What is a Niche Market?
A niche market is a specific, often smaller, segment of a larger market with unique needs and preferences. Businesses targeting niche markets focus on addressing the distinct requirements of a particular group of consumers, offering specialized products or services that cater to their specific interests.
Characteristics of a Niche Market:
- Specific Needs: A defined set of preferences and requirements unique to the niche.
- Limited Competition: Fewer competitors targeting the same market segment.
- Loyal Customer Base: Customers who value specialized offerings and are often willing to pay a premium.
By identifying and serving a niche market, businesses can differentiate themselves from competitors, build strong brand loyalty, and create opportunities for growth in areas with less competition.