Market niche: what it is and how to define the perfect niche for your business!


A niche market is a specific segment of consumers with unique needs or interests. Defining a market niche can make your company know the customers’ problems in depth and become an expert since companies that operate in niches have less competition than those that serve mass markets.

The e-commerce market has grown, right? Along with this phenomenon, the expansion of competition came with everything.

And with countless companies competing for consumers’ attention, it can be difficult for those just starting out to stand out from the crowd.

However, in an attempt to conquer space, it can seem tempting to focus on attracting the largest number of people.

But this is not always the best strategy.

Instead, it is far more beneficial to focus on a niche market.

Defining a market niche for your business makes it easier to identify the group’s consumption behaviors and thus develop effective marketing strategies.

In this guide, we’ll cover some niche market examples and tips for finding the perfect niche for your business.

Check out!

What is a niche market?

A niche market is a small, specific segment of consumers with unique needs or interests.

Examples of niche markets include luxury goods, organic food, and vintage clothing.

Companies operating in niche markets often have less competition than those catering to mass markets, making it easier for a startup to gain a foothold.

By focusing on a specific group of consumers, you can better target your advertising efforts to directly appeal to their needs or interests.

For example, a company that sells luxury cars will have a very different marketing strategy than a mass-market car company.

Not only will this approach help you save money, but it will also ensure that the right consumers are being reached.

As a result, you’ll be able to build a loyal customer base and achieve sustainable long-term growth.

A niche market can be based on a series of information about the consumers to be reached and the products to be sold:

  • product price: luxury, moderate, economical;
  • demographics: gender, age, income level, education level;
  • behavior: values, interests, attitudes;

All of this information helps refine consumer groups until you arrive at the group that will be interested in your product.

What is the importance of choosing the niche market well?

It may seem counterintuitive to narrow your customer base and decide to cater to a small fraction of the market.

But if you’re offering the same products or services as every other company, without any differentiating factors, it’s going to be difficult to make an impact.

On the other hand, when you focus on specific customers and really listen to what they want and need, you can reap incredible benefits.

Increase in profits

Many professionals feel that niche marketing will not work for their companies.

They worry that being too specific will reduce the amount of sales they can make. In reality, the opposite is true.

By dominating a niche, you become the market leader.

This will allow you to sell with a more educational tone.

You will no longer have that “sales call” they hate: you will be the company with the answers.

Plus, when your marketing niche is clearly defined, you can focus on selling online to customers who really want to buy.

If competition is low, customers don’t care if they’re paying a little more for a high-quality product or service.

In many cases, they can only get a service from a single company.

This guarantees high profit margins.

Reduced marketing costs

When it comes to customer outreach, the “more is better” philosophy doesn’t work for most products.

Instead of gaining the attention of the widest possible audience, hoping to encourage purchase, the ideal is to build marketing strategies aimed at a specific audience.

In addition to being more effective, this approach makes it easier to save on campaign investments.

After all, if you speak to a small group, the results come faster.

Greater trust and credibility

As you gain experience in your niche, you’ll start to develop a reputation as an expert in the field.

People will trust your opinion and consider your company a leader.

Positioning yourself as an expert helps you stand out from the competition, attract relevant clients, and establish audience trust.

Loyalty to your brand

When you’re engaging with fewer people, you can focus on the quality of those engagements and nurturing your relationships.

Because you’re building your products and services around that customer’s needs, you assume the role of a true partner, not a supplier.

Reduction of competition

One of the benefits of a niche market is that it has little competition.

When you have a highly specific product or service, there will be fewer companies with the same offer as yours.

This means that the more specific your product or service is, the fewer companies there are to compete for customers.

Despite this, there will also be fewer customers looking for your product or service if you have a very specific audience.

What are the top examples of niche markets?

There are several popular niche markets today.


The fitness industry is a booming market.

On the one hand, most people believe that there is always potential to be in better shape and look for ways to exercise both indoors and outdoors.

On the other hand, a personal trainer is always looking for new skills, equipment and strategies to influence his target audience.

