How to use KDP Niche Finder tool

Head over to the niche finder in the research tool.

Select the market place and category which you want to target.

Niche Score: These four subcategories—Buyer Demand, Competition Opportunity, Investment Sweet Spot, and Revenue Potential—are all combined in the calculation of Niche Score.

Buyer Demand: Buyer demand, which measures people's propensity to purchase products in that niche, is computed using a variety of data points. The monthly search volume and the monthly sales volume for the keyword's organic listings are two significant criteria.

Competition: Competition Opportunity is based on several characteristics that show how well-versed and knowledgeable the sellers are in that particular sector. To assess competition opportunity, for instance, we look at the Listing Strength Indicator (LS) and the proportion of strong versus weak competitors. To determine its score, LS takes into account various elements like reviews, bullet points, photos, title optimization, and EBC. The competition opportunity increases with LS weakness since it increases the likelihood of outperforming the competition (high competition opportunity is a positive thing).

Investment: Using our expected launch budget (the price to buy three months' worth of merchandise based on the average monthly sales volume on page 1), we compute the Investment Sweet Spot. We advise a launch budget of between $10,000 and $15,000.00. According to our analysis, private label sellers get the best return on investment within this range. Your Investment Sweet Spot score drops the further you go from this range. In the end, there's no one size fits all solution, so feel free to modify this range if you have a larger tolerance for risk.

Revenue Potential: Revenue Potential is determined by estimating the profit that sellers in that area are expected to make. To calculate revenue potential, we take into account important metrics like average pricing and sales velocity.