Every marketer you ask will say that being passionate about the niche is an important aspect. Perhaps it is, but it is not the be all and end all that many make it out to be. Admittedly, what could be better than building a business around something you love and are passionate about? Often, however, newbie niche marketers pursue a niche which they are passionate about, despite the fact it is a completely unprofitable niche and they find it hard to let go of this business venture because of their passion.

In an ideal world, we would find a niche with a huge number of searches every day, very little competing products and websites, potential customers who have a huge problem to solve and are desperate to find a solution to their problem, and preferably, have a large income so they have enough money to buy your products . Unfortunately, this is not an ideal world and you would be extremely lucky to find a niche market with all of the above characteristics. The truth is your niche market does not have to be perfect to be profitable. It doesn't have to have a zillion searches per month. It could have a few hundred, but you could hit the top of the search engines for these key terms and convert a large number of your website visitors to customers. There can be a lot of competition, as long as you have faith in your ability to either bring your sites to the top of the search engines, or figure out new ways to generate traffic to your website.
Your potential customers do not have to have a large income; you could create a short report and sell it cheap rather than a full blown e-book that you sell for greater prices. You could also start an adsence site instead of creating a product and generate passive income from adverts. Never under estimate the importance of niche market selection. It's what could make or break your business from the very beginning. Niche market selection really is that important and you should do everything you can to ensure you select the most profitable and lucrative niche market to base your business around.