Hello everyone this is Abdul Qayyum with you and welcome to my blog our  today's topic is Niche marketing and the article is going to be in the English language without further delay here we going to back niche marketing is also called differentiated marketing.

what-is-niche-marketing-with-examples-advantages-and-disadvantages-of-niche-marketing

What does it mean by differentiated marketing means different marketing? for whom for different segments of the mark, that means the marketing strategy which is different for different segments of the market? Let's look at the definitions of niche marketing.

    Niche marketing Definitions

    Niche marketing means: Something small something specific tries to understand read the definition:

    Niche marketing targets a specific and well-defined market segment the first one targets a specific and well-defined market segment there is a world market segment.

    So that you will be able to understand this topic in-depth niche marketing is basically a marketing strategy that is designed for a specific segment of the market because the product is offered to that specific segment of the market.

    Now you understood the product is not offered to all the segments of the market such as mass-market product no the product is specifically especially made and designed to satisfy a specific target market a specific market segment and the marketing strategy is adopted accordingly to satisfy and persuade that a specific segment of the market.

    The Business of Promoting and Selling a Product

    Now read the definition you will understand the business of promoting and selling a product or service to a specialized specific a segment of the market the product is aimed at satisfying specific market needs wants to the target group as well as the price-quality everything poor piece of marketing product price place promotion meets. The requirement meets the expectation of that specific segment of the market that is called niche marketing

    Niche marketing Real Life Examples

    Let’s start with a real life example

    Rose rice is offered to everyone. No to rich people those who can afford those? Who have class? Who has royal? and VIP expectations from the Car Bugatti is it offered to everyone is it offered to normal people. No this is offered to most racers and those who are interested in fast cars or the fastest cars.

    Try to understand the marketing strategy will be different for rose rice and Bugatti you will see the ads where. They will show you the class the richness the royal style of the person that means the product is offered to a specific segment of market for whom the rose rice is made and it is targeted towards that specific segment. If they show you an ad fastest car that means the Bugatti car is offered to a specific segment of market who is interested in fast cars.

    Let’s move on these are three different toothpastes like

    • Kids toothpastes
    • Sensodyne
    • Colgate

    Let’s start from the last one Colgate regular toothpaste is it designed for any specific issuer any specific demographic specific segment of market or it's a regular toothpaste it is offered to all the segments of market so that means the last one Colgate is not designed specifically for any segment of market that is offered to every one male or female young old children those who have problems though don't have problems their teeth in their gums. This is the mass market product it’s not the niche marketing product. But if you look at these two toothpastes they are targeted toward specific segments of market.

    Kids toothpaste is offered to kids from two to six years old marketing strategy will also be designed accordingly Sensodyne problems. Teeth problems sensodyne is made for those who have gum problems who have teeth problems.  Doctors recommended sensodyne marketing strategy will be for those who have teeth problems and you will see same type of ads as well this is called niche market because these two products are made specially specifically for different segments of market.

    The first one the Colgate over there is not made for a specific target market that is offered to all the segments of market that one is the mass market productand these two are the niche market productlet's move on and discuss:

    How can Niche Marketing be done?

    Niche marketing can be done these are all the ways:

    • Graphic Area
    • Life Style
    • Occasions
    • Profession
    • Style
    • Culture
    • Activities or Habits
    • User behavior
    • Demographic
    • Need
    • Future reduction or addition


    These are not the only ways okay there are several other ways that we can do niche marketing. We can develop the products. We can target specific groups. We can go for the niches. But these are the main niche marketing.

    Graphic Area

    Geographically we can divide the market geographically and then develop the product and then divide the marketing strategy niche market.

    Lifestyles

    Lifestyles we can go in furthermore depth of different lifestyles of people we can develop the marketing strategy according to those specific lifestyles for whom we are making our product lifestyles.

    Occasions

    Occasion wise as well professions, style culture, activities and habits, user behavior, demographic, need feature reduction or additions and so on. I don't want to go in furthermore depth basically these are the basic ways by which we divide the market and then we develop the product according to those specific segments of the market and then we develop our marketing strategy to target that specific segment of market that is called niche marketing.

    Discuss the advantages of Niche Marketing

    How does niche marketing help business?

    Let's discuss the advantages of niche marketing.

    There is a better marketing focus because specific market segment is targeted. Yes you are targeting to a specific market segment. You are developing the products according to that specific market segment so you focus on that specific market segment in depth you try to understand what do they need what do they want then you develop the product and then you develop your marketing strategy result is you satisfy them.

    Less competition in the market, yes because you are going in niche you are going in depth you are targeting a specific segment of market not everybody is targeting to that specific segment of market. May be there are only few firms only few businesses being operated in that specific industry and that specific niche. So there is a chance that there will be less competition in that specific segment of market for whom you are making your products through hand there is also a chance to charge high prices.

    Why because your product is targeted to a specific segment of market and you are developing specialized products so your product will be a high quality which is meeting the expectation of that segment of market so you can charge high prices if there is less competition. If there is a high competition, if the product is elastic then there is no way to charge high prices.

    Enhanced customer relationship

    Enhanced customer relationship amazing the first and for not the first and for most but it is basically a main advantage of niche marketing because when you understand your customer.  You develop the products to satisfy them when they are satisfied.  You understand their expectations you develop a very good and strong and loyal relationship with your customers your customers become loyal and loyal customer is the back bone to every business are you getting my point so in niche marketing basically you get a chance to develop a very good relationship so strong relationship long lasting relationships with your customer.

    Disadvantages of niche marketing

    let's discuss the disadvantages of niche marketing

    Niche marketing are smaller where number of potential customers are limited. As compared to the mass markets where customer base is much wider.

    Yes obviously because mass marketing is a huge market you are targeting you are offering your product to all the segments of market. But niche marketing is not as big as mass marketing so there are small number of potential customers available in that specific segment of market and another thing there is a less chance that you will be able to enjoy economies of scale.

    Why because obviously you will not be able to produce on high scales as mass market. So basically businesses will not be able to enjoy economies of scale advantage as they enjoy in mass market.

    The third one is very important if you are successful in niche market you basically invite giants who are already operating in mass market who are already successful in mass market. You invite them indirectly they get entrusted to enter into this market because they have seen you successful. Now they have got to know that there is a demand of that specific product in that specific niche market. So why don't we enter if they enter into that specific niche market then the competition will become violent because it will not be easier for you to meet their cost of production that is a disadvantage of niche marketing.

    Risk of over dependence on a single product or all eggs in one basket these are two very interesting basically if you are not offering the product or the products to different niche markets or a mass market and so on there is a chance that you will start depending on one product over dependence is always not good for businesses and second thing is all eggs in one basket. Means if you do not perform well in that specific niche or your product is not accepted by the customer then you are gone your business is over so basically these are the disadvantages of niche market that we discussed.

    I hope you have understood today's article niche marketing.