Niche Marketing, selling to a specialized market in which a limited and clearly defined range of products is sold to a specific group of customers is increasingly becoming a popular strategy in e-commerce. Looking over our 2Checkout suppliers, it’s clear that many of you are also targeting specific demographics, or shoppers looking for specialized products and services.
Niche players share a common set of traits. These include a deep understanding of their customers and their customers’ needs and the ability to stay engaged with those customers. Ideal niche market companies should consistently produce quality, innovative products and possess a genuine regard for the well-being of their employees. Serving a niche allows companies to focus on meeting the needs of a smaller group of customers without compromising their chance to increase the appeal to a broader market.
The article continues by listing four reason why serving a niche can be profitable as well as a smart strategy for newer businesses. Along with these reasons, examples are given showing companies who have either made their success by serving a niche, or have expanded beyond their initial market and now serve wider markets.