Find a Niche Market to Grow your Business

Business owners, the competition in your industry is huge.  Many competitors offer the same or similar services or products.  In order for your business to survive, don’t take them head-on:  think small to stand out.  Learn how to grow your business by discovering your niche market.

Not battling with the competition sounds counter-productive.  On the contrary, a niche market is focused on a smaller audience.  It involves finding an idea within a large industry to make your business stand out.  Sharpen your focus by reviewing the type of customer that currently purchases your product or service and the ones that may want or need to purchase your product or service.  Make assumptions if needed.  Get specific and reach out to the demographic.  The goal is to find a product or service that is widely accepted, yet has your own spin to it that makes it uniquely yours.  It has to be unavailable or poorly-served in this industry niche as well.

The following companies focus on something the industry hasn’t covered:  that’s the heart of their operation.  For example, moving companies focus on the large moves: a whole house, apartment or business.  In the moving company case, a niche market would be small moves: one room, dorm room or a few items.  Another example is Subway, Quiznos and Jimmy Johns.  Subway is the king of subs, yet Jimmy Johns still found a way to create their fan base; while Quiznos filed for bankruptcy.  Subway is the standard sub restaurant that fits in any big or small location.  Jimmy Johns focuses on gourmet subs, delivery, and drive-thru; three items Subway doesn’t focus on.  Even though other fast food chains offer drive-thru, no sub restaurant place has one.  It’s uniquely theirs.  Quiznos went head-to-head with Subway instead of focusing on standing out.  They couldn’t compete.  Your niche market idea may change the industry.  Flare and boot-cut jeans and wedge shoes are huge examples of niche markets.

Diving into a niche market depends on the state of your business.  Startups and struggling companies may want to base their business on a niche market. It’s less competitive with a greater chance of success.  It all depends on what you choose as your niche.  Keep in mind that your business doesn’t have to focus completely on the niche market.  Established small businesses can use niche markets to try something new.  If it works out, then expand more of the business to accommodate the niche market.  If it doesn’t work out, you can go back to what is already working for your business.

Your competition has not covered something.  It’s your job as a business to find out what it is.  Watch your competitors and other competitors not in the industry.  See if there is something you can add to your business that is currently not available to your customers, then make the magic happen!

Remember, running a business successfully does not need to be complicated.  Keep it simple!

For more valuable articles to help you successfully manage the challenges of growing your business profitably, please search our blog at our website www.portalcfo.com.

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