How to identify niche areas and find products with extremely high average order value!

Why can't you find products with high average order value? Many entrepreneurs may be troubled by this question. So how can you find products with high average order value? The author starts with the subdivision field and shares the method of finding products with super high average order value, hoping to help you.

Reading Tips:

• To be honest, because the content of this article is very valuable, I was not very willing to share it publicly. After all, many people don’t know how to cherish free things!
• This article will help you break through the bottleneck period of finding niche areas and choosing high-priced products;
• In the second half of this article, I will tell you how to choose a niche market and how to find products with high and super high average order value!
• The prerequisite is that you need to carefully read and understand every word I say, and internalize it into your own methodology.

The following text begins...

1. Why can’t you find products with high average order value?

This problem should bother many entrepreneurs, and it is actually very simple to solve it.

Before solving this problem, you first need to understand the three major stages of customers!

Because each stage of the customer is like standing on different floors to see the scenery. On different floors, the scenery you see is different, and the things you need will naturally be different.

It's like you are standing on the 10th floor and telling someone standing on the 1st floor: There is a beautiful woman in red dancing in the middle of the square 100 meters ahead...

At this time, he may think you are a liar...

The reason is simple, because the scenery he sees on the first floor is different from the scenery you see on the tenth floor!

• People on the first floor may need a magnifying glass more;
• People on the 10th floor may need a telescope more;

The same applies when you choose customers. Customers at different stages have different cognitions and needs.

You can imagine if you keep circling around a customer who needs a magnifying glass and saying, "Come buy my telescope. My telescope is so good..."

How much time and effort do you have to spend before he reluctantly buys you a 50-dollar telescope?

Therefore, if you want to find products with high average order value, the key point is to find a niche field to enter and find the customer groups of the corresponding class!

1. Brand-new segmentation gameplay

But human nature is greedy. Although they say they screen customers every day, they are still thinking about how to satisfy all customers...

Even some experts say that businesses should try to "meet" the needs of most customers...

To be honest, I am against it from the bottom of my heart, and I even feel a little disgusted that they are misleading everyone...

Just as I said above, customers at each stage are like standing on different floors looking at the scenery. Since everyone sees different things and faces different situations, how can their demands for products and services be the same?

Isn’t this a very simple truth?

You can never satisfy “everyone” or even “most people”;

You can only satisfy a "small" number of precise people. Only when you can abandon most people can you better serve this small number of people.

Furthermore, in recent years, people have often advocated finding vertical sub-sectors, which require you to divide an industry into many tracks and then choose one of the small tracks.

There is no doubt that this approach will still be feasible before 2019;

However, in recent years, especially after the epidemic, all industries have been severely involuted, and even the leading large companies have laid off employees at the senior management level. Do you think small players still have a way out?

Therefore, after 2020, finding vertical sub-segments requires combining new ideas to find more subdivided areas.

Because, small players can only make money secretly and easily by exploring areas that most people don’t understand…

Regarding this area, Teacher Fox summarized his own set of methods for finding niche areas three years ago.

In the second half of this article, I will reveal some methods and ideas that will help you easily find your own, true niche...

2. Three stages of customers

Before I share how to find niche areas, you need to understand the three stages of customers, because this is the key factor in whether you can choose products with high average order value.

In my own system, I have always divided customers into three stages: perception stage - planting stage - purchase stage

Let me briefly explain the differences between customers in these three stages!

1. Perception period

Situation: You have no knowledge of the product or service, or you only have a basic understanding of it, but you are not familiar with it or have a deep understanding of it;

Characteristics: Usually the average order value is low, there is no sense of trust, and they will ask many questions before and after the purchase;

example:

It’s like asking you to buy a men’s watch. Without knowing much about watches, you will only buy one that costs less than 1,000 yuan.

And before and after buying, you will ask a lot of questions, and if there is a slight problem, you will complain about the poor quality and poor service of the merchant...

2. Planting period

Situation: After reading articles, videos and other content, you are familiar with and like the product, from entry level to advanced level;

Characteristics: Educated by the market, or self-brainwashed, slightly familiar with the product, average order value: medium;

example:

At this point, you have a certain understanding of watches, and have a certain understanding of their appearance, texture, brand, and workmanship.

Once you fall in love with it, you will be attracted to it, and then you will keep buying it to collect or appreciate. At this time, you will choose a watch between 3000-8000.

3. Entry period

Situation: Have certain professional knowledge, have stepped on various pitfalls, and are an old hand;

Characteristics: They have high requirements for products, are experts or close to experts, and have high or very high average order value;

example:

People who are in the entry stage buy watches with the mentality of "playing" with them;

At this stage, most people will buy brands such as Longines, Master, Patek Philippe, Rolex, etc., and even buy limited editions.

