What is a Niche Market? How to Start Selling in a Niche Market Today. 9 Examples

In the world of entrepreneurship, we have businesses that serve the masses and the ones that offer their product or service to a specific segment of the market known as the niche market. Selling goods within a niche market helps businesses to adequately serve their target audience, promote high-quality products, build expertise in an industry and so on.

Apart from that, niche market business owners can easily identify who their target audience is, provide solutions to their needs and make better profits than those businesses who focus on the mass market.

In this guide, you will get to understand what a niche market is, how to start selling in the market, the 9 examples of niche markets you can start today, and so on.

What is a Niche Market?

A niche market is a specialized type of market that sells products or renders services to a unique set of people or individuals. We could simply say it is also a small segment of a larger market that caters for the specific needs of a population. Unlike the generalized market that we know, niche markets offer tailor-made products or services that solve selective problems. As such niche market products or services are not for everyone, but for a unique set of audiences who have distinct needs, passions or wants.

Benefits of Selling in a Niche Market

Selling products or services in a specific niche market comes with a lot of benefits. Here are some of the benefits of selling goods that meet the unique or specified needs of an audience.

1. Highly Effective Marketing Strategy

Marketing that concerns generalized products and services can be tricky and time-consuming. But in the case of a niche market, targeting the right audience is quite simple as you can figure out the needs, interests, and passion of your potential audience and then run your ads campaign to suit that.

In other words, for a niche market, you will only be required to study the interest of the small audience which will be useful for your marketing purpose unlike for a generalized market that targets plenty of people. Being able to know the specific people who need your product makes marketing much more result-oriented.

2. Less Competitive

Niche market products are less competitive than the generalized ones. Generalized products are everywhere and can be easily obtained from many online or physical shops. However, if you can identify a distinct problem and come up with a product or service that solves it, then you are most likely going to be able to set your offer as you want.

3. Improves Customer Loyalty

Selling products in a niche market improves customer loyalty. It communicates to the customers that their needs are understood and there is a business out there that is always ready to satisfy their unique needs. In fact, customers will be willing to recommend your product to others who share the same passion and needs with them. All of these however still boils down to offering good quality and problem-solving products to the customers.

4. Highly Profitable

Because niche markets aren’t as competitive as a generalized market, making a good profit from products and services is quite simple. However, the trick still lies in identifying a good and unique product that will be enticing to a set of audiences. Once you can grab a unique product that solves a specific problem for a targeted population, you will be able to make a lot of profits.

5. Builds Expertise

Building expertise from a niche market is much more possible than a mass market. When you focus on a specific need, it becomes easier to gain a deeper knowledge of the business. With that, your business will be able to gain significant industry-related knowledge that is required and also build more expertise. Unlike the generalized market that focuses on a lot of things, building expertise all around could be difficult.

6. Enhances Customers Satisfaction

As a business rendering a unique product to a specific audience, it is easier to achieve customer satisfaction within a short period than when your business focuses on a mass or generalized market. As your business continues to evolve, it is easier to identify the improvements that are desired by the customers. Getting customer’s feedback on the product or service that is rendered is quite easy and as such you can always make adjustments to suit their desire. Apart from that, providing high-quality products will be easily achieved as the company grows. You would be able to easily identify the changes that should be made to your product or services.

How to Find a Niche Market

There are several niche markets you could venture in. However it is important to consider your interest and passion, customers' needs and willingness to buy before starting. Here we will look at how you can find the most suitable niche market.

1. Consider your Passion and Interest

While there are many niche markets one can start selling in today, it is important to consider one's passion and interest before any other thing. You should reflect on the activities you are good at, the topics you love to learn or discuss always, what specific area or areas catches your interest, or which particular practical problem you wish to provide solutions to. All of these will help you define your strength, passion and interest and it will guide you on what niche market you are most likely going to succeed in.

2. Identify the Needs of the Customers

With the passion and interest defined, you should have been able to come up with some niche market. For example, if you have an interest in healthy living through diet or fitness or you are most passionate about education, then these are niche markets where you can create or market suitable products or services to meet people’s needs. So once you’ve been able to identify the niche market, then you should identify the problems within it. These are the real-life problems that are faced by the target audience within these niches. Your ability to recognize the cogent needs of the people would determine how far you would go within this business and so it’s important to pay good attention at this stage.

3. Research on Competition

In as much as niche market products and services are great, having so many competitors could lower your return. It is therefore crucial that you do thorough research on your competitors. You should be able to identify the already existing products, services or ideas that are trending within your selected niche market. This alone would let you know what is already saturated within the niche and the new ideas that are also selling well. With some keyword research tools such as Google Trends, Ubersuggest, Answer the Public and so on, you would be able to know niche market ideas that people are most interested in.

4. Select the Niche Market Product or Service

Now is the time to choose your product or service within the niche market you selected. The competitor’s research you’ve done earlier would guide you on the kind of niche products or services people are most interested in. While choosing your product, you must be wary of the specific solution you are providing, the most suitable price for the product, your packaging and branding, product quality and so on. While it’s been said that highly saturated niche market products might not be so good for you as a new business, coming up with a new or similar profitable idea could be what you need to succeed in this line.

5. Test the Product

Once you have a suitable product or service, you should test it before you finally launch it. You could create a simple landing page and run paid ads for some days to see how your audience turns up. Alternatively, you could use organic ads for a start by marketing the products with the use of your social media handles and by advertising to the audience within your community.

If the result of your testing comes out well, then this could be an indicator that your product is attractive to customers. If it’s the opposite, you might want to go back to see where the problem lies. This could be your branding, marketing, price, competition or the product itself. Remember creativity is needed in this type of business and your success depends on how fast you can recognize people’s specific needs and satisfy them.

