How To
18 min read

How to Choose the Best Niche for Affiliate Marketing

Soniya Khubchandani

August 8, 2022

Finding your perfect niche market is intense.

It's like finding that perfect pair of flared jeans in the vintage section of your local thrift store. It may take a while, but you know it will be worth it.

Your perfect niche market is out there—there are billions of people in the world, after all—but how do you find it?

A great niche is one of the major keys to making money online, and finding the right niche for you will take a lot of knowledge and work to get it right.

The easiest way is to use good old-fashioned common sense. But sometimes, that leaves a lot to be desired. This method has inherent problems if you are just starting in affiliate marketing. Here’s why.

Less than 10% of affiliates generate 90% of total sales. It means only a small percentage of affiliates make money online, and an even smaller percentage makes a lot of money.

So, you must ensure that you're in that top 10%. But how? Let's make that happen.

In this in-depth guide, you will learn:

  • What is a niche in affiliate marketing?
  • Why choose an affiliate marketing niche?
  • What to look for in a good niche for affiliate marketing?
  • Tips for choosing the best affiliate niche.
  • Best profitable niches for affiliate marketing.
  • Tips for choosing a domain name for affiliate marketing.

What is a niche in affiliate marketing?

A niche is a combination of the market you want to enter and the specific topic or audience you want to help to attain their goals, needs, and desires.

Definition of niche as per Google

For example, if you can continually discuss decorating a room, kitchen, bathroom, etc., home décor would be an excellent niche for you.

However, you can be more specific and choose a micro-niche market.

But what exactly is a micro niche?

You can think of it as a tiny part of a much larger market.

The difference between "home décor" and "rustic farmhouse style home décor." The former is pretty vague, while the latter tells you precisely what to expect.

People looking for that specific thing are more likely to find your site among all the other noise on the internet.

This guide will focus on choosing a specific niche, or micro-niche, for your affiliate business. It will help attract the right readers and customers interested in your specific content.

What are the benefits of choosing an affiliate marketing niche?

Choosing the right niche is the most crucial part of your journey to becoming a successful affiliate marketer. Here are some reasons:

  1. It allows you to focus your efforts on one specific area, building a strong presence in that niche.
  2. You will be able to target a specific audience with your marketing efforts, leading to better conversions and higher commissions.
  3. There is less competition in narrow niches, so it's easier to stand out from the crowd.
  4. You can easily connect with brands and sponsors in your niche as fewer people compete for the same opportunity.
  5. You will develop a deeper understanding of your chosen niche, making creating content that resonates with your audience easier.

What to look for in a good niche for affiliate marketing?

When looking for a good niche to get into with affiliate marketing, it's important to consider three key factors: passion, profit, and path to scale. If you can find a niche that meets all three criteria, then you've found an ideal area to build your business.

Top Amazon Associate Niches
Source - YouTube

So, how do you ensure your niche selection meets all three criteria? Let's take a look.

Lower competition

When you're just starting, you don't want to be up against hundreds of other affiliates all vying for the same attention. Look for a niche with lower competition to quickly get your voice heard. 

You can do this by checking out the number of search results for your target keywords on Google. If there are millions of results (competing pages), that's a good sign of significant competition. However, if there are only a few hundred thousand results or less, you may have found a unique niche with less competition.

Here’s a quick comparison of competing pages within the same niche. 

Competing pages for: are bananas good for gout


Let's try another search within the gout niche and see the difference between the number of competing pages on Google.

We’re going to move up one level. We will use the search term: are fruits good for gout?


Here are the results.

Competing pages for: are fruits good for gout

There’s a huge difference. We move from 400k to 42.7 million competing pages by making one step up the hierarchy of keywords.

Efficacy

Another thing to look for is whether or not people who click through your affiliate links convert into customers or sales. There's no use in promoting products in a niche where nobody is buying anything! 

The best way to determine efficacy is via trial and error. Try different things and see what works best for you. You can also read reviews from other affiliates to get an idea of which niches work well before diving in headfirst.

