The Profitable Way To Reach Your Ideal Customer
What is your brand’s unique selling proposition?
Do you know your target audience and how to reach them with your marketing messages?
One of the challenges every business faces is how to differentiate your brand from the competition in an oversaturated market and stand out from the crowd.
The solution lies in your target audience – but not just any audience. The savvy marketer will segment the market in order to find the right niche, making every effort to understand the target customer on a much deeper and more personal level and catering precisely to their needs.
What Is Niche Marketing?
Niche marketing differs from a more general marketing approach in that it focuses on a specific subset of an overall audience: a unique niche. Instead of marketing to everyone who could conceivably benefit from your product, your strategy will focus exclusively on one group or demographic of potential customers that you believe will benefit most from your offering.
Whether you select your niche according to geographic area or lifestyle, profession or occasion, culture or behaviour, habit or need, your carefully chosen approach allows your brand to differentiate itself from the rest, while you appear as a unique authority and resonate deeply with a distinct subset of customers.
Instead of blending in with the many other brands that offer similar products, you can use niche marketing to:
- stand out in a crowded market
- appear more valuable to your customers
- develop more authentic and enduring customer relationships
- reach your growth potential
3 Examples of Niche Marketing Done Right
So, how does niche marketing work in the real world?
Here are three current examples from the world of fashion that may inspire you to identify micromarketing opportunities in your own business or sector.
Canadian shoe company Poppy Barley launched in 2017, offering “polished, everyday footwear for kick-ass people who don’t have time for sore feet. Ethically crafted, this is comfort made cool.”
The company targets niche market customers (largely urban professional women) who love fashionable shoes just like the larger customer base and are willing to pay a premium price, but are not prepared to sacrifice comfort and quality in the name of fast fashion.
Tina Bucknall Fashions started as a local boutique in Sussex before becoming an official stockist of Robell trousers, a stylish Italian ladies fashion brand with a vast product range that caters to every body shape and up to a UK Size 24.
Garments are made with a luxurious, comfortable unique stretch material that make wearing trousers easy and pleasurable, especially for the larger lady.
American men’s casual wear company UNTUCKit has chosen to focus on serving the needs of a very particular group of customers: men (and women too) who don’t like to tuck their shirts in.
By making a small change in a well established market segment, they were able to create a new line of products that cleverly solved a problem many of their customers were having.
How Do You Find Your Niche Market?
The most successful and lucrative niche markets are those where customers feel that the product solves a problem or passion, which they are happy to pay a premium price for. To find the optimal niche for your business, start by looking for easily identifiable ‘mini markets’ within your existing customer base.
- What are they buying and how often? Do your existing products meet their specific needs, or do they miss the mark?
- If there is a need that isn’t being met, check that this segment of your customer base has a demand or pain point that’s broad enough to be profitable for you – it could be your niche market.
- Look for opportunities to adapt and replicate your product(s) across different demographics – age groups, professions, cultures etc.
- You should also scan your competitors’ customers with a view to finding gaps that your business could fill successfully.
Benefits of Niche Marketing
The most obvious advantage of niche marketing done right is that you can charge a higher price. Your target customers will be happy to pay a premium in return for getting exactly what they want or need – all boxes are ticked. The best niche markets include a well defined, easy-to-spot group of consumers who grapple with a unique passion or pain point that you can turn into real profit for your business.
Once you have correctly identified your niche, you can create highly personalized, focused marketing messages and CTAs that not only create a more intimate relationship with the customers, but should also convert well into hard sales.
And with today’s easy access to powerful data management and automation technology, niche marketing is more efficient than ever before. Collect demographic information, create detailed customer profiles, tweak and re-tweak your marketing campaigns with additional information – all to connect in ever greater detail with your niche market.
These benefits can position even smaller companies for significant commercial success.
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