This demonstrates that there are several niches to be carved by companies interested in the fitness industry.

Pet market

People who own pets often demand and want many specialized products and services.

Companies can segment pet owners into even more specialized niches based on factors such as the type of pet the owner owns, the exact species, or the pet owner’s lifestyle.

Conscious consumers

Conscious consumers look for ways to reduce their environmental impact.

They consider the environmental impact of the products or services themselves and how they are made.

If you want to reach conscious consumers, it’s best to consider your product or service line and how it’s produced.

Conscious consumers can be divided into even more specific groups according to products (sustainable clothing, sustainable food, sustainable furniture, etc.).

Personalized Diets

Consumers who have dietary restrictions may find it difficult to find, prepare and consume certain foods.

Companies interested in serving this audience should choose a specialized diet or a set of related specialized diets to focus on.

Companies can still refine this niche according to the audience’s goals with these diets.

For example, if you want to focus on gluten-free diets, your business could sell a new gluten-free product or help people cook gluten-free by publishing a cookbook.


There are many potential subgroups within the gaming niche market.

Gaming platforms serve as the main categories, offering either mobile devices or console games.

There are also game categories that don’t rely on technology, such as tabletop games.

Companies can further segment this niche market by game types such as simulation, adventure, and puzzle games.

In addition to creating games, companies might consider selling game book manuals, ergonomic accessories, or products such as game-related stickers.

What to consider when choosing a niche market?

The best niche to make money is one with high market demand, low competition and high sales revenue potential.

If you can get those three things together, voilà: now your focus should be on taking a market-leading position and expanding your customer base.

Here, we separate everything you need to choose a profitable niche market.

Check it out and clear your doubts!

Understand your interests and skills

There are two very good reasons to use your own interests as the basis for finding a profitable niche market.

The first reason is that you will spend a lot of time.

You’ll need to research keywords, analyze the competition, and choose the right products, all before you make a dime.

Such work is best done with love.

Otherwise, you’ll soon lose interest and end up with mediocre results.

The second reason you want to focus on your interests is so that a niche market audience will know if you are authentic or not.

The public recognizes its true needs. So, it’s hard to fake it among a crowd of enthusiasts.

If you don’t feel like learning everything you can about a niche, it probably won’t be worth it.

Authenticity is the key to dominating a niche market.

Research your product audience

If you have a more or less clear idea of ​​the customer profile you’d like to serve, the next thing to do is discover a subset of consumer groups.

For example, you can go from a broad audience such as “university students” to a narrower consumer group such as “graduate students”.

You can go from “athletes” to “runners who need specific training accessories”.

The more specific the subgroup, the more you can get to the heart of the problem your future customers want to solve.

Find a consumer need

To explore potential niche markets, find out what your potential customers need that is currently not available for purchase.

What specific problems do you want to solve for your audience?

What could you offer consumers?

To respond to real demand, your products or services must alleviate a pain point your audience is currently experiencing.

This pain point usually does not find the best solution on the market, and it is up to you to develop it.

Assess market demand

Market demand should be high and on an upward trend.

This ensures that you can sell your products or services and that when competitors enter, there are still enough people wanting to buy.

To determine if a category is trending, you can enter keywords related to a niche you’re looking for into Google Trends and track popularity over time by targeting specific geographic regions.

Later, we teach you more about how to use Google Trends and other tools to map and track a niche market.

Find a differential for your products

What are you offering that no one else is? Why should potential customers choose you over your competitors?

Answering these questions will help you identify your differentiator and use it to your advantage.

For example, if you are selling coffee beans, your differentiator might be that your beans are roasted daily.

This would appeal to coffee drinkers who value freshness and taste.

Research niche market keywords

Keywords are amazing because they reveal our needs raw.

You can use them to learn what your customers are typing into Google when they want to find answers or solutions to problems.

Start typing some questions into Google to look at the keywords and phrases that Google automatically suggests based on what’s trending.

For example, if you want to learn more about sustainable consumers, type “non-toxic” into a search.

