My first Magazine The Basics of Niche Marketing

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By definition , a business that focuses on a niche market is addressing a need for a product or service that is not being addressed by mainstream providers . A niche market may be thought of as a narrowly defined group of potential customers .
A distinct niche market usually evolves when a potential demand for a product or service is not met by any traditional supply form , or when a new demand arises due to changes in society , technology , or the general environment .
Niche market ventures may become profitable even though they are by nature small in comparison to the mainstream marketplace , due to the benefits of specialization and focus on small identifiable market segments ; even without the benefit of economy of scale . Niche markets may be ignored or discounted by large businesses due to what they consider to be small potential . This small potential can translate into larger profits for a savvy niche marketer . This in part is the basic concept that makes the niche markets available to smaller businesses . The key to capitalizing on a niche market is to find or develop a market niche that has customers who are accessible , that is growing fast enough , and that is not owned by an established vendor .
Etymology
The term " niche " was first used by ecologists to describe a species ' position and use of resources within its environment . When used in business the term implies a situation or an activity perfectly suited to a person or a given type of personality . This concept has been extended from persons to products within a market segment . Whereas a niche in the strict sense can be a working position or an area suited to a person who occupies it , the market niche is perfectly suited for a product of human labor . Marketing in and for niche markets
Niche marketing is the process of finding and serving profitable market segments and designing custom-made products or services for them . As mentioned earlier , for big companies , those market segments are often too small in order to serve them profitably as they often lack economies of scale . Niche marketers are often reliant on the loyalty business model to maintain a profitable volume of sales .
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Online niche marketing is often used by affiliate marketers . By seeking out smaller segments of larger markets , a website can be developed and promoted quickly to uniquely serve a targeted and usually loyal customer base , giving the affiliate a small but regular income stream . This technique is then repeated across several other niche websites until a desired income level is achieved .
Niche blogging is the act of creating a blog with the intent of using it to market to a particular niche market . While it could be argued that all blogs are , in some form , a niche blog , the term as it applies to marketing refers to a particular kind of blog .
Neither blogging nor niche marketing is a new concept . However , only in recent years has the concept of a niche blog come into being .