So, you're looking to make money online and are wondering what is niche marketing? Working in a niche market can be very rewarding if you are offering the right product or service to the right audience. However, many people often get confused by the word ‘niche’, and it seems like technical jargon to them. Well, that is because niche marketing is a technical subject and one needs to know the correct niche market meaning and also understand what is a niche marketing strategy before they go ahead and start looking for a niche market.
Luckily, this guide is all about niche marketing where you will find out the true niche market meaning, learn what a niche marketing strategy is, see some niche marketing examples, and understand the niche marketing advantages and disadvantages and more. So with that said, let’s dive into the wealth of knowledge below:
When it comes to an understanding of what niche marketing is, you need to first know niche market meaning to be able to properly grasp the idea of niche marketing. So with that said, let’s see what the proper niche market meaning is:
The meaning of the word ‘niche’ is a small portion of something, and the meaning of ‘market’ is a place where commercial dealings are conducted. So with the translations of both words in mind, a proper niche market meaning is ‘a small portion or a subset of a market where typically a specific type of products is focused.
For instance, in the market of electronic products if someone is only focusing on ‘solar-powered electronics’, then it is the niche market of that big market of electronic items.
Now picking up from the meaning of niche market, the concept of niche marketing is to advertise and promote that ‘specific’ niche market product to a ‘specific’ group of people instead of targeting everyone. This means that the niche marketing strategy focuses on targeting exclusively one group of people who would get the most benefit out of that product and will be super interested in purchasing it.
For instance, taking the same example of solar-powered products, virtually everyone loves electronic, and that means everyone can get benefit from these products. But, because we are doing niche marketing, we will target a specific group who would be super interested in the product like people who are concerned about the environment and want to get energy through a source that’s not harmful to it.
Now that you know the niche market meaning and what niche marketing strategy is, you must be wondering why businesses do it. Well, that is because it allows brands to distinguish themselves and appear as a distinctive authority in a unique set of customers and deeply resonate with them.
In simple words, instead of blending in with many other similar brands that offer the same or similar products, brands can leverage niche marketing strategy to stand out from the crowd. There are various factors that can help a business stand apart through the use of niche marketing strategy and some of them are:
These are a few factors that come under a niche marketing strategy and can help businesses appear more valuable, reach their maximum growth potential and build strong and long-lasting relationships with their ideal customer base.
Lefty’s in San Francisco:
Located in San Francisco, Lefty’s is a retail store that sells kitchen goods, gardening tools, and school supplies. It seems pretty common and generic, right? Wrong! They are different because they tapped into the niche market of left-handed people.
As the name suggests, all of their products are for left-handed people making it easier for them to perform day to day tasks. According to Fact Retriever; only 10% of the population is left-handed, but for a single business to target that small niche market, it is A LOT!
They heavily invested in PPC advertising and as a result, whenever someone searches for a tool for left-handed people like ‘left-handed scissors,’ Lefty’s advertisement comes up, and that’s how by just targeting a small niche market, they are able to not only solve a big problem but they are also making good money.
There is a common problem faced by men, and that is not being able to get the right pants from stores where they usually don’t find the right size. Therefore, Bonobos targeted this niche market of men who have this problem and launched pants with special waists that conform to the body of the wearer.
And just because of that, they earned a whopping $1 million in the revenue in just six months since their launch. (Source: Referral Candy) Bonobos use a combination of social media and blogging to interact with its customers and drive more sales.
Now owned by the e-commerce behemoth, Amazon, Whole Foods also targeted a niche market, and as a result, it was bought by Amazon for a staggering $13 billion on 28th August 2017 (Source: Biz Journals). The niche marketing strategy of Whole Foods was initially based on targeting people who preferred healthy organic food.
Besides providing all-organic food, Whole Foods also educates people through their blog with mouthwatering recipes of cooking healthy food and different cooking techniques.
Advantages of Niche Marketing:
Drawbacks of Niche Marketing:
From a perspective of blogging, niche marketing is the process of selecting a very small market segment with a small audience and then offer value to those people. This means that instead of going for a big niche like heart-problems, you can target people with blood pressure issues and just create content offering tips and solutions to such people for maintaining healthy blood pressure.
Granted, your audience will be small as a whole but due to low competition, all or most of the people in that niche will be following your blog, and you will have a significant number of visitors coming to your website on a daily basis. You can then leverage that audience to earn a handsome amount of money.
You can engage in affiliate marketing and sell products related to solving blood pressure related problems and earn a decent commission, and you can also put advertisements on your website.
Furthermore, you can also launch your own fully licensed, approved and certified product (if certification is necessary) to benefit your audience and bank a massive amount of money.
Now that you know niche market meaning and what is a niche marketing strategy, you will be able to find a perfect niche for your blog pretty quickly. We also have a guide on finding your niche market so make sure to check it out as well.
Lastly, if you don’t know how to start a blog, you can refer to our guide on starting a blog for beginners. And if you want any kind of help with blogging, you can join Wealthy Affiliate to get direct answers to your questions from industry-leading bloggers.