If you have been struggling to sell your crafts. Then, I am sure someone must have told you to define your handmade business niche.
Narrowing your handmade business to a limited variety is niching down.
The most common knowledge is to have a vast number of products in your portfolio. If you are also from the same school of thought that you must read further.
Know Why You Need to Know Your Handmade Business Niche
The 7 reasons below will prompt you to find your niche to focus on.
1. To Stand Out from the Competition.
What do you know about Lush cosmetics? Of course, they are a pioneering name in handmade cosmetics. But they are best known for packaging-free handmade cosmetics. That is why their products are popular with zero wasters.
Or what do you associate IKEA with? Ready to assemble furniture, accessories, and appliances for DIY enthusiasts.
It is not that there are no other handmade skincare brands like Lush. Or IKEA is the only go-to place for home decor furniture.
But the fact is that both the brands have established an identity for themselves through a niche. Lush is a zero wastage bath and body niche within the handmade cosmetics category. While IKEA is a build it yourself niche within the category of home decor.
Demarcating your brand from the competition is the biggest reason to niche down.
2. To Dominate the Search Engine Queries.
I will find it unbelievable if you tell me that you do not sell online. At the time of writing this article, the world has entered the post-pandemic era. Hence, there is no more excuse left to not sell your crafts online.
If you already have an Etsy shop or sell through your website or any e-commerce medium. Then, I am sure you must have heard about the term SEO.
SEO is a fancy term for the art and science of writing content so that it ranks on search engines. SEO stands for Search Engine Optimization and Google tops online queries.
That is why SEO studies lean towards getting found through Google.
If you sell a lot of unrelated crafts, then the more efforts it takes to sell them all under one roof. That is because good SEO demands being thorough on one topic.
So instead of selling handmade soaps of all kinds. You can niche down to handmade soaps made with goat’s milk. Or your niche could be handmade soaps for people with dry skin.
3. To Create and Recreate With Consistency.
Ever noticed that when you work on a single task each day. Then, you end up getting better at it.
This is common with any task that you do. That is because the mind gets wired to produce consistent results with repetition.
The same principle applies to the theory of working on a handmade business niche. The more niche you get, the more you get better in creating products in that niche.
4. To Get Branded for One or a Few Main Products.
If you stick to a niche in your handmade business. Then, you may develop a reputation for that niche.
That way your target audience thinks about you instead of a store that sells all stuff handmade.
Niching down increases the recall value in the minds of the customer.
5. To Reduce Turnaround Time and Cost to Create Products.
Creating products with consistency also leads to reducing the production time frame.
That means the operational cycle reduces.
Moreover, when you niche down, you end up creating one kind of item. That means you can buy your raw materials in bulk which leads to further savings in costs.
6. To Understand the Target Audience To Create Appropriate Upsells.
One of the advantages of niching down a handmade business is getting closer to your audience.
When the audience begins to repeat their purchases. Then they tend to share their experiences with you.
Getting to know the issues or challenges of customers is the best way to expand your business. You can then use that feedback to come up with better products or upsell offers.
7. To Get More Sales.
It is an accepted fact that when you get good at a craft and keep serving your audience, you get more sales.
Sales are the main reason you should stick to your handmade business niche.
It is best to pick up a niche before you start your handmade business. But even if you have come a long way in your craft store. Then, also you can niche down by narrowing your singular focus.
Once you have understood why to have a handmade business niche. Then, comes —–>
How to Find a Profitable Niche
The following 3 methods help in finding what niche can work for you. You should consider all the 3 to pick up one niche.
1. Understand Your Creative Inclinations
You can never excel in a project if you lack the creative inclination towards it.
So, the best way to find niche crafts to sell is through following your artistic calling.
In most of the cases, you would know what skills you love. Else, you can pick up a hobby and then turn it into a business.
2. Figure Out Profitable Craft Ideas
Every piece of craft has a buyer if you believe in the beauty of handmade arts. That means you can sell any kind of handmade item from anywhere in this world.
