Every business has a target audience, a group of customers who most benefit and accept the product or service you are offering. However, marketing to a niche audience means you are competing within a narrowly defined market segment with a highly specialised offering.
A niche competitive advantage seeks to target and reach a single segment of the market. This type of strategy works very effectively for smaller and new companies that do not have the resources to go after larger sections of the marketplace.
Finding a niche is important for small business owners who want to not only create a steady stream of revenue, but also establish a loyal audience. Walters said that a solid market niche helps to ensure that a particular group of customers will want to buy from your business, instead of going to the competition.
A niche market is the subset of the market on which a specific product is focused. The market niche defines the product features aimed at satisfying specific market needs, as well as the price range, production quality and the demographics that it is intended to target. It is also a small market segment.
Niche marketing is an advertising strategy that focuses on a unique target market . Instead of marketing to everyone who could benefit from a product or service, this strategy focuses exclusively on one group—a niche market —or demographic of potential customers who would most benefit from the offerings.
A niche market is a segment of a larger market that can be defined by its own unique needs, preferences, or identity that makes it different from the market at large. For example , within the market for women’s shoes are many different segments or niches.
Examples of Competitive Advantage Access to natural resources that are restricted from competitors . Highly skilled labor. A unique geographic location. Access to new or proprietary technology. Like all assets, intangible assets. Ability to manufacture products at the lowest cost. Brand image recognition.
The six factors of competitive advantage are quality, price, location, selection, service and speed /turnaround.
5 Steps You Can Use to Find Your Niche Identify your interests and passions. This may be something you’ve already done. Identify problems you can solve. With your list of 10 topics in hand, you’re ready to start narrowing down your options. Research your competition. Determine the profitability of your niche . Test your idea.
In 1927 Charles Sutherland Elton, a British ecologist, defined a niche as follows: “The ‘ niche ‘ of an animal means its place in the biotic environment, its relations to food and enemies.” Thus, the beaver affects the biotic and abiotic conditions of other species that live in and near the watershed.
Terms in this set (8) competition. A common demand by two or more organisms upon a limited supply of a resource; for example, food, water, light, space, mates, nesting sites. coevolution. ecological niche . mutualism. predation. parasitism. Realized niche . Fundamental niche .
An organism’s niche includes its environment, behaviors, and interactions. For example , humans constantly change the environment by depleting abiotic factors. These include resources like water and coal. All the things an organism does within its ecosystem is called its niche .
The advantages of mass marketing Because companies that utilize mass marketing are pushing their product or service with such force, the production of their product becomes cheaper when compared to companies that produce products for a smaller, more targeted audience. Think of bulk buying at Costco.
The main disadvantages of marketing to a niche include: Lack of “economies of scale” (these are lower unit costs that arise from operating at high production volumes) Risk of over dependence on a single product or market . Likely to attract competition if successful. Vulnerable to market changes – all “eggs in one basket”
These are the 10 most profitable niches on the Internet: Fitness and Weight Loss . P90X, Weight Watchers, the Atkins Diet, the South Beach Diet, the Keto Diet… the list goes on. Health. Dating and Relationships. Pets . Self-Improvement. Wealth Building Through Investing. Make Money on the Internet. Beauty Treatments.