Niche Marketing - Definition & Meaning
What is Niche Marketing?
Niche marketing is also known as micro-marketing and targets a small and well defined segment of population with specific needs which has not been focused by other existing players in the market. Niches are created through the identification of unsatisfied needs and wants or those which are currently being poorly addressed by other firms. The strategy is to become a big player in a small market.
Niche Marketing Strategies:
- Identify a unique need of the segment you are targeting
- Market your product to convey that it is custom made for the niche audience
- Test market the product before finalizing a marketing plan
Advantages of Niche Marketing:
- Higher margins
- Competitive Advantage in that segment
- Streamlined marketing focused on a particular segment
For example, organic foods were manufactured and marketed targeting a niche market of health conscious and environment friendly customers. Organic foods avoided synthetic pesticides, fertilizers, artificial preservatives and used only environmentally sustainable techniques.
This article has been researched & authored by the Business Concepts Team. It has been reviewed & published by the MBA Skool Team. The content on MBA Skool has been created for educational & academic purpose only.
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