4 Things to Be Aware of when Building an Online Niche Business

From 2002 through 2005, I ran an online ethnic decor business, Ethnic Home Décor. The site featured ethnic décor accents for the home, eg, mudcloth pillows, ethnic candles, wall art, etc.

Even though I shut it down due to lackluster sales, it was fun and I learned a lot.

Starting a business is a monstrous undertaking with no guarantee of success. Niche businesses, though, may offer a better than average chance for survival, for the following reasons:

"Niche businesses . . . offer a product or service focusing on one specific aspect or customer base within an industry . .. Niche startups are good in that they offer you a chance to focus all your branding and marketing in one area and expand on those core customers as you grow your company [emphasis added]," according to Ira Davidson, director of the Small Business Development Center at Pace University in New York City. [Source: Entrepreneur.com, "Scratch a Niche," August 2005]

So, how do you start an online niche business? I'll tell you by way of my story.

One Entrepreneur's Startup Story

Ethnic Home Décor grew out of my love for sewing. You can read the background details on Entrepreneur.com, which featured the business in February 2005.

Website: Once friends started asking me to make a pillow for them one too many times, I thought, "Hmm, I should get a website."

So, I registered the domain name and built my website using FrontPage software. As I initially only had a few products, it was a very simple site. Following are some things to look out for when building your online niche website.

Takeaway Lessons

1. If you can build your own website, do so. Use templates whenever possible - especially if you have little or no money.
   
   There is so much do-it-yourself website building software out there that it's easy to learn how to build a site. And, it'll be cheaper because, trust me, you'll be changing it a lot - especially: (i) in the beginning; and (ii) if you offer different products.