A niche market is a subset of a broader market with unique requirements and preferences. Businesses concentrate on niche markets in order to better serve a certain consumer segment than competitors who target a broader audience. Businesses explore niche markets in order to generate loyalty and revenue with a mostly ignored population by catering to the particular wants that mainstream providers do not meet. To flourish in a niche market, you must have a well-defined group of clients and items that are customized particularly to their most pressing wants.

When and how to apply Niche Market:

Consumers in a niche market have specific preferences or needs that differ from the broader sector. Brands divide almost every market into subsections according to things like:

• Geographic location

• Psychographic data (interests, attitudes, and values)

• Demographic base (age, income level, gender, education level)

• Quality level (premium, moderate, high, low)

• Price (high, discount, wholesale)

Often, niche marketing is simpler than marketing to a large audience. Niche audiences have extremely particular needs and desires. A company that merely sold handbags, for instance, would need to appeal to a wide variety of tastes and expectations. However, a business that sells handbags that double as diaper bags for new mothers has much more focus. Tools such as Facebook ad targeting and social media monitoring have also made niche marketing simpler.

Well-known companies that use this pattern are Sushi Bikes and Flaviar.