When you run an online business, of course you expect profits, right? To take advantage of this, you have a lot of marketing options to choose from. One way of marketing that you can do is by applying a niche market. However, for some ordinary businessmen, the niche market may still be something foreign. In this article, we will discuss it. Letsgo!
- What is Niche Market?
- The Difference Between Niche Market and Mass Market
- Niche Market Advantage
- How To Determine The Right Niche Market For Your Online Business
What is Niche Market?
Before going any further, you must understand what a niche market is first. Niche market is a market industry that has a more specific target. Different from the mass market, in the niche market there is a certain segmentation that will meet market needs and make it the target of your business in marketing products or services. You must be wondering, if we can reach a wider market, why do we target the products or services we offer to a more specific market? Dont get wrong, defining this more specific market will allow you to earn more profit and dominate the “specialized” market with fewer competitors. Also, you can’t market the products or services you offer to everyone. So here it is important to build loyal customer that has a special segmentation.
A simple example of a niche market is in the coffee shop industry. In this industry, you can find various types of coffee menus offered such as cappuchino, coffe latte, vietnam drip, and so on. So from here, various niches will be formed that have special segments according to their preferred coffee, price, age, and others.
The Difference Between Niche Market and Mass Market
Different from the niche market, mass market has a wider target market. Businesses that apply mass market simply will meet the needs of a more general market and do not have a specific segmentation. Like the previous example, if the niche market is cappuccino, coffee latte, vietnam drip, and so on, then the mass market is coffee only. The habit of mass market consumers is usually heterogeneous and constantly changing, because what businesses offer is something “general”. The mass market also has many competitors and it is difficult to build loyal customers.
Niche Market Advantage
When you apply niche market strategy to your online business, of course there are several advantages that you will get in marketing your product or service.
According to the niche market explanation above, which is the target market that has been determined, it will certainly reduce your business competitors. But keep in mind, this strategy doesn’t always last long because new competitors using the same niche will keep popping up. This is where new strategies and innovations for your business are needed so as not to lose by competitors.
Because you have determined the target market to be aimed, of course you can focus more on developing your online business. After that, you only need to find out the unmet consumer needs and develop the products and services offered to be more optimal so that consumers are more satisfied.
Your business is easier to known
In line with the first point, because your business competitors are few, of course your online business will be more easily known by consumers because of its small scope, this condition will be different if you apply mass market strategy because there are many competitors. Therefore, it is likely that your business will be more famous because consumers of your product or service will definitely recommend it to the community or people around them.
Makes it easy to build consumer loyalty
By interacting with a smaller target market, you can increase their loyalty to your online business by offering a more specific product or service. But keep in mind, because the target market for your business is segmented, make sure to provide the best service so that consumers are satisfied. If you already have loyal customers, this will convert into significantly increased sales.
How To Determine The Right Niche Market For Your Online Business
After knowing the advantages of applying niche market, then you can move on to how to determine the right niche market for your online business. Let’s discuss!
Find a potential niche market for your online business
The first step in determining a niche market in your business is to do keyword research. In order to find out product or service ideas that are more specific to the business industry, you can use Ubersuggest to find out keyword ideas in the industry that are relevant. Here we can take the example of the keyword “coffee flavor”
Here you will see many keywords for niche market strategies that can be used as a starting point for developing your online business. You can also combine several keywords to reach some more specific target markets.
Do market research
After knowing the niche market that is suitable for your industry, then you have to do market research to find out whether the keywords you choose are worthy of being a niche market. This can be done by searching for community or market interests through social media. Try doing a search on the niche market that you will use in the Facebook Marketplace search column for example, if results appear on the keywords you are using, it means that your niche market idea is selling well in the market.
Test your product or service on a predetermined niche market
And the last one is to do a niche market test on the market. This test is important, considering that we have to find out if there is anything that needs to be adjusted to a predetermined niche market. If it doesn’t work, don’t give up. Continue to make improvements to the products or services you offer. Keep doing this step until the product or service that your online business offers gets the expected sales.
Thus the discussion of our niche market, it can be said that if you apply this strategy to your online business, it will have a positive impact, especially on profits and customer loyalty. The results of implementing this strategy may not be instant, because it requires a long process. But with consistency and hard work, whatever results you expect from a marketing strategy will be achieved one day. SATUVISION is here to understand your marketing needs, including in determining and planning niche market marketing.