Reputable affiliate programs

Pick a niche with a good affiliate program that is well-known and has a solid reputation. This way, you know you're getting paid what you're owed and not getting scammed out of your hard work. 

For example, Amazon has an outstanding affiliate marketing program with plenty of products to choose from, so promoting items on their site is pretty straightforward. ClickBank is another popular option among affiliate marketers.

Profitable commissions

Most affiliate programs have different payouts based on the volume you sell. Find a niche with good payout and commission structures, so you earn a decent amount for each sale. 

Depending on your niche, some will be more lucrative than others, but there are plenty of options where you can make $20 or more with every sale. Look around to find one that works best for you.

If you work directly with ecommerce stores with affiliate programs for their product, you are likely to make higher commission percentages than a program like Amazon Associates. However, Amazon is a trusted online store, and you will get a higher affiliate sales volume, which is one of the reasons why they offer slightly lower commission rates.


You don’t need a lot of traffic

Here’s a secret most professional affiliate marketers dare not reveal to the general public. You don’t need a lot of traffic to replace your income if you think about sales and commissions from a different perspective.

Let’s pretend you target the sewing niche. You’ll need a lot of traffic to make decent money by selling thimbles, patterns, and fabric for sewing. But what if you had a category on your sewing website that covered embroidery? 

Commercial embroidery machines cost thousands of dollars. If you make a hundred to fifteen hundred dollars per sale, how many do you need per day, week or month to make a good living?

Let’s pretend your average commission on selling a commercial embroidery machine averages three hundred dollars.

Now let’s pretend that you have 200 visitors a day to your comparison page on embroidery machines, and your conversion rate is one out of 200 visitors.

Remember, your traffic comes daily and never takes a day off once ranked in search engines. Assuming you make a sale each day, that’s 9k per month. That’s a single page on the site generating that level of revenue.

Large audience and demand

There are millions of people online searching for things to buy every day. Find a niche with high demand and a large audience so you're not fighting over a small piece of the pie. You can also use tools like Amazon's Best Sellers page to get an idea of what products are selling well in your chosen niche.

Pro Tip: Big ticket items work best on Amazon.

Long-term growth potential

When you choose a niche with high demand and potential for growth, you allow yourself to continue earning a commission from that same customer base for years to come. Look for a niche with products that people will continue to buy over time while steering away from focusing on seasonable products.

Long-term cookie tracking

Many affiliate programs have a "cookie" that tracks how long after someone clicks your link before making a purchase. For example, Amazon Associates offers a cookie with a lifespan of 24 hours. If someone clicks your affiliate link today and makes a purchase tomorrow, you still receive a commission for the sale. A more extended cookie period provides more opportunities for earning commission on sales made down the road.

While Amazon has a shorter cookie duration, you will also earn a commission on any other products they add to their cart and purchase after clicking through your affiliate link.

Tips for choosing the best affiliate niche

Now that you know what to look for in a good affiliate niche, let's look at how to pick one.

List your interests and knowledgeable topics

Make sure that you have a passion for or something you could become excited about in the niche you intend to jump into. There will be a lot of work creating content. 

If you look through the lens of profits and nothing else, you’ll likely do a less than stellar job of creating the content or quit before reaching your goal.

It's hard to find a profitable niche if you don't have any interests. So the first step is to brainstorm everything you're interested in or know about. You can even go so far as to list your hobbies, career, and past careers. Once you have a complete list, think about how you could turn each interest into an affiliate marketing niche.


Here are a few examples:

  • Sports
  • Recipes and cooking
  • Parenting and pregnancy
  • DIY projects
  • Pets
  • Sewing
  • Real Estate
  • Music
  • Software
  • Photography
  • Computers/Laptops
  • Apps

Once you have your list, it's time to start narrowing things down.

Let's take our previous example of home decor. This niche could be profitable but too broad to rank for. You could narrow this down to a specific home decor style, such as mid-century modern or farmhouse chic.

Pro tip: You want to choose a niche you're personally interested in with some competition. If there are no other affiliate marketers in the niche, it could be because it's too small. On the other hand, if your competition is high in a broad niche, ensure you can compete with them before jumping in.

