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Found a cool Amazon niche but is it worth it?

Discussion in 'Affiliate Programs' started by johnny6667, Feb 28, 2014.

  1. johnny6667

    johnny6667 Regular Member

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    Hey BHW

    I need some advice if this niche is worth trying to target as an amazon affiliate
    Here it is...
    I stumbled upon a growing niche which is has some attractive trend indicators to it
    I have got 25 keywords which can bring in at least 50k searches a month and there is little competition with in this niche so it wouldnt be hard to rank.
    The only problem is 1 item is worth around $10 - $15, but there are huge variety of these items which people would (are) buy(ing) multiples of them at once.

    Do you think its worth it?
     
  2. gold33

    gold33 Registered Member

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    I guess it depends on your definition of "worth it".

    I would always be super conservative when making an estimate like this. Of course the worst case could always be worse and the best case could be way better.

    Let's say conservatively you could convert 1% of that total traffic into customers. That would be 500 customers. At your low price point, $10 we could assume a 10% commission from Amazon affiliates. That would be $1 profit per sale. 500 x $1 = $500. I would imagine by the time you sunk money into hosting, SEO, etc. you probably wouldn't have much profit left.

    But again, that's being super conservative. Who knows, you could do WAY better, but my suggestion would be to focus on finding a low competition niche with better margins.
     
  3. youtalkmedia

    youtalkmedia Senior Member

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    50k a month, assuming you get top of all you will get 30k visitors a month. From them say 1% are really I retested in buying, you have 300 a month who want to buy. Then take out 10% that might buy via your link you are left with 30 sales a month.

    On $10 you will get about 40c per sale, so $12 if everyone only buys one.

    I think my math
     
  4. funkybunker

    funkybunker Supreme Member

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    That's not a bad niche, we call that volume purchasing. Your profit margin will be lower BUT overall you'll bank nicely if you can guarantee 1000s of sales monthly.
    Give it a shot - if you gain experience from this, you'll only be a better salesman & sell higher price tags afterwards.
    Then you'll find yourself landing 5-10 sales monthly...on $999 price tags each.
     
  5. johnny6667

    johnny6667 Regular Member

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    Thanks for your view on the subject
    I guess what I mean by 'worth' I mean by investing my time into the project.
    I would be looking down the barrel of 4% commission per sale through Amazon which is piss poor but I would be implementing it with a 90 day cookie, so this could in theory, open up more opportunity for me to make more if the buyer were to also buy something worth a lot more during that time in amazon.

    I have hosting and SEO I would be doing all myself which is no problem.
    I would be also implementing adsense which in has an avg of 40 - 1.00 CPC

    I think I will just do it and see how I go I guess
    Plus I can get an Exact match .net domain of a keyword getting 9,000 US searches a month
     
  6. johnny6667

    johnny6667 Regular Member

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    Thanks again for the motivation and advice
    I'm taking action buying the domain now :)
    Might even start a journey thread when I have the site set up

    Cheers
     
  7. kancur

    kancur Registered Member

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    Actually I wouldn't be so conservative. I believe your conversion can be better than 1% - You are targeting buyers terms (I guess). So your traffic will be highly targeted. Also A LOT of people make orders containing not just one item. Don't forget that you are getting commissions from EACH product sold through your affiliate link. I have 2 amazon sites working (Im just at the very beginning - I'm new to all this stuff). My conversion rate is about 4% and non related products are at least quarter (if not half) of my sales. (My sites are earning only about month now, so those rates might change rapidly in the future and as they grow - actually I would like to have more related sales :))
    Anyway good luck to you!
     
  8. youtalkmedia

    youtalkmedia Senior Member

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    My math above is VERY conservative, but I find using conservative numbers is the best way to find a worth of a niche. then anything better is bonus.

    Best of luck with the site. Assuming you are going to target "buyers" terms you can sell up to one per 10 visitors, but with 50k volume I am assuming you will be hitting a lot of info about terms which don't do as well.
     
  9. johnny6667

    johnny6667 Regular Member

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    Thanks for the advice this would be my second aff site as well
    After some time researching you can really only get these sort of products on the net, i.e amazon and directly from the brand website it self, but its all though manual email order from a catalog from their site which seems kinda odd to me.
    But I can see your point if they buy the item worth $10 and also buy a plasma tv I would be happy with that :)
    On avg, how many people would buy unrelated stuff from your amazon link? and do you use a 90 day cookie?

    Cheers
     
  10. johnny6667

    johnny6667 Regular Member

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    Hey thanks
    Yes these are buyers terms.
    Also there is around 120,000 searches world wide for these terms in total, we'll see how it goes and i will report back
    Bought the .net domain :)
     
  11. kancur

    kancur Registered Member

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    No I use only 24h amazon cookie. At least 1/4 of my sales are absolutely non related to my websites I would say. But that's because I haven't optimized them well yet. I'm only at the beginning. I would like to see more related sales :).

    Also don't forget that you will get a lot of long tail traffic for hundreds of keywords you can't even think about!