Also, there exists another school of thought to operate a successful handmade business. That one is about jumpstarting profits by selling handmade crafts that sell the most.
You can guess what handmade items would sell the best. Most of us can name keychains, fridge magnets, and purses bought from travels.
But to know what is the most selling product online, you have to research. For the same, you can scrape off data from popular e-commerce sites like Etsy and Amazon Handmade. The sales figures for most sold items give you a path to follow when you are starting fresh.
3. Look for Trends
Between what you create best and what sells best, there is a factor that influences niches. The seasonal trends affect the entire handmade business. For instance, the color of the year, significant events, memes, and popular culture.
Following and acting upon trends is a smart way to uplift sales in any niche. You can even base your entire handmade business on trends.
A few recent trends that rocked the world are the pandemic, #BLM, and fidget spinners.
List of Niche Markets
You can come up with niche ideas list by taking a cue from the below:
- Donkey Milk Bath and Body Products
- Map Artwork
- Fork Artwork
- Molecule Jewelry
- Lego Artwork
- Reclaimed Wine Barrel Stave Crafts
- Gifts for Zero Wasters
- Handmade Skincare for Sensitive Skin
- Handmade Constellation Inspired Jewelry
- Tribal Artwork
- Octopus Themed Crafts
- Customized Cutting Boards
- Bar Furniture for Small Places
- Classic Books Inspired Artwork
- Handmade Bags Made from Newspaper
- Beer Bottle Cap Accessories
- Pop Tab Art
- Upcycled Dictionary Art
- Amigurumi Art
- Urban Planting Handmade Products
- Cancer Gift Boxes
All the above listed niche products exist. There are actual handmade businesses that are successful in all these niches.
You can pick one amongst these or search one that best fits your preferences. There are several niches that you can select. Do take into account production/logistics costs, competition, and time involved.
After niche selection, next comes —–>
What to Do After Figuring Out Your Handmade Business Niche
Once you know what niche will work the best for you. After that, the next task is to scale up. For that, you should take care of the following activities.
1. Work on a Handmade Business Plan
Finding and sticking to your handmade business niche is solving one part of the puzzle. The next challenge is to serve and scale in the selected niche.
You cannot expect to earn a fortune by creating what you think will sell the best.
The foundation of a successful handmade business lies in understanding the consumers.
Understanding consumers requires an in-depth study of the entire ecosystem. That includes knowing your competitors and their pricing as well.
The sooner you figure out how quick you can break-even. The sooner you will be able to rake in profits.
2. Work on The Blog to Reach More Audience
The traffic on your website is equivalent to people checking out your booth at a craft store. That means you ought to increase your online footfall.
Depending upon how well versed you are with the online world. You can make use of blogging and paid advertisements to bring people to your store.
Blogging is the fundamental basis of traffic building. So, even if you plan to depend on paid marketing, you ought to have a self-hosted blog.
A well-maintained search engine optimized (SEO) blog goes a long way in reaching the user base. This website would be nothing without me posting informative content.
3. Improve Your Conversions
Optimizing conversions is tough. You need to have some experience in selling crafts online to improve conversion.
When you figure out what platform and what keywords work the best for you. Then, the task of optimizing becomes easier.
The best way to excel in your handmade business niche is to start selling at every platform. Then, from there, you can move to the best ones that bring recurring revenue.
My experience tells me that selling from your blog is the best way to build a successful craft business.
Conclusion
Every creative maker looks for small profitable business ideas to jumpstart their career.
The secret to finding one seems like hitting the jackpot. But if you follow the steps outlined in this article. Then, you will be able to select the niche that fits your creative pursuits and earns you moolah as well.
When armed with a robust business plan, every handmade business niche can flourish. Though, the only mandate is to pick up the niche that works well for you.
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This is so descriptive and well written.
Thanks so much