Brainstorm ideas from research and social media

After narrowing down your interests, it's time to start brainstorming topics. You can start by looking at the categories of your interest and see what people are talking about in these areas. The more popular your topic is, the higher your chances of making more money.

You can research using Google Keyword Planner in just a few steps.

1. Go to Google Keyword Planner and sign in with your Gmail account if you have one.

Sign in to Google Keyword Planner
Source: Google Keyword Planner

2. Go to Keyword Planner under "Tools and Settings."

Keyword Planner tool
Source: Google Keyword Planner

3. Click "Discover new Keywords" to enter your niche name.

Research using Google Keyword Planner
Source: Google Keyword Planner

4. You can either start with keywords to enter your niche or a website with a similar niche and click "Get Results."

Enter niche in Keyword Planner
Source: Google Keyword Planner

5. Under the "Keyword" tab, you'll see a list of related keywords along with their monthly searches. Pick a niche with more than 10k monthly searches and low competition. It ensures that enough people are searching for that keyword, and you'll have a better chance of ranking higher in search engines.

Research using Google Keyword Planner
Source: Google Keyword Planner

As you can see, there are a few long-tail keywords with over 10k volume - home decor items, home interior design, bedroom interior design, and living room designs. 

You can do further research on social media sites like Facebook to identify what people are talking about.

Home decor research by Facebook Groups
Source: Facebook

You can see many home décor Facebook groups with over 100k members. Combining results from both platforms, you can decide on a micro-niche — "bedroom interior design"- with good potential.

Search trending topics

We can use platforms like Google Trends and Amazon Best Sellers to determine what people spend money on. Search "bedroom interior design" on Google trends to see if the trend is increasing or decreasing. If there are more searches over time, people are interested in this topic, and you can build a business around it.

Google Trends is a great place to identify seasonal niches you may want to stay away from. Look for somewhat steady trends over time that show the niche is evergreen and you won’t spend half the year without making an affiliate sale.

Google search trend on bedroom interior design

A steady niche topic allows you to focus your marketing efforts on a particular group of people more likely to convert into customers. It also means that you can create content specifically tailored to their needs and interests, which makes them more likely to engage with your brand.

Trending topics

Additionally, this approach can lead to lower advertising costs and higher ROI since you target a smaller but more interested audience.

Find problems in the niche and determine your USP

It's not enough to simply have a great idea for a potential niche. You need to figure out what is missing in your niche and how you can fill that gap. This is where market research comes into play. 

Take the time to understand your target audience, their needs, and desires. This will help you determine your unique selling proposition (USP)—the one that sets you apart from the competition.

You can use platforms like Quora to get an idea of what people in your niche are talking about. 

Finding pain points through Quora

Simply put your niche or keyword in the search bar and see what people are asking. You can create content that solves those problems and position yourself as an authority in your niche.

Determine potential monetization avenues

There are many different ways to earn money with your affiliate marketing business. The three main models are:

  • Pay per click: You get paid every time someone clicks on an affiliate link.
  • Pay per sale: You get paid using your affiliate link when someone buys an item.
  • Pay per lead: You get paid for referring people to sign up for a service, such as a newsletter or membership.

Affiliate marketing is a great way to earn money online. By finding and targeting a niche audience, you can provide them with valuable content that solves their problems while also making revenue from monetization strategies like advertising and selling products and services.

Choose the right affiliate program

Affiliate commission rates vary widely depending on the affiliate program. Comparing commission rates is important because it will impact how much money you make.

Here are a few tips to help you choose the right affiliate program.

Do your research 

Before promoting any product or service, you must research and ensure that you're comfortable with the company, the products/services, and the commission rates.

Compare commission rates 

As mentioned above, compare commission rates from different affiliate programs. Commission rates can range widely, so it's crucial to find an affiliate program that offers a rate you're happy with.

Contact the merchant directly 

If you have any questions about the products or services a particular merchant offers, contact them directly!

Be an active participant

An affiliate program is only successful if its members are actively involved. You'll likely be removed from the program if you're not regularly checking in on your account, providing feedback, and participating in the forums.

