To become successful and start making good money, you need to find your niche market, that is, a service that will be in demand.
Let’s say you have a great idea for a business. But before you go further, you need to define your niche and target audience. No business, especially a small one, can sell everything to all people. The niche you already have, and the more specifically you can formulate how your target audience is – the better for your business.
STEP 1. Create a wish list
With whom and for whom do you want to do business? Be as specific as possible in determining your target audience. For example, determine the geography and types of businesses or clients, to which all your efforts will be directed. If you do not know for whom you want to do business, you can not build effective communication. Modern trend: the niche your business niche is and the more specific target audience the better.
STEP 2. Focus
Be clear about what you want to sell. In this case, remember two rules. First, you cannot be everything for all people, sell everything for everyone. The second – less means more. Please note that the niche does not coincide with the area you have chosen to run your business. For example, the retail sale of clothing is not a niche, but a field of activity. But the sale of clothes for pregnant women is a businesswoman – this is more like a niche.
1. Make a list of the things you do best and the skills you need to do each of them.
2. List your achievements.
3. Identify the most important lessons you have learned in life.
4. Analyze how you approach to solving problems when they arise.
The niche should naturally occur in their interests and experience.
– Which customers do you like to work with, and which of them bring you profit?
– What services are beneficial for you to provide?
– What competitive advantages do you have that attract the right customers in the chosen market niche?
At first glance, everything is simple. However, in practice, it is impossible to answer these questions on the fly. Anyone who wants to open a company should find this small area that potentially has the ability to generate income and, by mastering which, you can build a successful company. Working through the ideas, it is worth paying attention to a whole range of factors. Your success depends on them. The easiest way to measure whether a niche can be profitable is to see how many copies of a product can be sold and at what price. Sometimes, it is more profitable to sell fewer products but for the higher price.
Take advantage of the techniques, described below.
See the market
To see a potential market, a niche is a constant task for entrepreneurs who want to start a new business. For someone, it does not matter what to produce or sell — bicycles and board games or tractors. The other people think that the most important thing is to love what you sell. That is why a business should be chosen not only on the principle that it is potentially profitable, but also because you like it.
Describe the target audience
Initially, it is important for you to understand who your target audience is. Find “your” clients. Since in order to build a company, you need them, then you should start looking for these people and/or the companies.
How much money is there in a niche?
When you identified your target audience correctly, you should calculate how much money can be spent and gotten? It may happen that a niche is very small, and it seems that you cannot earn much there. How much money are people willing to spend on your product? Will they return to get it again?
Cycles of the deal
The deal cycle is the period of time that passes from your customer’s request to the moment when money appears in your account. The shorter the deal cycle, the better for the entrepreneur it is. If a person comes to the store, this cycle lasts a few minutes — from taking goods from the shelf (or online store site) to payment. If you are engaged in specific building structures, the cycle will last for weeks or even months.
What do you like and dislike in business
Another important moment is the following: will your niche market project be successful? Its success or failure depends on the involvement of the person in the project. In any business for which investors give money, it is important that the initiator should be strongly interested in the project. Nothing will happen without participation, and a great desire to build a company, no matter how hard you try. It may seem odd, but making business, you must be in a good mood and like what you do. An entrepreneur is also required to participate in product development, marketing and sales. Are you ready for this? Will you enjoy product sales?
Finding your niche market is both a simple and complex task. In any case, get a list of several ideas and start working on them from the very first one. If the experiment does not work out, you can move on to the next item, and so on until, finally, you will not find something that you are really interested in doing, and that brings income. Adrenaline Studios has found its niche, dealing with project management and digital marketing.
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