9 Examples of Niche Market

There are several examples of niche markets you could explore. In each niche market, you could come up with unique products or services that suit people's needs. This simply means in each niche market that you come about, there are still sub-niches you could explore. Now let’s look at nine 9 niche markets.

1. Travel

With the high surge of remote workers here and there, businesses now manage their activities on the go. These days we have more digital nomads as travelers than traditional sight-seeing travelers. So with that, you could try out accessories, tools and gadgets that could help manage personal and business activities while traveling. Portable laptop bags, travel journals, smartphone accessories, several types of fashionable travel clothing, travel photo books and many more are the products you could sell here. Any other product or item that could make traveling more fun and unique can be explored.

2. Pet

The love for pets has made this niche market an important one to look into.  With the rise in pet demand, there come several sub-niche products you can sell. You can venture into any pet care product you could think of.  So far it is appealing, fun and attractive to pet owners, they would be willing to buy. Many individuals earned a lot of income by selling hoodies and shirts with customized pet names and pictures. Wall art, mugs etc. featuring the owner's pet will also do well. Pet owners generally love products that will help them take good care of their pets, help the pets stay healthy and also help them stay connected to the pets. GPS pet trackers and special diets for pets are also other niche products here.

3. Parent-child

The parent-child niche will always be in vogue. Do you want to serve expectant mothers, newborns, nursing mothers or children of a specific age? Any of these that you choose, there are many sub-niches you can venture into. You can offer matching t-shirts for parents and children. For nursing mothers, a blanket with a special message to the newborn or the newborn names, and pictures can also bring a big turnover.  Educational apps or books are always in high demand but you can always create a more engaging one. For pregnant mums, creating special cushioned chairs and other furniture tailored towards their specific needs would be great. There is a whole lot that could be explored here, however, you should ensure that your product or service provides value to the parent or child so you can earn more.

4. Home Needs and decoration

People are constantly looking out for how to decorate their homes. The surge in remote work has even given rise to an increase in the need to adequately design the home environment. Every part of the home needs equipment, tools, machines or services that will be needed for use within. A specialized kitchen tool that will solve specific cooking problems will go a long way.

You may also want to look out for distinct artwork and crafts that could improve the aesthetics of the home.

5. Health and wellness

Sub-niche markets that can be tried out under health and wellness include personal care, nutrition, DIY therapies, emotional and psychological therapies and many more. This niche is all about taking care of the mind, body and soul. And as such you can sell products or services that help promote healthy living. Products and services sold to people to help watch over the nutritional value of what they consume are still in this niche. Vegan foods, low-carb foods, gluten-free brownies and several other specialized  food items sold to people are still subsets of health and wellness.

Other areas that could be explored include unique health and wellness coaching, the creation of software that aids meditation, sleep aid therapies, plant-based milk products, DIY health-based snacks and many more.

6. Remote work

Unlike in the past decades, working remotely is now very common among employers and employees. With this change, there has been the need to provide a perfect and most suitable remote work experience. Many developers had therefore come up with software that helped ease several activities relating to working from home. There are several apps today that can be used to organize our work activities, there are ones we can use to schedule, organize and hold meetings. As remote work continues to evolve, so will the sub-niche market.

Recently, there has been a lot of argument regarding employee burnout resulting from the inability to stay connected with coworkers while working remotely. While this had been ongoing, an online collaborative platform had been developed to help employees plan, work, collaborate and stay connected even while working remotely.

Aside from all of these, other areas of this niche market can be explored. Think about the equipment, tools or machines that could make work easier and more fascinating for remote workers, these are sub-niches one could explore. Customizable mugs, ergonomic chairs, planners or journals, premium noise-canceling headphones and any artwork that could beautify their workspace are good items you can sell.

7. Fitness

The fitness industry includes everything from gym, fitness equipment, home workouts, fitness mobile apps, fitness apparel and so on. Do you want to sell customized fitness dresses for females or children only? Are you interested in developing mobile fitness apps that will focus on helping females increase their butt size and shape or are your apps mainly for new mothers who wish to gain back their flat tummies?.

Do you wish to build specific equipment that could help achieve fitness at home without stress? Are there specific diets you would like to teach people that will help them gain body fitness fast? Being creative and unique is one of the keys to succeeding in a niche market and once you can come up with specialized goods or services that will help people gain fitness, they will be willing to patronize you.

8. Recreation activities

While people seek recreational activities during leisure moments, you can also make some money by offering specialized products or distinct fun activities. Think of the indoor and outdoor recreational activities that we have and what you can do or provide to make it more fun and interesting. Will it be more fun if couples go swimming in customized-matching outfits? Will people be interested in buying weather-resistant outfits for their outdoor activities? Are there software that could be developed to aid some recreational activities? All of these and many more are what you can sell under this market niche.

9. DIYers

DIY is another niche market you can explore. With a good number of people trying DIY activities, you could generate more money from selling niche products in this market. You can offer some customizable art prints for several types of businesses. You can also focus on offering custom stationery like notebooks, calendars, labels etc. Additionally, you can create manuals or eBooks for a DIY activity you are good at. In fact, there are a lot of options when it comes to selecting a sub niche in DIY but the fact remains that your product must be appealing to the audience.

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Conclusion

Selling within a niche market is a good way to earn a lot of profit. However, you must be sure that your offer is appealing to your target audience. This guide has therefore provided the 9 niche markets you could explore today. Do you have any questions about how you can start selling in a niche market? Kindly contact one of our experts for assistance today.