Introduction to Niche Marketing
Niche marketing focuses on a customer with a certain set of needs which can pay you the best if the organization satisfies their needs. This marketing is to focus on marketing your specialization to get recognition for your business and not give birth to the competition. Niche focuses on smaller lots of people it still has high growth and profit potential.
Niche means – positioned marketing, which again means marketing in a particular market or publicizing in a single position of the market. It means creating awareness amongst specific people who would be interested in the goods and services offered. This specified marketing based on the goods and services focus on specific market needs, product quality, the price range of the product, and also the demographics of the product. You are an expert or a specialist in a certain product or a service that spotlights the needs of a certain group of clients; however, the main big organizations cannot provide the same hence niche marketing definition focuses on a certain part that is targetable for you and your business in the market.
By Kotler 2003– The customers in the niche have a distinct set of needs; they will pay a premium to the firm that best satisfies their needs; the niche is not likely to attract other competitors; the nice gains certain economies through specialization; and the niche has size, profit, and growth potential.
By Stanton Etzel and Walke, 1991 — A method to meet customer needs through the tailoring of goods and services for small markets.
Meaning… A way or a mode of altering goods and services so brilliantly that it fits small markets or specific customers in a market who will pay the price for your professionalism.
By Keegan, Moriarty, & Duncan, 1992— A small market that is not served by competing products.
Meaning… Niche is specifically for specialized goods and services as it does not include competitors.
With all these definitions, you get an output or a meaning that states Niche focuses on smaller segments of the market or rather smaller markets. In fact two of the definitions above also state that a niche market has an absence of competition; however, they do not mention that it is the specialization and expertise of a particular small organization that can focus on the customer wants and needs that the bigger competitors cannot manage, this is the key of becoming a victorious niche marketer. niche marketing strategy is a firm’s long-term focus on a set of skills and significant apparatus. Hence a more precise definition of niche marketing, for example, will be…
… niche marketing definition needs a specifically defined market segment to focus on specialized market offerings.
Who uses Niche Marketing?
It is said that smaller companies and organizations use niche marketing strategies effectively to gain maximum recognition by marketing their specializations and expertise in a specific set of organizations. The reason behind the niche marketing definition for smaller companies is saving marketing costs and focusing on the target audiences and not the entire market. Focusing on smaller or lesser audiences saves a lot of marketing costs.
There are a number of bigger companies and organizations that do use or employ niche marketing strategies for a specific segment of products and services that they sell and offer, focusing on a specific group of people or a specific market. There are a few examples given below to give you a clearer picture of the niche marketing of bigger organizations.
- The bigger car companies such as Jaguar, Mercedes Benz, BMW, etc, with hybrid models of cars that are energy efficient, focusing on a small segment of the rich population who use their cars for long commutes is known as niche marketing. However, fuel-efficient cars with a smaller budget are marketed on the banners of city roads, highways, magazines, newspapers, etc this is not called niche marketing; it is marketed to a large set of audiences and people who can afford the cars at a lower budget as a necessity.
- Credit card companies offer high-status charge cards like their diamond and platinum cards with specific features and target selling them to a specific set of their customers through tell-calling or sending out informational banners to their high-profile clients through emails and even posts.
- Printers, copy machines, scanners, etc, are used both domestically as well as in companies; however, the domestic machines are marketed widely, whereas the high-end printers, scanners, and copy machines are marketed specifically amongst corporate by a focus on them only and not the entire market.
How to Benefit Your Business?
After knowing about Niche Marketing and its benefits, I am so sure you would want to use it to benefit your business and its growth; you definitely have some expertise and specialization that you can materialize on. niche marketing, for example, will help you market your specializations correctly in order to make the most out of the little marketing expenses and cost you will invest in Niche.
1. Know your customers and your target market
Before you implement niche marketing with an example, you need to do a lot of research. You need your research the audiences that you need to target, their likes and dislikes. How can your expertise help them? What do they benefit from your specializations? How can you keep them glued to your expertise? etc. For all of this, you need to know your customers well. Research about customers you can target. If you are already in the business, you can take feedback by getting a feedback form filled in by them. Set the feedback forms very simply, and make sure you cover all the information you need in the form. This will help you maximize the information and know your customers better.
2. More than 100% of customer service
Customer service is right, appropriate, and friendly can earn you new and also retain your existing customers. Now you need to make sure you give excellent customer service to your existing customers and also prospective customers. Existing customers are the best prospective clients if served well, for if they LOVE your service, yes, not LIKE, LOVE your service, they will come back to you for your expertise and your specializations. To give them their respect, you need to, 1st of all, treat them as the king of the market who can keep you in the market only if they like you. You need to understand your customer’s needs and offer them the product or the service as per their need. In case you do not have something they want or are looking for, please refer them to someone they will get it from, even if they are your competitors. This will help you build a relationship with your customers and bring them back to you for your expertise. You need to make sure you offer them not the basic customer service you need to offer them much better and much more than 100% customer service.
3. Use the technology
Today it is the technology that can spread the word for you at minimum cost and just the way you want it. Technology is vast, and it gives you a number of means to reach out to your customers and also increase your existing customer base. Using it appropriately and being active on the internet is one great way of placing niche marketing with an example right. You know the youth today is very tech-friendly. They want everything on their figure tips, which is either their laptops or their mobile phones. So using the technology, you can reach out to a maximum number of people with minimum cost. Given is the how-to list below:-
- Get active on social networking sites.
- Professional social networking such as Linked In and Twitter
- Create a page for your business on Facebook
- Create a website
- Increase the views for your website by adding blogs
- Keep updating your blogs.
- Revert actively to questions asked on your blogs
- Post articles related to your business on your blogs and Facebook page
- Keep changing the blogs to keep the audiences interested
- Be active on the internet.
4. Get business from old clients
The two best advantage of Niche Marketing Definition is that there is no competition, and secondly, you have your existing clients to pitch on who can bring in more business for you. Your old clients can stick around with you and be your prospective clients whom you can pitch in your products and services whenever you think it can benefit them. If your clients love your service, they will bring you more business by recommending you and your business to people they know (this is the word of mouth publicity the most and the best-known marketing strategy since the start of the business and trade) if people know, recognize your specializations, your expertise and love your service you have an extreme scope of making a profit and growing in the niche marketing strategy.
5. Implement your ideas
Improvement comes with implementation. With implementation, you will get the experience; the experience will help you think in different directions and reach to different ideas. Only after you start you can improvise and grow with your experiences and expertise; remember, expertise only increases and get better with time. However, you have to implement it to get better. Ideas such as marketing and ideas of implementing marketing techniques, ideas for better customer service, and improving your customer base and its quality can come only with a good amount of experience in both your specialization and marketing techniques.
These big and successful companies were never always big and successful. Even they started off small and with Niche Marketing, With an Example. In fact, a number of companies still use niche marketing for some of their specific and specialized products and services. And they have grown from stage one, level one. This gives them the expertise and the knowledge to perform better. Similarly, you can maximize your business on the basis of your expertise and skills fortunately, with no competition around, you can earn better.
We hope that this EDUCBA information on “Niche Marketing” was beneficial to you. You can view EDUCBA’s recommended articles for more information,
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