Galore international journal of applied sciences and humanities. Literarily, a niche refers to a comfortable position. Apr 26, 2015 the main difference between niche marketing and mass marketing is the size of the market they target. Niche markets are the most attractive opportunity available to small businesses. On the other hand, a horizontal market should meet the specific needs of several different industries. Niche marketing strategy an overview sciencedirect topics. A nichemarket is a narrow segment of a total market. Narrowing your focus and not trying to be all things to all people can help you establish a stronger business reputation. A niche market is a specialized market in which alimited. Niche market is often created by identifying what a customer wants and this can be done if the company knows what the customer needs and then tries to deliver a better solution to a problem which was not presented by other firms. Finally, this paper suggests how niche market strategy will help the policy maker to differentiate the tourists market and customize their service to achieve.
Recognizing niche marketing opportunities there is often little difference between recognizing a potential business opportunity and recognizing a niche marketing opportunity. This is the final step in feasibility analysis of the marketindustry. Focus strategy concerns itself with the identification of a niche market and launching a unique product or service in that market. Aims to analyse the concept, basic issues and different methods of applying this marketing strategy. Jan 22, 2018 niche marketing strategy is a focused marketing plan unlike the target everybody strategy. Worksheets and logs will be available for download. One successful strategy we implemented was to sell kameda frost in the checkout. A niche market represents a place within the larger market comprising of a narrower group of clients with similar needs. How to use niche marketing to build a business from. With this strategy, you can become the expert and attract more profitable customers to your business. Findings indicate that four iconic products can play significant role in the total earnings in this sector. Examples of niche markets and businesses thrivehive.
A niche market is a narrow segment of a total market. The advantages and disadvantages of niche marketing. The company tries to build the long term relationship with these small set of customers. The strategy for seizing a market niche requires an understanding of important marketing concepts and strategies based on segmentation and. Positioning strategy plays an important role in companys success. Both of these fact sheets are included in this publication. A more general definition of niche marketing is provided by stanton et al.
Niche marketing is a marketing tactic deployed to target a specific market segment which is unique. Although part of a positioning strategy, niche marketing may be used as a deliberate marketing strategy to create safe havens and business opportunities for many. Unlike some other forms of marketing that target a broad range or large group of consumers, niche marketing involves targeting a very specific, well defined segment of the market. The niche marketing strategy may not be suitable for longterm marketing, as niches may not give adequate business. Niche marketing is a narrow marketing strategy, which is marketing product or service in a small segment of a market that is not being voluntarily served by the main stream product or service providers. For example, the market for computers is huge but there are niche markets for student computers and gaming computers, which include different types of system requirements depending on the needs of the customer. Concentrating all marketing efforts on a small but specific and well defined segment of the population. Apr 01, 2016 a niche market is a smaller segment of a larger market. However, the phone for the senior market would benefit from a much more targeted and specialized approach. Niche marketing strategy isthe most effective marketing tool used to reach the targetniche market and stand out from the competition. Niche marketing often focuses on market segments that are poorly targeted, or not targeted at all.
Though niche strategy is an acknowledged way of realizing better profits from the firms resources and actions, its longterm viability is by no means ensured. Thus, certain niche markets remain open for small businesses to thnve in and prosper. Developing a niche marketing strategy you will separate yourself from all of the other artists. This fact sheet defines niche markets, describes how producers an access them and lists issues to consider when integrating niche markets into your business planning.
Niche marketing works well when you understand the market. How to use niche marketing to build a business from the. Understanding the market means you are able to identify the unique needs of your potential audience, provide new and compelling products, tailor your products in the right way, communicate efficiently with the target group and identify how you will position against your competitors. This marketing tutorial discusses using niche marketing strategy with examples and advantages and disadvantages. A focussed low cost or focussed differentiation strategy, implicitly address needs of a niche market. Marketing strategy of walmart walmart marketing strategy. Therefore, as the term implies, niche marketing refers to a marketing. Niche is a suitable place or position or activitythat suits someones talents or personality thatsomeone could carve his or her talent in aparticular field or service. Niche marketers normally face less competition in the market, as they deal with a specific product for a small segment of the market. Difference between niche marketing and mass marketing. To break those definitions down, addressing a niche is about servicing very specific common needs across a clearly identified market segment that are. Niche marketing has several advantages over mass marketing and especially for new businesses who are not awash in cash. Establishing a content marketing strategy in a niche market.