The general price ranges from 10,000 to more than 100,000 yuan or even higher...

How about it?

I wonder what you feel after reading the three customer stages divided by Teacher Fox.

Smart friends should be able to see the clues. It doesn’t matter if you haven’t got any inspiration yet. Just keep reading. I will teach you step by step how to find the niche and choose your own super high-priced product!

3. Entering into the sub-sectors

Now, Mr. Fox, please stop for a moment...

Please recall carefully: the purchasing period, the grass-planting period and the entry period, their respective situations and characteristics.

Then think about this: Do the products you and your friends choose belong to the category of products in the “purchase period”?

If your answer is “yes”, you are right!

Because most entrepreneurs’ brains are obsessed with “how to make money” and “what to sell to make money”;

But they never have the "time" to develop an interest in a certain field, or have never been interested in certain products. They sell products purely for the sake of making money. They only think about how to make money, and in the end, they block their own thinking...

So for most people, the projects they are looking for are either snacks or food, clothing, housing and transportation. If they can't find any, they will look for brand franchises...

Even if you find a product to sell on an e-commerce platform or a short video platform, you will choose products in the "purchase period", and basically target customers who meet "basic needs". Most of these customers are still in the "novice" stage for this type of product and need your continuous education.

In fact, in the same field or the same type of products, there are customer groups with different needs at different stages.

If you want to break through this bottleneck and find high-unit-price, high-profit products, you must skip the customers in the "purchase period" and directly choose customers in the "grass planting period" or "entry period".

But the prerequisite is that you must be familiar enough with this type of product and the product quality must be absolutely up to standard!

In short, if you want to find products with high average order value, the prerequisite is to find those customer groups that are "standing at a high position" and then conduct vertical segmentation.

In fact, for each category, in addition to the segmentation based on functions, usage scenarios, user groups, etc., if you can combine the "three major stages of customers" for secondary segmentation, you will enter a whole new dimension...

4. Give an example

Below, Teacher Fox uses the product “speaker” as an example.

Although I am not very familiar with speakers, as long as you can fully understand what I said in this article and apply this idea to your industry and category, you can improve a dimension, because the methods are universal. After all, it is not convenient to make my own projects public...

First, we searched for "speakers" on Taobao, and basically all the products that came out were of this type:

This should be easy to understand. It is the type of product that customers like in the "perception period" among the three major stages.

At this time, if we want to increase the average order value and profit, we must abandon the customers in the awareness stage and choose the customers in the "grass planting stage" or "entry stage";

Customers who are in the "grass planting stage" pay more attention to: appearance, texture, and sound quality (if you forget, it is recommended to turn back to the first half of this article to check)

Therefore, the products they like should at least be like this:

The next stage is the "entry stage", where they pay more attention to: brand, professionalism, and even have extremely high requirements for the delicateness of the sound...

So, the products they like should be like this:

They even have very strict requirements on what kind of "capacitors" and "potentiometers" to use, which belongs to the geek dimension.

However, if you yourself have not entered this stage, you cannot sell such a product...

So, here we can quote a very popular saying: "You can only make money within your cognition!"

If you want to sell products at a higher price, you first need to walk the path that others have not walked and step into the pits that others have not stepped into...

Only by improving your level and ability can you earn high-level money.

Just like Mr. Fox himself, he has only produced products with a unit price of more than 30,000 yuan...

So I am also constantly learning and improving myself, because no one is omnipotent. Only by getting to know more people with the same frequency, gathering more knowledgeable people, and getting to know experts from all walks of life can we run faster and farther...

summary

1. Remember the three major stages of customers. The characteristics of customers in each stage can be mapped to almost any field!

2. In addition to segmenting each category by dimensions such as function, scenario and crowd, if you combine it with Mr. Fox’s “three major stages of customers” for secondary segmentation, you will get more segmented categories with higher average order value!

3. Although I only share a small part of the ideas, I believe that after reading this article, you have broken through the original cognitive dimension. I suggest you practice it first, save this article, and read it again after a while, you will have a new harvest. Moreover, each of my articles and each course is worth reading every six months or a year, because most of what I share are low-level logic things, which will not be outdated!

4. A tip: In fact, there are many opportunities in every field and category. You need to look beyond the e-commerce platform and look at the industry, otherwise your brain will be "solidified" by various rules! Teacher Fox is just a tip, you can understand as much as you can!

5. Creation is not easy, please indicate the source when reprinting!