Finding THE niche for your business

A few years ago I started my first business: selling fashion jewelries only. I had absolutely no experience in either jewelry or online business and boy I wondered how the business could lasted that long after all the mistakes I made. Anyhow, one of the most basic mistake I made was trying to satisfy everyone: I tried to build up stocks that would satisfy the needs of all types of customers, it’s not a surprise that I couldn’t impress anyone. All that money, effort and time went out of the window was not completely wasted however, I did get one very important lesson: You have to concentrate your capital, or what they usually say in marketing courses: Finding your niche (I wish I took those courses before *_*)

Over the years the term ‘niche marketing’ has gotten a rather bad reputation. It tends to conjure images of shifty online businessmen attempting to sell programs that promise to make you millions in a few short months, and to give you everything you need to create a successful company with no work. But this is an unfair generalization that has undermined a basic principle of business for far too long. It has also left many company owners struggling to make end’s meet as their ventures fail.

Niche marketing is actually a basic concept that must be employed in order to establish yourself with a base consumer audience, as well as brand and market a product. Failing to create a specific target will leave you casting your net out to any market. Instead of wrangling in more customers, as tends to be the hope, it will actually do the opposite. You will lose potential business by not establishing a firm foundation upon which to sell.

This is due to the fact that wide marketing takes wide funding. You have to be able to produce enough cash to lay down for an international advertising campaign. This requires plenty of money to pay the fees for different countries to run your campaign, for different cultural consultants to work out how to best market in a specific area, and a hundred other bits and pieces you will have to pay for. This means millions to add to the marketing budget, which would put you out of the realms of a small business in the first place.

Any marketing consultant worth his salary will explain this to you in the beginning and insist on your coming up with a niche market as a beginning proposal. But to do this, you have to find out what is currently in demand, what you have the ability to produce, and who will buy it. This is where marketing research comes in, and becomes a priority in your starting moves.

Begin by looking at your own resources. What is it you can produce? You should be going for a product that you already know, something you have education, knowledge, and experience in. Dipping your foot into an entirely new venture when you are already taking the risk of opening your own business is a mistake. You should always have a good idea of how to create a useful product in your niche.

Next, begin to research that niche. What you are looking for is a small market of which to include yourself. This will help you to create a target audience to market to. The smaller the market, the more chance you have of making a dent, as you will be faced will less competition by larger, more established companies. Once you have begun to see profits from this small market, you can either increase your focus to a wider market, or establish another market to secure. Don’t try to market to a large group in the beginning, or you will end up losing money, and probably losing your business very quickly.

This is not an option guideline to follow, but a necessity for business success. If you want to see yourself in the black, rather than falling far into the red, make sure you have a niche market in mind before you begin selling.

Finding THE niche for your business

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