Join several affiliate programs 

The more you join, the more money you will make! Google also likes to see affiliate sites promoting products from several sites and programs. If you only review affiliate products on Amazon, they see that as biased and not providing the best products that could be available on other sites.

Promote, promote, promote!

The more you promote your affiliate links, the more sales you make. Use social media, email marketing, influencer marketing, and other promotion methods such as a Facebook giveaway to get the word out about your content that has affiliate links. ​​

Using Google AdWords or Facebook ads as a traffic source could help increase your affiliate payouts if you promote high-ticket products with a big profit margin. Still, the rules to use these ad platforms require creativity because neither approves linking to any page full of affiliate links. It’s a violation of the terms of service.

Keep track of your progress

Check your account regularly, and keep track of your earnings. This will help you see what's working and what isn't so that you can adjust accordingly.

Withdraw your earnings 

Once you reach the minimum payout amount for a program (typically around $50), it's time to cash out! Amazon pays out at the end of every month, two months after you’ve made sales. This buffer time allows for Amazon customers that send products back for a refund within the 30-day refund period. 

Most programs have multiple withdrawal options, such as PayPal or bank transfer.

Lastly, don't be afraid to experiment with different programs and choose the one that works best for you.

Conduct keyword research for your niche

The next step is to start conducting affiliate keyword research. This will help you find the right keywords to target in your affiliate content, rank higher on search engine results pages, and drive more traffic to your website or blog.

To get started, you can use the Google Keyword Planner tool. This free tool allows you to enter keywords related to your niche and find out how many people are searching for these keywords each month. It also gives you data on how competitive each keyword is to determine which ones have the most potential to drive traffic to your site.

Here are some of the best keyword research tools that you can use.

Look at competition to gauge difficulty and gaps to exploit

Once you have a list of potential traffic drivers for your niche, you should research the competition for each keyword. Use the Google Keyword Planner tool to compare the number of searches per month with the average CPC (cost-per-click) and competition levels labeled low, medium, or high. It will give you an idea of how difficult it is to rank organically for that keyword. 

A low search volume with a high CPC and low competition means there's probably not much point in targeting that keyword. Likewise, a high search volume with low CPC and high competition indicates you might have better luck elsewhere.

If you want your website to rank on Google, you need to choose keywords that will help Google algorithms determine whether or not your site is relevant to what people are searching for. Additionally, looking at the competition can give insight into which keywords may be more challenging to rank than others.

Best profitable niches for affiliate marketing

Despite the wide variety of niches available to affiliate marketers, not all are equally profitable. Here is a list of some lucrative affiliate marketing niche options.

Hobbies and lifestyle

Niches related to hobbies and lifestyles are often profitable because people in these niches tend to be passionate about their interests. This can lead them to spend more money on products related to their hobby, which is good news for affiliate marketers promoting such products.

Some micro niches fall under the broad category of hobbies and lifestyles. You can expand these lists even more by drilling down into the sub-categories.

  • Photography
  • Wedding photography
  • Aerial photography
  • Pet photography
  • Fishing
  • Fly fishing
  • Saltwater fishing
  • Freshwater fishing
  • Gardening
  • Vegetable gardening
  • Organic gardening
  • Hydroponic gardening
  • Indoor gardening
  • Knitting
  • Crochet
  • Arm knitting
  • Spinning
  • Weaving
  • Hiking
  • Camping
  • Trail hiking
  • Bicycling
  • Mountain biking
  • Road biking
  • Cross country cycling
  • Programming
  • Front end development
  • Back end development
  • Machine learning

This is just a tiny sampling of what people might be interested in. It is essential to find something you enjoy and stick with it.

Each of these sub-niches comes with its own set of problems that need solving and products that address them. Because people in these niches are typically passionate about what they do, they're often willing to spend money on products that can help them improve their hobby or lifestyle. 

So, if you're looking to get into a niche market, choose something you're passionate about and then find the problems that people in that niche are facing.

Home and kitchen

This is one of the most popular niche markets because everyone needs products for their home and kitchen. 

