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BE BRAVE, BE NICHE

If you’ve ever thought of turning your hobby or passion into a business, you are not alone! Setting up a business may mean starting small, and possibly selling a product that may be suitable for a niche market. That’s a great angle for your business to have!

Providing a product (or service) for a niche market is a clever way to define your online store offering and appeal to a particular audience’s needs (and wants!) without risking too much investment while maximising your customer loyalty.

WHAT IS A NICHE MARKET?

A niche market is a specialised and often small market for a particular product or service. It caters to a particular item or service being sold – if you are the seller your products will likely cater to a particular buyer's needs or wants, without broadening your stall too widely.

Tapping into a niche market where there is real customer demand, as well as an insufficient competitor offering, is the best spot to position your business in!

THE BENEFITS OF A NICHE MARKET

  • Allows you to scale your business over time
  • Establish your brand positioning with competitors
  • Target a niche market’s needs with greater focus
  • Improve possible conversion rate through tailored offering
  • Improve customer loyalty with niche appeal

HOW TO FIND A NICHE MARKET?

To sell successfully to a niche market, you will need to find out exactly who would be interested in buying the specific items or service you are going to sell.

Getting to know your target customers and their particular needs is important to be sure your product or service will meet those needs.

For example, you should look closely at:

1.Customers' Interests

The interests an individual has or what they are passionate about so that you can maximise your appeal to that potential customer beyond just the product sale. Think about their possible hobbies and where else they shop so that you can have a presence in these spaces, to position your brand for maximum appeal.

2.Niche Problems and Needs

Identify a customer’s problems and needs, then how to solve them. Researching the challenges they face will allow you to empathise and solve these problems. Exploring what makes that individual tick, to maximise the appeal of your product or service you are selling to solve their problems.

3.Research Competition

Get to know the competition in the marketplace already. Be savvy about their price points and what makes them appealing, where they are selling, and how you will need to compete with them. From there you can also identify their weaknesses and how you will separate your offering from theirs in the market.

4.Defining your niche

Getting to know your niche market customer inside and out will help you refine and define your product or service to make sure you are unique in the market. Paying close attention to your product quality and price point will also improve your profitability.

5.Become a Specialist

Once you know who you are going to target and which product or service is likely to satisfy their needs, you can define your business offering and maximise your profitability too. Then it’s time to test your product and get selling!

Positioning yourself as a specialist in a niche market is the goal.

FIND A NICHE MARKET

When trying to appeal to a niche market, you might need to brainstorm your ideas to make sure the customer demand is there and provide a solution to meet their needs.

Examples of sectors which niche markets live within include:

  • Conscious renewable products (think green!)
  • Dietary needs
  • Health and wellness
  • Pets and pet owners
  • Homeowner security technology

There are so many problems or needs that each of these topics contains; being able to solve just one problem with your unique product or service will create an opportunity to make a potential customer for your business.

Do your research, unite your passions and interests, and together you could make a profit too.

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