Niche Market: a strategy focusing exclusively on one group or demographic of potential customers who would most benefit from the offerings.
Whether you are a stay-at-home mom starting a business or looking for a home-based business, you need to know what your niche is. In other words, the features and characteristics that a product or service needs to have to effectively solve a problem.
Finding your niche is not only about targeting a small group or providing curated solutions, or monetizing a product/service, a niche goes hand in hand with your likes, wants, and values.
The importance of finding your niche.
- Less competition: Startups can take advantage of a market where large businesses may not want to bother with it. However, once the market grows, so does the competition.
- Increase the chance of success: Narrower audiences allows businesses to focus on specific customer needs, engagement and service.
- Branding: Niche markets allows businesses to position themselves and be recommended by their customers.
- Pivoting: Once the business locks a position in a niche market they can confidently expand.
How to find your niche
Once the Eureka moment passes, make a list of all the things that you are passionate about, interested in and that you have been doing for a long time, or at least a few years successfully.
Try to brainstorm on the following:
- Are you passionate about it? (you know all about it is to know and you just can’t keep the ideas to yourself)
- What are your short-term goals and milestones to measure your success?
- What type of industry are you targeting?
- Who are your customers and how do you reach them?
- Study your competitors
Finding a niche doesn’t necessarily mean you hit the jackpot. Make a simple internet search to get an idea and pay attention to other businesses that do what you want to do.
If there’s competition in your niche market is a sign that there’s money to be made.
Make a list of the different companies and describe their products, services, price and marketing.
Test your idea
Start gathering interest in your niche using social media, create an account specifically for it. Use Facebook groups to ask questions and pitching your product/service, this will give you some idea if people are interested in what you have to offer without taking any risks.
Create a web page where you can and set up a landing page for the product/service. You can even set up a Patreon page. If people are excited about your idea and willing to pay for it, they’ll support you.
Don’t miss next week’s post.
- From Idea to Business Step 3: Describe Your Vision.