Walmart is the largest retailer in terms of revenues and number of employees globally. Niches do not exist but are created by identifying needs, wants, and requirements that are being addressed poorly or not at all by other firms, and developing and delivering goods or services to satisfy them. The main difference between niche marketing and mass marketing is the size of the market they target. Here is the marketing strategy of walmart analysed in detail. Catering to the unique demands that arent being addressed by mainstream providers, businesses pursue niche markets as a way to build loyalty and revenue with a largelyoverlooked audience. Defining your niche market before you embark on your internet marketing strategy is important for the following five reasons. The niche market player is more like a big fish in a small pond, while a corporate entity in a large market is more likely to be a small fish in a big pond if there are a large number of competitors. As an artist you will need to stand out of the crowd. A vertical market is analogous to niche market and it focuses on identifying similar businesses with specialized or specific needs such as development of accounting software specifically for small coffee outlets or eateries. The mass markets of previous decades have splintered into smaller market segments or niches, in which companies could be safer from cut. Niche tourism refers to how a specific tourism product can be tailored to meet the needs of a particular audience market segment.
Niche marketing definition explanation with examples. A niche market is a focused, targetable portion of a broader market in which specialized products or services can be sold. A niche strategy is adopted for a specific narrow target, and for a less competitive environment compared to a mass strategy. Firms with a broad market strategy orientation often ignore small narrow segments of the market because the costs outweigh the benefits.
How to greatly increase your odds of business success by using a niche marketing strategy. You can easily see how understanding each of these mobile phones in relationship to marketing is critical. Niche market pricing and strategies for maintaining price. Figure 1 depicts the development of a niche marketing strategy in support of. May 16, 2018 niche marketing can be defined as channelling marketing efforts and strategies towards a predefined market segment of a population. Niche market characteristics and price behavior in general, niche markets have a few important characteristics that make their prices behave differently than in larger markets. Niche marketingaccess to online in the nichemarketing website for all thecustomers in any product 2. Locations with specific niche products are able to establish and position themselves, as niche tourism destinations. Segmenting the overall market allows you to target what you offer. The strategy for seizing a market niche requires an understanding of important marketing concepts and strategies based on segmentation and targeting widely propounded marketing phenomenon. A company could market the edge display phone almost anywhere other phones are being marketed. In a niche strategy, the consumption of resources is less than with a mass strategy. Not only does niche marketing help you get a leg up on the competition by setting you apart from the pack, but it also brings with it a valuable set of benefits that might make it the right fit for growing your business its less competitive.
Niche marketing and mass marketing are probably the best marketing strategies implemented by the marketers at present. What is a niche market niche market definition oberlo. If the product catches on and more customers enter the market simultaneously with new suppliers, then prices and quantities may remain stable. Niche marketing is a very concentrated form of marketing. Niche marketing strategy is a focused marketing plan unlike the target everybody strategy. Niche tourism refers to how a specific tourism product can be tailored to meet the needs of a particular audiencemarket segment. Although part of a positioning strategy, niche marketing may be used as a deliberate marketing strategy to create safe havens and business opportunities for many companies. The reality is that you have to find your niche market, offer a product or service that theyre demanding and get them to come to you, in order to reach a level of financial success via the internet. Niche marketing is servicing a portion of a unique market, or a unique portion of a common market, not already served. Why you should have a niche marketing strategy xtmotion. Parrish 2010 defines the niche marketing as focusing on a specialized consumer segment or market. This is the reason why input reduction results in the niche strategy approach. A niche market is a small part of a larger market that has its own specific needs, which are different from the larger market in some way.
Here are the steps to follow as you develop a content marketing strategy for your niche target audience. The niche marketing strategy constructs elements and its. One of the biggest mistakes business owners make is trying to market their product or service to a large general market instead of focusing on a small niche market. Sep 09, 2014 niche marketing works well when you understand the market. Some people falsely believe that the profitability and success is directly dependent on the number of potential customers targeted. Each module will contain a pdf that you can download and videos that will help you develop a niche marketing strategy. A niche market is a specialized market in which alimited and clearly defined range of product is soldto a specific group of customers. Feb 28, 2019 a niche market is a small part of a larger market that has its own specific needs, which are different from the larger market in some way. Specific products often focus on niche markets, satisfying narrow demands around features, pricing, quality, and availability, in order to differentiate from the competition and more precisely target a group of ideal customers. Dec 17, 2017 walmart is the largest retailer in terms of revenues and number of employees globally.
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