What is Niche Marketing?

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As defined

The word ‘niche’ is defined as: “A special area of demand for a product or service”. ‘Marketing’ is defined as: “The opportunity to buy or sell”. If you put the two works together, niche marketing means buying or selling a product or service in a special area of demand. And all that really means is that a product or service is being sold to those people who are most interested in that particular product or service and not to the world in general.

Big businesses frequently use niche marketing in order to attract consumers who may have specific interests. For example, a company that makes computers and computer accessories might advertise all-in-one copy/printer/scanners to home computer users while at the same time advertising single-function machines to large businesses. One of the things that make niche marketing so attractive to sellers is that their advertising budgets go further, because it costs less to advertise to a specialized market than it does to advertise to a broader market.

Niche marketing must be designed to meet the unique needs of a targeted audience, meaning that Niche marketers must tailor their product to meet those unique needs. If, for example, you have designed a product to make poodle grooming easy enough for the untrained professional to do it, those who own poodles will be most interested in your product, while those who own blood hounds or cats could care less. If you have written an e-book that explains how to start and succeed at an online business, those who are looking for that information are your niche market, while those who are happy doing what they are doing are not interested at all.

What Niche Marketing really is

Niche marketing is a very efficient and cost effective way to advertise and sell specific products or services to a specific audience or to consumers of those products or services. It is just one of those hard, cruel facts of life that the big boys have all the money they need to advertise and sell their products, and us little guys are on advertising budgets that are so small they probably don’t add up to what the big boys spend on paper clips in a month.

If competing with the big boys isn’t feasible or possible, what are we (little guys) supposed to do? Is Niche marketing is our answer? If not the entire answer, Niche marketing helps to level the playing field, because if we can’t advertise our products and services to the world at large, we can use niche marketing strategies and, with proper implementation, make a pretty decent living… thanks to the Web.

Find your own niche

Niche marketing is selling specific products or services to a limited audience. One person with a computer, a connection to the Web and a good idea can go into business for himself, using this medium, and target those people who would be most interested in what he has to sell and do all the above on a very limited advertising budget.


Finding the right niche for what you have to sell isn’t really all that difficult. Just think about who the people are that would be most interested in what you have to sell. For example, if you have concocted a shampoo formula that will take chlorine out of a person’s hair, you can’t compete with giant companies that sell shampoo but you can narrow your market down to a niche and target sales to those who have swimming pools. You buy a domain, get a server, and build a website to advertise your product JUST to people who have swimming pools.

In essence, niche marketing is selling a product or service to those who want or need the product most.

What Niche Marketing is not

Niche marketing is not about trying to sell your product or service to the world at large. As a small businessperson, you could not afford that kind of multi-million dollar advertising budget. It isn’t possible. You can, however, with only a computer, an Internet connection and a good idea sell to a smaller audience using niche marketing.

Niche marketing is not about trying to compete. Competition is taken out of the equation when you do niche marketing. You aren’t out there in the world lined up beside or behind a million other people who are selling the same thing you are selling. You are selling to a specific audience that you have created for yourself with your opt-in email list.

Niche marketing is not about selling to different people every day of the week. Once you have your list built, you can sell to the same people time and time again. By taking as much time as you need and putting forth enough effort to get to know the people who make up your list of buyers you can continue to sell to them.

Niche marketing is not about focusing on the big picture. It is about focusing on the small picture and the smaller the better. Narrowing your niche down to a very specific part of a larger market assures you of gaining a fair market share of that small part. The world is a big place and there are billions of people. You only need an infinitesimal portion of the population to have a huge list of potential buyers of your products or services. Niche marketing is about seeing the impossibilities, and looking closely at those possibilities, because small possibilities converted to sales can equal big profits.