We are currently living in a world of social distancing. Moden technologies are in search of new solutions to fix the issues of people in this pandemic.
Food delivery, grocery delivery, medicine delivery, essential product delivery, etc. are some of the major ones you can do with a niche delivery app.
Why do you need to pick niches to begin with? Because rather than trying different sectors, it is better to specialize in a specific industry and gain a significant market share.
Don’t you know many of the giants across the globe started as a niche marketplace?
When eCommerce becomes a sector with immense growth potential, the niche marketplaces change their script. Later they turned into well-established popular eCommerce marketplaces. Today competing with these big players is not that easy as we think. Instead of launching general eCommerce businesses, a better way to build your unique identity is to find a niche category and develop further from there.
Technically speaking, an online marketplace can be categorized into horizontal and vertical marketplaces. Horizontal marketplaces are the online megastores of all-purpose like Alibaba, Amazon, Flipkart – they sell you everything you want. Vertical marketplaces are mainly niche marketplace focus on a specific area and offer a particular set of products or services like Etsy, Uber, Airbnb.
What is a Niche Market?
While considering both horizontal and vertical marketplaces, Niche marketing is very much cost-effective, and it works great if you understand the market. Understanding the market means you can identify who is your potential target, what their needs are, what all products you will provide, how all to communicate with the target audience.
Niche marketing is possible when a business is geared toward a particular topic, product, service, or niche within its target audience.
The most common ways to define a niche market is based on:
Focus on the smaller group of targeted people because they pay more attention and money for your targeted product. And that’s what we call a niche market.
Importance of Niche Marketing
Niche markets have less competition.
Direct competition with bigger fishes in the ocean is hard to win. Instead, you can become the best in a small market. Niche marketing has less competition compared to the bigger ones. Because they are spending more to keep their customers and target everything, they have a big team for marketing, developing, designing, and they target everyone. So competing with them is a wrong move. To stand out from the crowd, focus on a particular niche. Add specific features and uniquely build them. Don’t worry about the giants; they won’t compete with your niche.
Niche markets are much easier and cheaper to market
People look for experts with similar interests. If your business is concentrating on a particular topic, then one thing is sure you’ll get enough passionate customers. Customers talk to others in the niche, and It will make your marketing easier and cheaper. You will be able to understand the audience, what they want to see, create campaigns to get their attention. These all are cheaper marketing strategies with better results.
Niche markets are willing to pay you a lot of money.
Think, What if you build a product with solutions for all problems? Then, Is it possible for you to sell or pitch your product? What method will you use to get new customers? And how will you market it?
It’s a considerable risk. But within a niche market, you can reach your target audience easier. It will be easy to pitch, to achieve, to communicate, to share – with your customers. People within your niche market will realize that you will solve their problems. You can easily convince your customers that your product is better than the generic products out there.
Niche Marketing makes it easy to save your marketing dollars.
Instead of sending thousands of flyers to several people, in a niche market, you only need to send brochures to your target audience. This approach will help you reach your target audience who are interested in using your products and services. This will help you to redefine your business. Once you concentrate on your niche, you can easily find new directions, ideas, services, and innovations about your market.
How to find your Niche Market?
For those who are looking for a niche market, the initial thing you have to do is get an overview of the large markets. And figure out your niche is a subset of which market. Then you will get an idea of everything from:
- Product features
- Price range
- Quality of products
- Marketing strategy
If you are trying to launch an online store of an overcrowded product category, It is a tough battle for you to win. To choose a niche, there is no single way. Instead, you can employ methods like:
- Start with Google Searches and suggestions
- Create a mind map
- Do Keyword Research
- Consider specific communities
- Check with Google Trends
- Understand the trending products
- Check influencers within the niche
Niche eCommerce Business Ideas for you
- Search products with low competition in the giant marketplaces
- Organic skin care products for men and women
- Make handmade treats, healthy recipes for pets
- On-demand Medicine delivery
- On-demand t-shirt printing business
- Fitness training programs
- Deliver organic food products on-demand
- On-demand Handmade Jewelry to women
- Reusable eco-friendly products
- Pre-Planned meal delivery
Advantages of Niche Marketing
Enhance Your Customer Relationship
Niche marketing focuses on a particular group of customers. The size of your niche market depends on the product you’re promoting. The smaller customer base has benefits like you can focus on the quality and can build a strong relationship. You can easily maintain the group by sending personalized emails, follow-ups, custom offers, considering special requests. All these practices enable you to serve your customers. Ensure efforts on your niche are boosting and not reducing your audience.
Getting in front of the right audience is important than reaching a large audience. It will improve the online visibility and leads to more targeted people. Those who are coming up with a unique product try to get featured in media outlets, it has many benefits. The more people who see your product will recommend to their friends who all are fit for your niche market. As the visibility of your business increases, the right customers also increase.
Become an Expert
Niche marketing enables you to become an expert in your niche. Expertise is more important for most of the customers. People want a business with experience and knowledge in the area they are concerned about. So, An expert can easily obtain customer trust and gain brand recognition if it concentrates in one area. Be good at one specific thing instead of doing everything, so that you will stand out. People will learn about your business only because of the particular thing you provide.
Building your brand loyalty is simple and easier in niche marketing. Niche marketing approach lets you provide products and services that customers desire. It is difficult to find items of a niche market from a larger market with general products. In this way, you can build customer trust and brand loyalty.
Understand consumer segment
Niche marketplaces need a clear understanding of your consumer segment. And need to provide high-quality with personalized attention. You have to identify the problems customers face and need to solve their issues. Customer service must understand the concerns of customers and make sure you can fix the issues related to the products as early as possible.
Now that you learned about the importance of niche market, advantages of a niche market, how to choose the right niche, and niche eCommerce ideas. Here are some resources for you to get started:
- How to Seed a Brand New Ecommerce Marketplace?
- How to Start Your Own eCommerce Marketplace?
- Everything You Need To Know Before Starting An eCommerce Marketplace
- Advantages of Starting an Online Marketplace During COVID-19
All these will help any aspiring entrepreneur to launch a dedicated niche marketplace. We know the world of online eCommerce is crowded, but a niche marketplace avoids excessive competition. Niche online marketplaces are the best way to create a recognizable brand.
What’s your take on the niche marketplace? Which products or trends have you noticed lately? Let us know in the comments below.