Focusing on a niche is the easiest way for your business to grow and build its client base. While you can focus on a wider audience, targeting a small one allows you to tailor your marketing efforts to a particular group, notes industry expert CreativoMedia.
Not only will you spend less, but you could also get maximum value for your money. It is an above-the-line marketing strategy that delivers below-the-line marketing results.
You could use paid advertisement services to reach your target market at a large scale and still deliver the message to your intended consumer at an affordable cost per target. But, before you spend any money on ads, you need to define your target market so you can tailor your message.
What are the features of your product and what benefits does it offer? How much is the product selling for? Which demographic can afford your product?
If you are selling a bespoke product, for instance, your demographic would be affluent heirs and self-made millionaires. You also need to understand their psychographics — personality, values, opinions, attitudes, interests and lifestyles.
Look at your competitors’ target market and find a way to differentiate your product to target a different niche. A blue ocean strategy is an ideal way to ensure unrivaled sales. Not only do you get first-entry advantage into new waters, but you also create brand identity.
Research the industry and gather supporting data on your target market. It is always better to support your hypothesis with facts. You could use focus groups, surveys as well as reports from market research firms.
It is also important to get your employees’ input as they deal directly with your clientele. They will most likely have feedback that could be beneficial in defining your target market. They will also be more willing to be on board with whatever strategies your will implement to market to your niche.