Struggling to find a dropshipping niche? Here are of the 5 hottest niches right now that you can gain inspiration from.
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When it comes to dropshipping, finding a profitable niche is crucial.
Get this part wrong, and you will end up wasting time and money. Get it right, and you will be well on your way to building a lucrative online store.
Due to covid-19, certain niches have skyrocketed in demand. Having to adapt to new ways of living has given birth to new niches, trends, and products.
This article will share 5 of the hottest niches right now, and why they are each so successful. Plus, we will also reveal a product in each niche that is currently soaring in sales.
Whether you are looking for your first niche, or looking to diversify, these 5 niches are a great place to start.
Niche #1: Lights & Lighting
Recently, the lights & lighting market has seen a rapid increase in demand.
Forecasts show it is set to grow from $9.4 billion in 2020 to $24.2 billion by 2025 – a 20.9% annual growth rate.
Covid-19 has placed restrictions on how we can entertain ourselves. As a response, people are finding ways at home to re-create the fun they get outdoors.
This is what’s given birth to top-selling items like LED strip lights.
Typically, you would find these type of lights at a night club or restaurant.
But, with clubs likely to be the last place to re-open, people are choosing to bring the party indoors. And is why these lights work great for an indoor party in the living room or kitchen.
Niche #2: Home Improvement
Now most us are indoors, people are noticing something. Their homes need improvement.
It may be a pipe that needs fixing, or technology that needs an upgrade. Nonetheless, upgrading their home appearance is something many of us are focusing on.
One fine addition to many homes this season are houseplants.
They were already a big thing before the pandemic. But being indoors has given people more opportunity to take care of their green friends.
According to the National Gardening Survey, sales for houseplants has grown by 50% to $1.7 billion. In particular, it is millennial’s who take up most of this market. And this is for two big reasons.
First, more millennial’s are waiting later in life to have babies. Between this period, plants act as a “second baby” to care for and nurture.
Second, it is connected to the wellness movement. Being able to look after house plants is a great form of self-care. Most millennial’s also live in apartments, so houseplants allow them to garden indoors.
Houseplants are ideal for apartment owners who want to decorate their window-side. Some even buy a collection of plants, offering each a place of its own around the home.
Home & Improvement proves promising as a niche to get started with. If this sounds like a potential niche, research products designed to make life easy at home.
Niche #3: Sports & Entertainment
With summer soon arriving, more people are starting to play sports outside.
This, of course, is not a luxury everyone has now due to the pandemic. But there are sports, like Fishing, which has lately seen a major increase in sales.
Even amidst covid-19, the Worldwide Sports Fishing Equipment market is predicted to grow by $2.7 billion.
One product in particular, the fishing lure, is currently surging in demand.
Unlike regular lures, these lures look almost identical to real fish.
Not only are they currently soaring in orders, but they also receive a lot of positive engagement across social media.
Take this Facebook video ad as an example. Since 2019, it is received tonnes of likes, shares, and comments. And even to this day, people are still engaging with and purchasing from this ad.
Sports & Entertainment is a great potential niche to have a look at. Just keep in mind that not every sport will be profitable, especially during this period.
Niche #4: Tools
Tools is another niche in a state of high growth.
According to Technavio, the Cordless Tools Market is set to grow by $1.7 billion by 2021.
Being indoors opens people’s eyes to what needs fixing around the house. Moreover, counting on a repairman right now can be tricky during this period. So it makes sense that people are spending more money on innovative tools to get the job done smoothly.
One top-selling product that we came across was the Magnetic wrist band.
It’s main purpose is to hold several tools on a single wrist. A useful perk if you are working in tight or high area that does not allow space for a regular toolbox.
Products like this are successful because they trigger an “aha” moment when you see it. Here is how it works:
- You take a product like this that is solved a problem that someone has had.
- Then, you put it in front of them as an image.
- If they can see the problem it solves from the image, it almost feels like they solved it themselves. This is what triggers that satisfying “a-ha” emotion.
Best of all, this product is not the only one receiving a surge of orders. There is plenty more on Aliexpress to look out for.
Just like this product example, search for tools that have the “a-ha” criteria. Does the image alone allow you to figure out how it works? Is it unique? Is it easy to find in a mall? If you answered yes to these questions, it may be worth testing in your store.
Niche #5: Smart Home Appliances
It is not rocket science to realize this niche would make the list. With most of us at home, it is a natural tendency to spend more money on our homes.
One product that is selling like hot cakes is this automatic toothpaste dispenser. This product is successful for two reasons.
- It is aesthetically pleasing. And, now more than ever, people are looking to make their homes look and feel nicer.
- It solves a huge pain point for parents: kids being messy with toothpaste.
Kids simply nudge their toothbrush under the dispenser. Then wait for it to automatically squeeze out the right amount of paste.
But this is one of plenty other smart home appliances to try out. You can also consider a smart bed lamp, smart plug, or even a smart curtain as product ideas for your store.
The Bottom Line
Surprisingly, the point of this article is not to sell these products in your store. It is to understand why they are successful.
The truth is, successful dropshippers do not copy other people’s products. Rather, they take time to understand why customers like to buy products.
They search for products that have potential to be a bestseller. Products that no one has focused on yet.
Dropshippers who seek “shortcuts” always find themselves competing with everyone else.
But the dropshipper who takes the time to learn, will always end up successful in the long-term.
You see, the goal is NOT to sell what everyone else is selling. It is to understand why these products were successful. Then, apply the knowledge you have gained to source your own unique product.