk into deep water without a life jacket.
Rather than going out and buying every ingredient and putting together 500 items that subsequently sit in your garage for 10 years, why not establish demand beforehand? It’s much easier and more cost-efficient for you to determine if people will even buy your product before creating it.
Before we get started though, remember that even a business with high demand means nothing if you don't hustle. Get our tips on hustling in business here.
Try these 4 tips to uncover demand for a business:
1. Google Keywords
Sure this is normally for creating ads and determining the best SEO for websites, but using it to find a market is smart as well. Choose your product, its category, and the country you intend to sell it in and Google will display its search popularity. The higher the search popularity, the higher the demand for a business. Not only will you find out how many people search that item per month, but you’ll also see what kind of competition you have for that specific product and market.
2. Use Social Media
Not in the sense of marketing, but in the sense of creating demand without creating your product. If you’ve got a large following, use that to say “Hey, who’s interested in X!?” If you’re lacking enough social media followers, use Pinterest to share photos and see how quickly, if at all, it gets shared and spread. This gets the buzz out there, and leaves potential customers dying to know how they can get their hands on one.
3. Pre-Sell Items
If you believe you've got enough demand for a business, pre-sell your product or service. Not only does pre-selling evoke an idea of exclusivity, it also prevents you from assuming you’ll sell 1000, when you may only sell 10. It keeps you from over-stocking your garage with a product that may never be sold. It allows you to buy supplies as demand increases.
4. Demographic Research
Understanding who would buy the product is one of the most important steps in this process. If you can’t imagine a specific version of your ideal customer, then you won’t know where to begin in terms of creating the product. Creating luxury products geared towards teenagers aren’t likely to succeed because most of their income is in the form of babysitting money. Knowing your demographic and their spending habits is key to creating a viable product.
So you see, your idea can be great with the right research and predetermined demand for a business. You’ll see exactly what kind of demand is out there, and hopefully generate more interest along the way!
To help you get started, check out this list of industries that Inc. Magazine has tagged as the best stomping grounds for starting a new business in.
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