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What Is Niche Marketing?

Updated on June 27, 2012
It's easy to hit the bull's eye in niche marketing
It's easy to hit the bull's eye in niche marketing | Source

Niche marketing is defined as marketing that is directed at a niche segment of a larger market segment. The size of a niche market is typically not very large. As such, the needs of such a market will be much more focused, so that it will be cheaper and easier to target and market to such a market. In addition, a niche market will probably be too small for the bigger and more established players, so that even new players might be able to make it good in such a market.

When niche marketing is talked about online, it is marketing that is primarily concerned with market niches in which the search engine competition is low or weak. Typically, as a niche marketer, you will carry out the following steps to identify and profit from a niche market.


Identify Your Market Niche
You will first do your keyword research to identify the keywords having the most potential and the least competition. Keywords are search engine phrases which a web surfer might type into a search engine to look for a product or a piece of information.


Figure Out How You Will Make Money
Having identified the keywords that you want to target, you will formulate the method by which you want to profit from the traffic from those keywords. Possible ways would include:

  • Selling An Affiliate Product.
  • Getting paid for the traffic, through pay per click networks like AdSense, or through ad networks by simply display their ads.
  • Creating and selling your own product.


Build Your Website
You then build a website or blog to sell your product, or to display the ads for which you are getting paid.


Optimize Your Website For The Search Engines
You use search engine optimization techniques so that the search engines will list your site when somebody types in the keywords that you have targeted.


Link Building
Once you have done all that, you then start a link building campaign to get other websites and blogs to link to your website. There are many ways of doing this some of which are:

  • Submitting your website to the relevant web directories.
  • Writing articles for the article directories.
  • Commenting in blogs and forums.
  • Exchanging links with other webmasters.

Continue building links leading to your site until you are ranked well for your keywords.


Conclusion
There are many ways that you can carry out the steps above but, in a nutshell, that is what is involved in online niche marketing.

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    • wandererh profile image
      Author

      David Lim 8 years ago from Singapore

      Thanks Neil.

      As for the niche research tools, truthfully I haven't used any of those that you have mentioned. Normally, I am interested mainly in the keywords being searched and the search volume, and the free Google keywords tool serves me just fine.

      If you are familiar with those, perhaps a hub comparing them might be a good idea? :)

    • Neil Ashworth profile image

      George Poe 8 years ago from United Kingdom

      Good article. What would you recommend for keyword research. I have looked at and tried several and all have their pros and cons but for niche research which would you say is the best? Wordtracker? Keyword Elite? Nichebot? or is there a better one on the market for this work?

      Neil Ashworth

    • wandererh profile image
      Author

      David Lim 8 years ago from Singapore

      Thanks jaylopez. One characteristic of niche marketing is that it is highly targeted, and hence your photo was right on target. :)

    • profile image

      jaylopez 8 years ago

      concise and packed with information... glad you liked my sxc.hu photo and use on this article:)

    • wandererh profile image
      Author

      David Lim 8 years ago from Singapore

      Thanks quicksand! :)

    • quicksand profile image

      quicksand 8 years ago

      Very clear and concise. Thanks. :)