Firstly identify your niche market. You need to very carefully identify where your offer will be most relevant to customers and be most competitive amongst the intense competition that exists in large markets. Companies like film industry data analytics and marketing campaign specialist Movioare very focused at being the best at something that almost no international competitors can achieve.
Secondly become very clear what it will take to become the number one or number two player in your niche. Any lower in the rankings and you are playing for scraps. It is likely that your business lacks a clearly differentiate offer that can go deep into a market niche and build loyal long term customers. Entering a any market to be a ‘me too’ brand increases the risk of failure as no New Zealand businesses have the war chest to buy market share off competitors.
Thirdly become very clear on what your value proposition is, from your end user back through every member of the supply chain. How will you convey to them that you are the specialists, experts or market leaders in what you do? Haden &Custance, an engineering firm in Hawkes Bay are a great example of clear specialisation. They are the world leaders in automated preparation of bulk cheese for processing. The market quickly and easily understands the benefits of working with them and why they are the best at what they do.
So finally, how do you find the market niche? Go out and ask them where it is? Understand the criteria that your business requires to be successful in a market. Narrow down where those markets are and then go out and find out what refinements are required to optimise your relevance to the market. Be prepared to spend time understanding where the value of your offer lies, adjusting your offer to meet the market requirements and finding the right pathways to your first sales.
As your business heads further afield it has to become more specialised. Make sure you know where you belong and you will begin stand out (in a positive way).
Let us know how you achieved your niche. Or go to Katabolt to find our more about finding your niche.