Choosing a Niche Market

Are your clients mostly in one niche market, or are they across the board? You may find there are many benefits to targeting one marketplace and becoming its go-to consultant.

A niche market is simply a narrowed target market. Developing a niche for your business takes some time, research and thought, but the results are worth it. Start by looking at numerous possibilities and narrowing them down based on several factors, such as the fit between your business and the niche, the possibility for growth and so on.

Below are four questions to explore when choosing the ideal niche for your business:

1. Does the niche "fit" you?

• Your unique knowledge, gifts and strengths should complement what the niche needs.

• You must like to work with these kinds of people and environments.

• You should be able to utilize your expertise in this area and become known as an expert.

• You should have contacts and/or experience with this niche.

• You are passionate and knowledgeable about this specific niche's issues and problems.

2. Is the niche market the right size — not too large that it is impossible (in terms of money, time and resources) to market to it?

• “Not too large” means that the big companies (who have the money, time and resources) haven’t already targeted it more effectively.

• “Not too small” means that there are enough people to justify and sustain your marketing and business efforts.

3. Is there is competition within the niche?

• If there is no competition, it usually means that there is not enough demand for any products and services, and there isn’t growth potential.

• You need to be sure that the people in this niche know they have a problem and are actively seeking a solution.

• There should be potential for prospective partnerships and collaborations with other businesses serving the same niche market.

4. Is the niche reachable and receptive?

• You should be able to come up with several different ways to connect with prospects and clients in this niche (i.e., media, publications, online and offline strategies, etc.).

• You need to make sure there are several ways in which you can be highly visible to the people in this niche (i.e. writing, speaking or networking).

• You must be sure that your niche market is open to getting help and spending money on products and services.

Use these four questions as a guide to choosing a particular group of people to offer your products and services. Remember, when you choose a niche market to focus your marketing on, this doesn't mean that you can't work with others who may come to you via your Web site, networking, referrals and so on. All it means is that your efforts and resources are focused on marketing to your niche and becoming well known in it.

Many people panic at the thought of having to choose only one niche and spending the rest of their business lives catering to it. Don't forget that marketing is a process that changes and grows as you and your business evolve. You can always refine your niche as you learn more, and there's nothing stopping you from catering to multiple niche markets!

Jody Gabourie, the Small-Business Marketing Coach, delivers simple, innovative and powerful marketing strategies to help business owners find and keep their most profitable clients. To learn more about how she can help your business, visit www.jodygabouriemarketingcoach.com.