Spending amongst consumers in the United States has been up in recent years thanks to near record low unemployment rates that are now hovering around 4%. That increase in spending has given birth to tons of opportunity for small business owners.
If you’re an aspiring entrepreneur that’s looking for a good niche to break into, we recommend trying your hand at manufacturing.
Manufacturing is a business that has been largely outsourced since the ’90s but with a current administration that’s bent on bringing manufacturing jobs back to the United States, there’s no better time than the present to start dabbling in this sector.
Curious about what you should manufacturer? Wonder no more!
Below, our team shares excellent niches that small manufacturing companies should consider.
1. Smartphone Accessories
This is one of the hottest manufacturing niches because smartphones are in the hands of just about every man, woman, and child in the country. Given the prevalence of phones, consumers are always wanting new ways to make their devices more convenient and fun.
That want typically leads to people buying accessories.
Smartphone accessories can be simple like phone cases or stands. They can also be complex pieces like Bluetooth headsets.
The toy industry has taken a downturn in the last decade due to the fact that most kids are playing with digital devices. Despite that downturn, there is still a lot of opportunity for small manufacturing companies that are willing to venture outside of the box.
Just think, something as simple as a fidget spinner managed to take over the world a few years ago. Toys like that are cheap to make and can add a tremendous amount to a company’s bottom line.
3. Plastic Containers
With single-use plastic bans cropping up all over the United States, people are needing to find new, more sustainable ways to store their food. What people are turning to are plastic containers.
Given how much steam this market is picking up, lots of companies are foraying into the container space but very few of them are US-based. That gives domestic manufacturing companies an opportunity to brand themselves as a “Made in the US” plastics company which could lead to them getting a niche foothold in a hot market.
4. Olive Oil
With the economy on an upswing, people have a lot more expendable income. That expendable income is finding its way into the craft foods market and olive oil has benefited from that trend, big-time.
Being an olive oil manufacturer can be deeply rewarding because there’s something about working with food that makes for a personal and artisan craftsmanship experience.
While the infrastructure for olive oil production can be a little complex, the work is worth the reward.
Hair loss is a condition that affects both men and women. It’s something that hits most of those affected very hard and many of those people are willing to spend a lot of money to remedy their problem.
That’s why so many people that opt for wig solutions do not buy from overseas. Most are willing to spend the extra money on quality that they feel they can only get from domestic manufacturers and therein lies outstanding opportunity for local makers.
6. Sports Equipment
The American love affair with sports like football, baseball, and basketball is ever growing and has led individuals, schools, and professional organizations to spend billions of dollars every year.
Whether you choose to manufacturer balls, bats, helmets, jerseys or any number of sports-related paraphernalia, we’re confident that you’ll manage to find a market to sell to.
eCommerce is the term that’s used to describe the buying and selling of goods online and anybody that’s ever been on the internet knows how big it’s getting.
Despite its rapid growth, believe it or not, eCommerce only comprises 10% of consumer spending. That means that there is still a ton of opportunity in the space.
Given that eCommerce doesn’t work without the shipping of goods and shipping doesn’t work without boxes, manufacturing boxes could be a great way to turn large profits, fast.
8. Automotive Parts
There are 253 million cars on the road across the United States and each of them will require some degree of maintenance and repairs in their life. That reality is why so many people move into the automotive parts space as manufacturers.
Much of the 3rd party automotive parts market is based overseas and many people can’t wait for long international shipping periods to get their hands on the part they need.
As a domestic manufacturer, you can provide high-quality parts quickly to consumers and charge a premium for your efforts.
9. Roofing Materials
With the US housing market being red-hot, many homeowners are looking to cash in by selling. The problem with that is that nobody wants to buy a home with a faulty roof.
To remedy the issue, many homeowners are hiring roofing contractors to replace and repair their roofing prior to selling which has caused a spike in demand for roofing materials. If you can get a foothold in the roofing space, you stand to do extremely well as a manufacturer.
Our final small manufacturing companies suggestion is the creation of jewelry.
Jewelry production can be done on a small scale (putting together pieces in a garage) or on a large scale where you’re not only manufacturing pieces but actually sourcing and selling diamonds as both gems and superabrasives which this guide discusses in detail.
The jewelry trade is very competitive and you’ll need to overcome the marketing challenge of figuring out how you can stand out. If you have an eye for jewelry though or can put together the right team, this market is rife with opportunity.
Wrapping Up Manufacturing Business Ideas for Small Manufacturing Companies
Whether you choose to dabble in jewelry, roofing or something in-between, there is no shortage of opportunities out there for small manufacturing companies to make a fortune.
We advise that you consider our suggestions, research the niche you choose to dive into thoroughly and dive in!
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