You may find that Google suggests utensils like “non-toxic pencils” or “non-toxic pot”.

Doing this research on keyword planners can reveal important metrics like the search volume for a specific keyword and how difficult it is to rank high in a search result.

These results offer clues as to what’s important to your niche market.

Tools that can help you choose a niche

We’ve put together a list of some of the best options that can help you find profitable niches with low competition and new business ideas.

In the list, we also explain what each of the tools can do for you.

Let’s go?


SEMrush does keyword, domain, and competitor site analysis.

You can type a domain or keyword in the tool’s search bar to get a variety of information organized in panels.

The strengths of SEMrush are precisely the thorough analysis for keyword research, the global analysis of your site and the analysis of the competition.

Another cool feature is phrase matching.

You can find keywords related to what you searched for and discover interesting variations of it for your niche.

The results reveal the subjects that users click on the most when searching for a certain word.

The tool is intuitive and allows users to find reports, analytics and all other functionality easily.

Access to SEMrush is via a monthly subscription, which can be canceled at any time.

But you can also sign up for the 7-day free trial to try SEMrush functionalities.

Google Keyword Planner

Another tool that can help with your niche market search is the Google Keyword Planner .

It’s a free tool from Google, located inside Google Ads.

Through it, you can find the keywords that add to your niche, get numbers about the performances and the search volume of the desired terms.

You can do research by geographic location, find out competition for keywords and map terms related to those searched that are also interesting for your audience.

To use the Google Keyword Planner platform, you first need to create a Google Ads account .


Buzzsumo is a tool that allows you to search on subjects consumed and shared on the internet.

The tool’s main features are: discovering the most shared content, tracking competing brands and backlinks.

It is also possible to identify influencers and generate reports according to subject and other filters.

The platform searches the internet to map who is talking about subjects related to your niche market and which subjects are being well received by the public.

Despite being a tool with paid plans, you can take advantage of Buzzsumo’s free period to try out the features.

Google Trends

Google Trends is one of the most powerful free tools you can use to track trends in your niche market .

The tool shows the development of a subject over time: growth, decline, popularity, search volumes and related keywords.

With this information, you can understand the intent of the people who make up your niche market, as they reveal what potential customers are looking for.

You can also compare different subjects, which helps you understand the world’s reaction to global trends, as well as trends in your market.


Ahrefs is an all-in-one tool for analyzing competitors, researching keywords, getting topic ideas, and much more .

One of the coolest features of Ahrefs is finding “content gaps” between your pages and your competitors.

If you already have a website, the tool may show you the keywords your competitors rank for but you don’t.

These gaps can quickly provide a lot of new ideas on topics your audience cares about .

Another feature that can help you to explore a niche market is the deep analysis for keywords.

You can segment your search by terms using various filters, such as location and age.

Ahrefs is a popular tool , but it also offers discounted pricing plans for those who want to use it for a trial period.

Keywords Everywhere

Keywords Everywhere is a Chrome extension that helps users research keyword ideas and identify the search volume for search terms on Google and other search engines.

One of the best things about Keywords Everywhere is the fact that you can get started for free.

The free extension gives you access to relevant traffic metrics, page analysis, keyword mapping, etc.

User can also subscribe to the premium plan to get access to accurate metrics like CPC, competition data and trends.


Ubersuggest is an SEO tool that specializes in mapping keywords, generating data on search terms, and analyzing competitors and backlinks .

There are premium features that you can only access with a paid plan for the tool, but people love Ubersuggest for its free features.

The tool is extremely valuable for deciding which keywords you want to use and understanding which competitor’s strategies are generating good results.

Answer the Public

Another interesting tool for researching niche markets is Answer the Public .

Through this tool, you can consult the questions that your audience is searching for in search engines .

The tool has a huge database that is able to help you anticipate questions that your potential customers have about your products.

There are free and Pro versions for finding the best ideas with Answer the Public.


Amazon is a somewhat unexpected tool for niche market research, but it’s mostly useful for budding entrepreneurs.

All products advertised on Amazon are ranked by popularity.

