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|Niche Marketing Vs Mass Marketing by incomeboostng: 2:32pm On Feb 12, 2021|
A niche market is the subset of the market on which a specific product is focused. It is also a small market segment. For example, sports channels like ESPN and Fox Sports target a niche of sports enthusiasts.
Every product can be defined by its market niche. Even established companies create products for different niches, for instance, Hewlett-Packard has all-in-one machines for printing, scanning and faxing targeted for the home office niche while at the same time having separate machines with one of these functions for big businesses.
Marketers to mass markets must create a product that every type of consumer will want to buy. This is the reason that a mass marketing strategy will usually promote brands rather than the product itself. For example, a mass marketing approach might focus on selling all Dell products rather than the laptops it is so famous for, even if the intended purchase is indeed a Dell laptop. Large companies tend to sell such products with more focused marketing techniques.
In comparison, because niche markets include only a specific type of consumer, it is a smaller segment of the larger market normally targeted by a company employing a mass marketing strategy. However, the main advantage of a niche market is that consumers normally are willing to pay more for a product that will cater to their exact needs.
Companies also tend to use niche marketing since it means little competition from other companies that might be selling other brands.
In other words, if an individual marketer chooses to market a niche this way, it normally means increased revenues. The fact that there is very limited competition is an added bonus. An effective niche marketing strategy also means that such a marketer will be able to retain clients for a longer time period. In the rare case that a niche marketer loses a client to the competition, the loss is not as damaging because the potential revenue per client is not as great. In other words, you won’t lose a high-revenue client since this type of marketing is done on a smaller scale.
Perhaps the best thing about niche marketing is that it can be applied to almost any type of business. For example, real estate agents might choose to market niches that are focused on apartment complexes rather than single homes. The options are nearly endless.
A bookstore might choose to focus on a niche market that is attracted to books by a certain author. A cosmetic company might choose to target women in a specific age range, which means that their products will be applicable to that age range regardless of where the women live.
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