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Purpose of Niche Marketing

Points on purpose of niche marketing are listed below. Niche marketing focuses on niche area of any market segment or products and services, faces less competiton and more chances of customer retention. Niche market products or services are more effective at the initial state of product life cycle. You might also like advantages & disadvantages of niche marekting for more information.

Purpose of niche marketing :

  • It targets the best prospects
  • Understand the customer needs
  • Firms can become big in the small target segment
  • Gains expertise in the particular market segment
  • It is easier to become an expert in one thing than an expert in all the things.
  • Strong relationship
  • Business stability
  • Focus business
  • High profit margins.

Advantages of niche marketing :

  • Less competition
  • Cheaper 
  • Brand Loyalty
  • Competitive advantage
  • Customer satisfaction
  • Target customers

Disadvantages of niche marketing :

  • Not all niche market are profitable
  • Limited growth
  • Change in demand
  • HIgh risk
  • Smaller market

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Essential Steps to develop the Niche Marketing Strategy

Some of the important steps to develop the niche marketing strategy are discussed below. There are many niche marketing strategies available, all of them can make money  to get success in business. Some of the essential niche marketing strategies to grow your business are as follows. Also check it out advantages and disadvantags of niche marketing to know more about it.

What is Niche Marketing?

The term "Niche" can be defined as a "A special area of demand for a services or a product", While marketing is dened as an opportunity to buy or sell products or services.

Niche marketing can be explained as buying or selling of a product or service in a special area of demand. 

In niche marketing small segments of large market are identified and campaign is designed to target audience by providing specific solutions to them.

Niche marketing need to be different, need to be specialize and be able to stand out from the crowd.

 

What is Market economy ? Advantages and Disadvantages of Market Economy

Check out Advantages and disadvantages of market economy (capitalism) given below. So let us find out some points on advantages and disadvantages to know more about market economy. This type of economy is nearly free fro governement interference, Economy is based on private ownership where individual control the production, distribution and sales of goods and services.