Making profit from novelty products can be seen as an unsustainable venture. Still, in the 1990s, passing fads such as Beanie Babies made their creator, TY Warner, a billionaire!
Still, Statista predicts that the e-commerce industry will generate sales up to $4.8 billion by 2021. For many business owners, this opportunity is worth the pursuit. So, how can we build a successful business based on novelty items?
1. Research the prospects of the fad.
If you have an idea about your product, research your current and potential competitors. Are your competitors selling similar products, and what is their selling price? How long has it been since the “fad” began, and until when will it reach it demise?
This is notable to products that is related to major events such as the FIFA World Cup, as they will have a date where it concludes. This means, you can govern how much to invest into the fad without wasting too much time and resources on it, and if possible, focus on other areas on the business.
2. Review the market
Targeting and knowing who your potential customers are is the key to success to your product. This means collecting market research is …