A simple way to define Niche is a small, focused area of a market that may have particular requirements and/or specialized needs to have access. Examples of Niches are:
- Active wear for older women.
- Truck cleaning service
In the two examples above what makes them niche is the fact that they scratch more than the surface of a market. Instead of just active wear or active wear for women its active wear for older women. Instead of cleaning cars or trucks and cars we are focusing on just truck cleaning.
Niche marketing has its advantages of being able to really lock into and focus on a small market so you can really concentrate your marketing efforts and get awareness in the niche market. By nice marketing you are not ruling out sales from outside your niche market, Women may still gain awareness and be interested in your older women’s active wear!
Niche markets have little or no competition
Niche markets in most locations see little or no competition, in my two examples above there may be competition on the outer markets (women’s active wear) but when you narrow it down into their niche (Older women’s active wear) there is little or non.
The importance of your brand recognition and ability to build strong branding is very accessible in a niche market. Being able to build loyal and strong relationships with customers will help with reviews, word of mouth referrals and your business’s reputation across social media.
As your niche is a small targeted part of the market you have to avoid customer dissatisfaction and low trust, which can spread amongst the customers in your niche market.
Do note if you’re going to be in a niche market you are still going to need your marketing efforts to be top-notch. A smaller segment and a finer target profile may make it easy, but you still have to market and operate well.