How to Find and Define Your Niche Market
“A lot of times, people don’t know what they want until you show it to them.” – Steve Jobs
I’ve always considered this to be a brilliant quote, but because it came from Jobs, I framed it in terms of the big, mass-market product categories where he was such an important force.
But when I began to explore the niche market definition, I saw that the idea he was expressing relates directly to creating niche markets.
You see, one of the most important attributes of the niche market definition is that a niche market is created — it doesn’t pre-exist.
What is a niche market?
You can carve out a niche market for yourself with consumers or in a B2B (business-to-business) sector. For success, one of the most important requirements is that your product or service is so unique that people must go to you to get it.
Further, you need to be able to clearly define who your customers are. If you can’t do this, you can’t reach or market to them effectively. This is important in any market, but its importance is magnified in a niche market.
When your product or service appeals to a broad market segment, you can be less precise in your marketing and advertising campaigns and still achieve some degree of success.
But when you know that your market is small to begin with, any misfires in your marketing campaigns will deliver two bad results:
- You’ll spend a lot of money, and
- You won’t make any sales.
Tip: Avoid broad marketing messages; create engaging content by writing to one person.
How to define your niche market
I suggest that one of the best starting points if you want to build a business, product, or service around a niche market is to build on what you already know.
Further, this can be ideal for budding small business owners and even those of you who want to create a business from home.
What are your interests? What are your hobbies? What professional expertise and experience do you have?
Dig deeply into those areas of your personal knowledge to discover needs that aren’t being met. What inconveniences do you find yourself often coping with? What would you like to do, but right now getting it done is a hassle, so you don’t even try?
If you can develop a unique product or service in an area that’s very close to you, you have a good chance to succeed. You will be in a position to judge the value of your creation — its marketability — and you’ll also know who your market is.
That’s a winning combination.
Tip: Demonstrate your expertise by starting an email newsletter and sending commentary and advice to your target audience.
Maximize your impact by narrowing your focus
One of the worst mistakes your business can make is trying to please everyone.
Narrow your focus, communicate your unique value, and hone in on your niche audience.
One you’ve defined your niche market, use these 10 low-budget marketing ideas to engage your customers and drive sales.
About the Author: Susan Solovic is THE Small Business Expert. Sign up for Susan’s Success Tips Newsletter and get your free copy of “Smart Marketing Strategies for Small Biz” ebook.