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How To Choose a Niche For Your Business
The niche is defined as “a place or position perfectly suited to the person or thing in it”. What does this mean for your business? Well, imagine that instead of buying all your groceries from the supermarket, you got your fruits and vegetables from a farmer’s market, your bread from a bakery, and your meats from a deli or butcher. Each of these products will be of much higher quality, sold by much more knowledgeable staff, and likely to be the same or cheaper than your supermarket. This is the idea of a niche.
If your business is not targeted, your product will suffer. Even if you’ve tweaked several different products or services, if you’re doing landscaping and dog grooming, your customers will lose trust in the two services you provide. It is a simple concept that is well known. Customers don’t trust a company to provide a wide variety of products or services. Places like Walmart can get away with it because it’s been the norm for a long time, but times are changing. People expect better products and services from more focused companies as time passes and more companies exist.
It might sound like a bad thing, but if you’re on the right side of the equation, it’s a good thing. As more and more people expect this targeted level of service, more and more business is coming to people who choose to provide it. That’s where you come in. Use these tips to choose a niche for your business:
1. Think about the products or services that big companies don’t focus on.
Companies like Dick’s Sporting Goods can sell golf balls online and in-store, but do they specialize in selling golf balls of all kinds? No, they don’t. With a little effort, chances are you can outrank Dick’s Sporting Goods on search engines for terms like “golf balls” or “used golf balls.” What I mean is that while you can’t really compete with a giant company, you don’t need to. You can focus on something smaller that they have overlooked and win customers while providing great service.
2. Think about your passion.
If you are a carpenter with a passion for music, consider building musical instruments or stages for musical performances. You don’t have to start from scratch to do something you love. Do what makes you happy and remember that you can still be successful with a very narrow outlook.
3. Think about your target market.
Using the golf ball example earlier, you couldn’t get very far with this business in an area where golf isn’t popular. Of course, you understand that you need the market for this, but I want to tell you that you need to decide what your market is before choosing any product or service. Of course, the internet can help you reach the whole world rather than your local area, but it’s important to keep in mind that internet businesses can be harder to start from scratch.
When considering starting a small business, be sure to actively research a niche for your business. Consider these 3 things when choosing a niche. Try to find a niche that is not currently monopolized by big business, try to include your hobbies and passions in your niche, and be sure to consider your potential customers and target market. Create a free website at http://webstarts.com/ and get your small business online today!
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