Market Niche Strategy
Market Niche Strategy is about how to position your site, your product and yourself in the market place for the best success. This is a very complex subject that has filled and continues to fill volumes of books. Here, we will cover market niche strategy at a very very high level. This discussion is intended for a beginner to the online world. You will walk away with a high level view of the broad areas to consider with your market niche strategy.
A famous academic, Porter has a very simple approach to any strategy. This is detailed in the Wikipedia article here. Porter’s generic strategies as applicable to the online world as they are to the offline world. Even more important is that the final strategy is a composition of the 4 elements of price, place, product and promotion as shown in this article. The remainder of this discussion is based on the 4ps – you have to get to these before you can finalize using Porters generic strategies. Only once you have go the 4Ps in place can you decide on your final Market Strategy.
At the most basic level, you need to consider your product, pricing, your promotion, and your place. We will deal with each in turn but you should realize they all inter – relate. Of equal importance is your business plan and your financial goals. It is no point in setting a low price with low promotion efforts and think that you will reach a high financial goal – everything must work together to get to where you need to be! Let’s deal with the first element first, that of price.
Market Niche Strategy – Price
Price is the pricing of your product relative to the market – do you want a low price or high price for whatever you sell? Of course we all want a high price – but can you design or get a product that can command the price you would like? You should look around at the market place and see what prices are being asked for similar products to what you have in mind. Take a note of the quality of the products and how they are being promoted. Also it is a good idea to check to see if you can have a range of prices.
Market Niche Strategy – Product
Now you need to consider the actual product. What product will you sell? Product choices are that it could be a physical product, such as those sold on eBay and on Amazon or software or an information product or an app….the choices are vast! Even if you do not have your own product you can sell for other people as an affiliate. Another more complicated alternative is to get Private Label Right products and amend those in terms of the rights and then sell those on a site. Lastly, if you have a product idea but lack the skills to develop or make the product you can always outsource the creation while watching over the product development!
Market Niche Strategy – Promotion
media – choose another traffic source! Don’t force it. There are enough high volume sources for you to specialize in without torturing yourself! You are more likely to stick with the process if you are comfortable with a particular promotion and traffic strategy. The point is that you need to think about what you are doing and where your customers are. Is your product suited to visual promotion such as with Instagram or Pinterest?. Or is your product more suited to the professional environment such as on LinkedIn?
Finally, what about you personally – are you more a numbers person who likes analytical review in a big way and therefore more suited to Adwords promotion? Or are you more suited to socially reaching out, posting comments and engaging with your fans? In this case perhaps, Twitter or Facebook may be the best place for you and your product.
The point is promotion needs to tie in with who you are, who your product is for and what your financial goals are.
Market Niche Strategy – Place
Place in the context of your online business means where you will house your products. You can choose to build your own website or to be hosted on a WordPress.org or on Blogger.com or on Tumblr.com – the choice depends on your technical skills, your business plan and your product. It also depends on what promotional material, methods and process you have selected. All these need to inter – relate to bring your plan to life.
Market Niche Strategy – Summary
Your market niche strategy needs to bring your business plan to life. It should form part of your business plan detail after you have set your financial goals. Everything needs to work together and also needs to be based on your budget and what resources you have available to work with. Choice of price, place, product and promotion needs to happen together and everything needs to work in harmony with your personality and skill level. It is not hard if you approach this in a systematic way.