How to Start an Online Business in the Health Market Niche

The health market niche is one of the most everlasting industries. Even though the product types and marketing methods keep changing, the need for medical products won’t go away anytime soon. 

The global digital health market was worth an estimated $175 billion in 2020 and is expected to reach around $657 billion by 2025. One of the ways to advance this business niche is to bring it to the online ecosystem. 

Building a successful online business involves several steps, including market research, preparing a business plan, and choosing the right web hosting. To get a better understanding, let’s have a look at the more detailed steps below.

1. Identify the Top Health Market Niches

Even though the health market itself is quite specific, it still has many more sub-niches you could focus on. Before starting a business, It is essential to identify which niche fits your passion and is the most likely to be profitable.

There are several top niches under the health industry, including:

  • Anti-aging
  • Digestive health
  • Weight loss
  • Skincare
  • Reproductive health
  • Food supplements
  • Hair loss
  • Fatigue

The golden rule is to avoid dedicating your entire venture to a fad that may go away sooner than you expected, leaving your business with no choice but to stop operating. Your business will benefit more from topics that have the potential to stay relevant for a long time.

Some of these markets are popular in specific locations more than others, and you may encounter even more unique niches depending on where your business operates.

2. Determine Your Business Model

Once you identify which market niche you want to pursue, it is time to decide how you will sell your products. One of the advantages of running an online health business is that you are not required to produce your own products.

As a newcomer in the health industry, it might be better to collaborate with larger businesses and source your product from them. There are three most common business models we would recommend, including:


Dropshipping is probably the simplest and easiest business model to do. In this fulfillment method, your primary duty is to sell products and handle customer service. Other tasks, including producing, storing, and shipping products to customers, are handled by a shiprocket alternatives.

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The key to a successful dropshipping business is to find partners with the lowest service cost. This is because your profit comes from the difference between the dropshipping cost and the price your customers pay.

Due to its convenience and low-risk nature, dropshipping has grown in popularity. In 2020, the global market value for dropshipping reached $149.4 billion. Industry experts also find that between 20% to 30% of online retailers use drop shipping as their business model.

However, dropshipping also comes with some disadvantages. You have less control over the production and shipping process, and your business depends solely on third parties’ decisions. Another challenge is to find a wholesaler or distributor that offers a dropshipping service in this particular niche.

Another eCommerce business model that also involves an outsourced order fulfillment process similar to dropshipping, but is quite different is 3PL. 3PL or third party logistics providers take care of almost everything in the fulfillment process – from warehousing, picking and packing, to shipping and returns. Before you start working with a third-party logistics company, it’s important to define 3PL

Affiliate Marketing

Affiliate marketing works similarly to dropshipping. The difference is that your only responsibility is to promote products from other companies or distributors by listing them on your online platform. This platform can be a website, a blog, or a social media page that attracts a target market interested in the product.

Unlike dropshipping, the profit you get from affiliate marketing comes from the commissions your platform generates. Therefore, finding products or services that offer you a great commission rate can improve your income.

Building content and traffic around products you promote is another key to running profitable affiliate marketing. If you run affiliate marketing on your website, implement SEO strategies to improve its online presence and exposure further.

White Labeling

White labeling is a term used when you work with a company that sells its products with your brand attached to them. This business model makes it possible to build a unique brand that stands out from your competitors.

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White labeling is more suitable for those with enough experience in the industry, in our case, the health market niche. This is because attaching your brand to a third-party product requires extensive research and knowledge of product quality.

This is crucial, especially in the medical industry, where one oversight of your product may negatively impact customer’s well-being. Make sure you work with a trustworthy company that holds a valid license from your local health authority.

3. Create a Business Plan

You may also need the best gym management software should you decide to offer gym workouts online. This tool will help you manage your client’s schedule and activities

Planning is an essential step in every business field, including the health-product industry. A business plan will guide you through each stage of starting and managing a business. It also typically contains all the information needed to convince people to invest in your company.

There are two most common formats of business planning: traditional business plan and lean startup plan. There is no fixed rule on which planning format a business should use, but each has its own characteristics that might benefit a certain venture type.

The key is to identify your business’s needs and characteristics then pick a format that suits your findings. Investing the time to build a comprehensive business plan is sure to benefit you in the long run.

4. Build Your Digital Platforms

When running an online business, digital platforms are the substitute for a physical store. Online business owners need to design these online stores to attract more customers and give them the best shopping experience.

The internet has numerous digital platforms you can utilize to promote and sell your products, including social media pages, marketplaces, and business listings. However, one of the most prominent platforms to consider is a website.

Around 79% of small businesses that own a website are expected to grow at least 25% in three to five years. Owning a good website can help your business build an online reputation and credibility.

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The most popular solution to building a website is by using WordPress. This content management system (CMS) is highly versatile and can be used to build almost any type of website. With numerous available themes and plugins, WordPress holds a lot of potential.

If you prefer a tool that lets you build a website quickly, even with minimum technical knowledge, there are many online website builders to choose from. Most of these builders use beginner-friendly editors with customizable templates to help you jumpstart your online business.

Choosing the right hosting provider that offers convenient features and pricing plans is also important when building your business website. With many options available in the market, it would be best to do some research and comparisons before deciding which hosting provider suits you best.

5. Develop Marketing Strategies

Once you prepare your online business, it is time to do some promotions. With the rapid growth of internet usage worldwide, entrepreneurs now have countless opportunities to market their business online. 

Social Media Marketing

Social media is one of the strongest platforms to engage your target audience and promote your business. Businesses can utilize various features such as hashtags and the trending page to reach more potential customers and build brand awareness. 

Some platforms, like Instagram and Facebook, even have integrated online store features to help business owners sell more conveniently.

Content Marketing

Content marketing is a method of creating valuable and engaging content to promote your product and drive traffic to your website, which can potentially turn into conversions. Content marketing comes in many forms, including blog posts, podcasts, and videos.

The key is to make sure your content is relevant and closely related to your product or service. Writing blogs on health tips, posting workout routine videos, or reviewing medical products are examples of content marketing in the health industry.

Pay-Per-Click Marketing

Some companies, like Google and Facebook, also offer ways for businesses to advertise their products and services. This service is called pay-per-click (PPC) advertising, where your advertisements will show up in search results, websites, or YouTube videos.

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When using the PPC service, you pay for each click made on your advertisement. This marketing method is more suitable for established businesses since it can be costly.


Running an online business in the health market niche comes with a lot of revenue potential. The medical market is one of the most popular and everlasting industries since people from all backgrounds and demographics want to be healthy.

In this article, we have learned five steps to take when starting a digital health business, including:

  • Identify the top health market
  • Determine your business model
  • Create a business plan
  • Build your digital platforms
  • Develop marketing strategies

Follow the steps provided in this article, and hopefully, they can help you understand the process of successfully launching your online health business.


Blogger By Passion, Programmer By Love and Marketing Beast By Birth.

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