Free and promising niches for starting aFree and promising niches for starting a business Source of material:
The reasoned choice of a niche for business is the foundation of successful entrepreneurship. How to lay this foundation with minimal risks, and what market trends should be followed?
You understood correctly: finding a niche for a business is an extremely difficult stage due to the abundance of options. At the same time, the rich variation expands the boundaries of possibilities. Luck in this matter does not play the most important role, but attentiveness, sensitivity and intuition will become a lifeline in a hectic sea of market trends. In 2018, waiting for help from the state is not necessary due to the numerous political events taking place in the country. The tax system has become more complex due to the emergence of new taxes and the strengthening of existing ones. The tax burden eliminates good projects, there is a reorientation when choosing a niche. Economic sanctions also affect the niche approach of enterprises, on the one hand, putting restrictions, on the other hand, opening up new niches for business, the development of which in the Russian Federation would not have brought profit before. Return to table of contents The concept and meaning of a niche In a business context, the term “niche” refers to a narrow sector of customer needs, the satisfaction of which becomes someone’s business and makes a profit. It’s simple – the right product or service will be in demand by customers. In fact, there are no unnecessary niches. In each of them there is a need, otherwise market conditions would eliminate a hopeless niche. It is necessary to sensibly evaluate competition. A busy niche can also be profitable, but a lot of effort will have to be put into developing a unique offer that will set you apart from the competition. The narrower the better? Most start-up entrepreneurs believe that well-known, proven, in other words, a busy niche is the last century, and we need to strive for something fundamentally new. The target audience is pleasantly shocked by the new convenience, your products are wildly popular, money flows into your pocket. Leave this illusion and look at the situation through the eyes of a potential client. A new product or service has appeared on the market that nobody knows about. Everyone goes by, unable to understand the essence. Detailed explanations still leave the client confused, and he leaves. He will return, of course! After 3-4 years, when the niche will successfully grow into the market and everyone will understand its advantages. When choosing a free and unknown niche, be prepared that the return on your business will not come as quickly as you would like, while the well-known, but unfilled niche will be in demand. At least until others borrow this idea and start embodying it at every corner. If you want to choose an original niche, hoping that it will become the main advantage of your business, this is an erroneous move. It is impossible to direct the attention of the audience to an unnecessary product, no matter how exotic it may be. Niche introduction A well-chosen niche will allow an enterprise with a small market share to receive a large income, and for powerful corporations a new niche will allow to find additional sales markets, expand the sphere of influence and refresh its image among the audience. How to understand when you need a new niche? You can determine this by the following factors: the enterprise’s income is declining; product / service loses competitiveness; the firm holds an endangered market share; market position weakened. Then the new niche becomes a way to diversify the business, switching the search for a source of income to other areas. On the other hand, it helps to survive, strengthen positions in the market and without a loss switch to another specialization. There are reasons for the decline in the activity of the audience, which we cannot influence. In 2018, this deterioration in the material condition of customers due to the depreciation of the ruble and rising prices. But many factors are in your sphere of influence. For example, product prices, advertising campaign, service level, etc. When you take comprehensive measures to optimize the work of your office, you will see in which area to look for a new niche. Return to table of contents. We define a promising niche. Once we have dealt with the essence and concept, the question arises how to choose a niche for a business. First you need to decide on the target audience. The opinion that you should like what you do is romantic assumptions that often have nothing to do with reality.