How to Choose Your Niche
Choosing your niche is dependent on several important factors.
You might want to spend several days on working through these factors when thinking about how to choose your niche. If you give these the desired consideration they will play an enormous role in building success for your business. Don’t allow choosing your niche to become a huge challenge for the business.
Follow five simple steps in thinking about what it is you are going into. There are no hard and fast rules that need to be followed for identifying the profitable niche market. It can take a great deal of time, energy and cost to identifying a suitable niche market for your business. The fact of the matter is that instead of focusing on the customers who are keen to purchase the products, it is better if you concentrate whether there is a substantial demand for your service or product. However, it should not be the sole focus for selecting a niche market. There are some important guidelines that can make a positive contribution in choosing your niche.
Five Steps on How to Choose Your Niche
Step 1 – Start by listing everything that you do. All the services or products you are providing.
Step 2 – Identify your high value goods & services. Then identify the products or service that is most frequently requested or purchased.
You will want to position yourself as a specialist, with a well defined target market and a well defined set of products or services.
Step 3 – Identify your customers or clients problems. What common problems, goals needs, wants and desires do your target niche share?
Step 4 – Identify your customers. Who most needs what you have to offer? Who do you want to serve or work with? Who have you already helped?
Step 5 – Refine your offerings. Promote the product or service that people purchase most frequently, then position your higher value offerings as upgrades and upsells, remember it is easier to sell to an existing customer than it is to find a completly new customer…
The niche must be interesting to you.
It is believed that apart from the niche being profitable, it has to be interesting to you in order to sustain it for longer period of time. The niche requires your perseverance and motivation for it to be converted into a profitable niche for the future. When you have interest , your work tasks are fun and fulfil your passion in variety of ways. On the other hand, if the niche is purely identified on a profitable basis, it will not take long for the rivals to creep in and take away your share of the market. Your dedication and commitment has to be there all the time to keep your niche safe and profitable for longer term.
The niche must have a reasonable life span.
While doing the in depth analysis for the niche market, you will observe varieties of niches considered to be “golden nuggets”. These types of niche markets have the potential to attract many businesses. However, you need to be keep in mind for how long will they be attractive? The time span of the niche market is very important. For example, if you select the football world cup event as your niche market, sales will only last for few weeks. The popularity of this niche market will soon be the thing of the past. You need to make sure that the niche that you choose will have consistent sales over a good period of time.
Choosing a niche is art as well as science and it takes a considerable amount of experience from an individual to correctly analyze the business niche’s true potential.