Business & Finances

How to Choose a Niche: A Simple and Concrete Methodology for Your Business

A niche is the foundation of any business. All further strategy is based on this concept: you understand where you are coming from and, most importantly, where you are going. You cannot sell everything because there is already Amazon for that. It is important to clearly define the niche in which you are ready to build a business. And here comes the most important question: what do I want to sell?

Two directions are popular today:

  • The sale of goods.
  • The sale of services.

The world is so cluttered with information that one panics as one studies supply and demand in one area or another. Indeed, around all the time something is being sold and offered. If we look at the sphere of Internet sales, then the head finally explodes – today it is possible to buy absolutely everything on numerous Internet sites.

How not to get lost in this cycle of goods and services and find your niche?

In fact, everything is much easier than it seems at first glance. Consider the basic criteria for choosing a niche for your future business.

Logic or Emotion?

There are two simple approaches to selling: you sell ready-made solutions or you sell memories (feelings). Consider your product or service. Which prevails? If you are solving a specific problem of people and improving their lives, this is more of a logical approach. Statistical data, a high level of expertise on the issue, and cold hard facts are important here.

If you give people pleasure and emotions, you probably need a more visual and creative approach: a bright site, beautiful slogans, participation of popular personalities and so on. It’s like seeing a big Ferris wheel: your heart starts to beat faster and pictures with gorgeous views appear in your head. And we’re pretty sure that the ferris wheel is fun and cool for both children and their parents. And it’s the center attraction in any park!

Expertise in the Chosen Niche

Often it is this criterion that catches negligent businessmen selling things they do not know at all. We all go to electronics stores and have seen various consultants in our lifetime. It is enough to ask a question or two, and you can understand whether the person is competent in what he sells. And this rule works in any area.

You must know your niche from beginning to end, even if you are going to create the simplest platform for best betting site in Uganda. If you lack experience and background, then you have to learn. Fortunately, today you can find any training videos and courses on the Internet. Communicate with experts, increase your level of knowledge.

In the beginning, especially if the product is new, you will be asked a lot of questions, and it is important that you can give a clear and coherent answer. Otherwise, they won’t believe you.

Mental Markers

What are mental markers? These are words (phrases) that instantly evoke the emotion in a person that it is definitely cool, useful, expensive, and extreme.

For example, Apple appliances are prestigious. We hear the name, see the cherished apple on the sign, and immediately there is a clear image that this technique is high quality and to have it cool. Or phrases with the word “Las Vegas”. The most popular of them are weddings in Las Vegas, parties in Las Vegas, etc. Las Vegas means partying, luxury, a total getaway, it can’t be bad there.

Another example is the first part of the compound words “eco…”, which changes the perception of ordinary products. Eco-mobiles, eco-furniture – for the consumer they automatically become “green” and useful.

There are markers in all niches. Take a closer look at your product and try to package it using a similar technique.

Research Your Competitors

Once you’ve figured out what you want to do, enter that product or service into a search engine and research all the offerings on the market in detail. It’s important to know who you have to partner with and what you’re better at.

You can go the easy way and do “like everyone else”, because if they buy the same, then they will buy from me. But if you want a really profitable and long-term business, think the other way around. Why will they buy it from you? What’s your point? If there is no answer to that question, don’t waste your time and keep looking.

And the last and most important piece of advice is to take your time! Weigh all decisions, analyze the market, do some preliminary work with buyers, assemble a team. Don’t chase a quick profit, because you can lose everything in a hurry. Plan and thoroughly research your chosen niche. Let your business build on a strong foundation.


Leave a Reply