Some of the sub-niches within this market include:

  • Bakeware
  • Bar accessories
  • Cookware
  • Gas stoves
  • Kitchen storage & containers
  • Kitchen tools
  • Tableware

There are many different sub-niches within the home and kitchen market, so if you can find one that you're passionate about, you can successfully sell its products. If you are into food blogging, we have a tutorial on how to start a food blog. It’s a must-read if you are planning to move in that direction.

Pets

Pets are another famous niche market because of the variety of products that cater to them. 

Some examples of the sub-niches within this industry include:

  • Bird supplies
  • Cat supplies
  • Dog supplies
  • Fish & aquariums 
  • Reptile & amphibians
  • Grooming products

The pet industry is a billion-dollar industry and continues to grow every year. If you can find a sub-niche within this market that you're passionate about, you'll be successful in selling related products.

Travel

People who travel often have unique demands, including the need for specific products to take with them on the road, accommodations, and much more.

Some of the sub-niches within the travel industry include:

  • Luggage & bags
  • Travel accessories
  • Travel clothing
  • Maps & guides
  • Travel gadgets & electronics
  • Children's travel books & accessories
  • Kits and organizers
  • Camera equipment
  • Outdoor gear
  • Private jets
  • Air travel

Bonus:  If you are planning on the travel niche, we have a full tutorial on how to start a travel blog that walks you through the process from start to finish.

Technology

The technology industry is constantly changing, and there are new problems to solve daily. If you're interested in this niche, staying up-to-date on the latest trends and products is crucial. 

Here are some micro-niches within the technology industry:

  • Gaming accessories
  • Smart home products
  • Wearable fitness trackers
  • Mobile phone accessories

You can talk about specific products within each of these categories:

  • Fitness tracking apps and devices
  • Smart home security systems
  • Mobile phone cases
  • Wireless headphones
  • Laptop and tablet cases
  • Gaming consoles and controllers
  • Headphones
  • Smartwatches
  • Video game accessories
  • Mobile phone battery packs

Dating and romance

This is a great niche because it's always relevant. As long as humans are still dating, there will be an audience to sell to.

In this niche, try these sub-niches:

  • Online dating advice
  • Relationship advice
  • Breakup survival strategies
  • Dating apps
  • Dating sites & matchmaking services

This industry is growing because people are increasingly looking for ways to make their dating lives more accessible and successful. This means that there are a lot of opportunities for you to provide valuable content and earn through affiliate marketing.

Sports and outdoors

This niche might seem a little broad. Still, there are tons of sub-niches that you can focus on:

  • Golf
  • BaseketBall
  • Cricket
  • Skateboarding
  • Biking
  • Snowboarding

If you dive deeper into the sports and outdoor niche, you can find more sub-niches to focus on. For example, in the snowboarding niche alone, there are plenty of sub-niches that could work:

  • Snowboard gear reviews
  • Snowboard brand reviews
  • Beginner snowboarders
  • Intermediate snowboarders
  • Expert snowboarders

These are just a few examples of sub-niches you can get into within sports and outdoors. Are any of these ideas interesting to you? If so, this is where your research begins.

Parenting

The parenting niche is another one that has a lot of potential and a ton of sub-niches to get into. It is a more competitive niche, but if you can gain some authority, there is a ton of volume and money to make in this niche.

Here are just a few niche ideas:

  • Saving money with kids
  • Product reviews for parents
  • Staying at home vs. working parents
  • Breastfeeding vs. formula feeding
  • Working from home with kids
  • Parenting hacks
  • Toddlers
  • Teens
  • Dealing with toddler tantrums
  • How to get your kids to eat better
  • Getting your kids more active
  • Helping your kids with homework
  • Keeping your kids safe online
  • Traveling with kids

These are just the tip of the iceberg regarding the types of things you can focus on in this niche.

These are the most popular and trending niches that affiliate marketers focus on now. However, there are many more niches that you can focus on. For example:

  • Making money online
  • Food and recipes
  • Gaming
  • Beauty products
  • Personal development
  • Education and courses

Lastly, the key is choosing a niche you're interested in and can write about for many years. Once you pick your niche, it's time to start thinking about what content you want to create.

