Executive Blog

Why people don't niche market?

I was recently reading a book by Paul Edwards, Sarah Edwards, and Laura Clampitt Douglas. One of the questions approached is one people don't niche market. In case you haven't heard it enough, niche marketing is a hot new buzzword. "Every small business should be niche marketing," they say. The question, though, is why don't enough small businesses do so?

The book says that entrepreneurs don't niche because it seems harder. Think about it, you are limiting your market by saying I will only pursue this particular type of customer. You have more initial work to do in targeting your clientele and specifically reaching them. Second, people don't niche because it seems so limiting. You aren't working with just doctors rather with child injury chiropractors day in and day out. Finally, people don't niche market because it requires taking a stand. If you are going to target a small pinpoint marketing base, then you better be the best at what you are doing and have proof to back it up.

One other point I like to add is that the niche marketing concept often does not suit those who get bored easily or like new challenges (like myself). However despite this point, niche marketing is clearly a strategy that smaller businesses must find some way to implement. In today's economy, there only seems to be the David's and the Goliath's. With less resources than the big guys, smaller companies need to focus their resources if they are going to make an impact.

posted by Michael Anders @ Tuesday, October 10, 2006