How to Find the Most Profitable Dropshipping Niche in 2022

Choosing the right dropshipping niche is tricky. Even if you’re passionate about a product, you won’t make a profit if it has no demand.

An easy way to find a profitable niche is with data analytical tools. They can help you gain invaluable insight into customer behavior.

Here’s how you can find a profitable dropshipping niche:

Use Google Keyword Planner to Identify Demand

The best way to find out if your niche is in demand is to see the number of people searching for the product on Google.

Google helps you find this information via its free tool called Keyword Planner. You’ll need a Google Ads account to use this application. Go to the Start With Keywords tab and type in a word or phrase.

You’ll see how many people are looking for the product. Besides that, it also shows you other metrics such as the top bid for the keyword, year-on-year change, and competition.

Here are the two main metrics you need to focus on:

1. Search Location

You can define the location of your target audience by city or country. Let's say you want to sell printed tees in the US exclusively. Then it would help if you focused on the local search volumes instead of global results.

2. Long-Tail Variations

Long-tail keywords are detailed search terms with a low search volume. Having low search volume makes long-tail keywords less competitive, and you can even rank for them on the first page with the right strategy.

Avoid broad keywords with large search volumes. Your competitors with high domain authority are already ranking for these keywords. So you likely won’t rank for them.

Use Google Trends to Find Trending Topics

Google Trends is another free data exploration tool from Google that you can access without a Google account.

Google Trends lets you see how popular different keywords are over a particular period. It has some metrics that Keyword Planner doesn't have, like “Top and Rising Terms” and “Interest by Sub-region.”

An important metric is "Interest Over Time," which shows the search volume growth or decline for a specific period like the past 12 months. It helps you see if your niche is performing well throughout the year or seasonally.

Learning that the demand for a product is greater in certain months helps you prepare better for the season. Checking trends every month also stops you from drawing misleading conclusions about the product's popularity.

Check Marketplaces for Audience Activity

Marketplaces like Amazon and Facebook are excellent sources to find a profitable dropshipping niche. You can use them to search for products or brand names and identify demand.

For example, if you search for a keyword on Facebook, you'll see tabs like Pages and Groups. If there are more than ten groups with an average of 10,000+ members, you can consider it a promising niche.

It's also pretty easy to check if a dropshipping niche has potential on Amazon. You can use the best-sellers list to find top-selling items in each category. Top-selling means demand, and where there is demand, there's profit to be made where there is demand.

Help from E-commerce Platforms

Most e-commerce platforms have dropshipping plugins, and they can help you find your niche.

If you don't know where to begin, consider SaaS e-commerce platforms like Shoplazza. It'll let you focus on selling products and making a profit rather than managing the technical backend of the store.

Besides, it integrates with free dropshipping applications like HyperSKU and CJDropshipping to access products, store management tools, and shipping solutions. You'll be on your way to online success in no time.

(Contributed by Niyotee Khedekar & Hermes Fang)