Niches to avoid

While there are many successful affiliate marketers in various niches, some are more difficult to make money in. Here are some examples:

E-A-T niches

E-A-T niches require expertise, authority, and trust. Niches like health, legal advice, automotive, and finance tend to fall into this category. The issue is that because people's well-being is at stake in these niches; they are unlikely to take recommendations from an affiliate marketer who doesn't have the proper credentials.

Google product review update.

In fact, as per Google's product reviews algorithm update, websites that don't have high E-A-T are not very likely to rank well. As a result, being successful in these niches is more challenging if you are an affiliate marketer.

Health

It's imperative to have proper credentials (like a degree in medical science) to write about health-related topics, as people's well-being is at stake.

If you are not an expert in this field, it is best to avoid writing about such sensitive topics. Instead, consider finding another niche that better suits your interests and expertise.

Automotive

It can be challenging to become an authoritative voice in the automotive industry unless you have extensive experience and knowledge of cars. 

In addition, this niche requires regular maintenance and updates due to the ever-changing landscape of the automotive market. As a result, it can be time-consuming and challenging to keep up with all the latest trends if you are not already knowledgeable about cars.

Finance

The finance niche is becoming increasingly competitive as the internet provides people with greater access to information. To be successful in this niche, you need to have a strong understanding of financial concepts and trends. If you do not have a background in finance, it will be tough to compete with other websites that already have built an audience. Plus, it is hard to generate quality content regularly since the topics are very technical and require research.

Tips for choosing a domain name for affiliate marketing

Your domain name is the address of your website. This is the name that people type in their browsers to reach your site. Choosing a domain name that is easy to remember and type is essential. Here are some tips for choosing a domain name.

Keep it short and sweet 

A shorter domain name is easier to remember than a long one. Try to keep your domain name under 15 characters.

Do not overuse keywords 

While most suggest using keywords in their domain name, it’s not the greatest idea. You want a brandable domain name. Once you start getting links, it’s easy to over-optimize your domain. This could remove your site or blog from Google's search results.

Branding also gives potential visitors the safety of a brand instead of a keyword-based domain that may appear as spam. If it’s an exact match of your target keyword, you may lose everything you’ve built down the road. Don’t worry, we have a solution for helping you pick a brandable domain with a hint of keywords. 

Make it catchy 

A catchy Domain Name will be more likely to stick in someone's mind, making them more likely to revisit your site in the future.

Avoid using hyphens

Hyphens can make it difficult for people to remember your domain name and find your website. If you must use a hyphen, try to keep it near the beginning or end of the name.

Use a .com extension 

People tend to associate ".com" with websites, so it's the best choice for most businesses.

Be unique 

Your domain name needs to be unique. A good way to do this is by creating a new brandable word that has not been used before or combining two words.

That is all you need to do to choose an effective domain name! Sites like Instant Domain Search will help you generate domain names and let you know if they are available to buy.

Here are some domain ideas for the "bedroom interior design" affiliate website:

  • Dreamybedroom.com
  • Sleep.design
  • Nightstand.com
  • Bedding.com
  • CherryWall.com
  • QuietChic.com
  • SpruceMySpace.com
  • GetGoodBed.com
  • Roomyevo.com
  • Bedecked.com
  • AdornMyNest.com
  • SleepBetter.com
  • MyBoudoir.com
  • TranquilSpace.com
  • SoftDreams.com
  • SleepInStyle.com

To find great ideas for your chosen affiliate niche, check out Copy.ai's Business Name Generator tool. 

Just enter your niche and relax. Copy.ai will provide you with dozens of unique ideas for your niche.

Copy.ai name generator tool

Conclusion

To conclude, picking the right niche for your affiliate marketing business is essential to ensuring long-term success.

The best strategy is to choose a niche that you are passionate about, has good earning potential, and aligns with your values and goals.

You should also ensure enough demand for products or services in your chosen niche before investing time and money into building an affiliate website.

Happy niche hunting!

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