Rome was not built in a day. What has that got to do with business? Everything! One cannot create a profitable business in one day. The lesson is to start small. It is to focus on tiny sections of a market before you capture the entirety of it. It is for this reason niche marketing is gaining traction so much. It solves the needs of a tiny audience. It focuses to almost a laser point on a small group of people. Get a Full List Here of the niches that are being targeted in 2018. We discuss More Here about how a niche market can be beneficial to startups and freelancers.
• You can quote a high price and get away with it.
The whole concept of niche marketing is to fulfill the need of a few people. Take, for example, shoes for women who are expecting twins. There might be a lot of expecting mothers, but females who are going to give birth to twins is a small subsection. These women know that shoes that fit their feet and are comfortable to walk even in the ninth month are not readily available. So, if they find a vendor for it, chances are they will be ready to pay a pretty penny.
This strategy applies to any niche market. The consumer will be ready to pay a right amount for any focused product, service or solution if it is precisely what they need. Finding a generic product is easy. Finding an answer to a very particular problem is tough. When a niche marketer provides the solution, they can quote a high enough amount.
• You can save money on advertising and marketing.
When it comes to promoting, branding and positioning a niche product, the answer is already in the item itself. Unlike a generic product that would need in-depth study before it can be advertised, a niche good can be sold as is. Think about it. If you want to sell shoes, how will you ensure that it is different enough from all the competitors that a customer chooses them? For your generic service to sell, you need to find or create an USP.
In case of a niche product, you don’t. Your target audience is already known. You know that they will not find the product you offer, elsewhere. Hence, there is no need to spend time, energy and money on advertising or positioning strategies. Merely marketing it for what the product does is more than enough. This saves up a lot of capital that can be used to improve the product and make it even better for the customer.
These two reasons – a higher retail price and lower marketing cost – make niche marketing highly profitable. This especially applies to beginners or people who are just foraying into selling. Funds are always tight at the start. If there is a way to save money, one should grasp it with both hands. Don’t wait; pick any niche and start selling!