From there, you can probably find an untapped niche, but it’s actually super profitable.

You can start by searching for a broad topic.

If you don’t have one in mind, you can search the predefined categories on the Amazon homepage. Browse the categories and see if you find something that interests you.

There are also subcategories that you can check out on the platform.

It is possible to find a product that sells well and doesn’t have much competition.

All this makes Amazon a good tool for those who are starting to research a niche and a product to sell.


Moz is an SEO tool that helps you track your site’s performance in search results and keep an eye on your competitors.

It also has a keyword tool to help you decide which search terms you’d like to target.

Features like Link Explorer and Keyword Explorer are available for free.

But to track campaigns you will need a Moz Pro account.

Moz is a good choice because it’s easy to use and navigate, and it offers a variety of features to track your progress and compare your site to your competitors.

How to dominate your niche market?

When you already have a niche market, what’s the next step?

It is most likely to dominate this niche so that your brand can stand out among the others that are vying for the same customer as you or an audience with similar characteristics.

If you’re here to do just that, take a look at the list of tips we’ve put together below.

Develop a strong brand

When working in a niche market, you want your potential customers to know exactly who you are.

Your goal is to get them thinking about all the things that make your brand unique and strong as soon as they hear the name.

For this, your brand must be based on what makes you special.

Do you have the best customer service?

Use it to your advantage: in all your promotional materials, focus on the fact that you will always be there for customers.

Do your products offer prices that the competition cannot beat?

Make it a point to compare the value you provide with that of your competitors.

Remember that your brand is more than a slogan: it’s what goes through the customer’s mind when they think of your name.

With consistent messaging, maintain a strategic focus on what makes you worthy of dominating your niche market.

Focus on competitor analysis

Understanding the strengths and weaknesses of companies vying for consumers similar to yours is crucial to maintaining a competitive advantage.

So, incorporate competitive analysis into your marketing plan to understand where your business needs to deliver more customer value.

When using competitor analysis, you can pay close attention to aspects such as:

  • used sales channels;
  • set of keywords that target content production;

These aspects can help you customize your marketing strategies and understand your competitors’ resources that you can use for your brand.

This does not mean, of course, copying approaches, but gaining insight into customer interaction and sales strategies.

The information will serve as a basis to continue developing your business and your products.

Improve your storefront before your competitors do!

Promote your business to your specific audience

Just as your product or service fits specific needs, your marketing efforts must also be focused if you want to dominate a niche.

Targeted ads, blog posts and podcasts are all invaluable tools for getting your message across to people who are likely to be interested in your products.

Seek market validation

Many companies rely on direct interactions with customers to learn how they feel.

However, there’s a lot more information you can dig into to get a bigger picture of how your customers are behaving.

If most of your customers come from a specific area, for example, you can leverage that information by running a targeted advertising campaign.

And through this, validate an idea and increase your customer base.

A quick Facebook Ads or Google Ads campaign can help your business test whether a product will perform well or whether you’re really reaching the right people.

Know where your customers are

When trying to dominate a niche market, it is vital that you know where your customers are in order to choose the best relationship channels.

This will make it easier to create a really effective marketing campaign.

If you already have a customer base, a good way to find out which channels they’re on is through simple surveys.

Suppose your customers told you that they spend most of their time using Instagram and Facebook groups.

If so, you’ll know to divert more of your marketing efforts to these networks.

Create your persona

Personas are fictional characters created to represent different types of customers within your audience .

They provide a common way to talk about a customer and help guide your marketing and sales decisions.

Your company persona is an ideal version of customers and contains character traits, names and behaviors to help develop personalized strategies.

This character quickly helps you focus on your ideal customer‘s pain points .

If you already have a defined niche market, now is the time to centralize the main needs and expectations that your company needs to solve in the persona.

Develop a content strategy

Before you start posting content to your channels, identify what content is shared on your competitors’ sites.

If you use a tool like Buzzsumo, you can go to your competitor’s website and see what content is shared the most.

You can also filter on different social channels like YouTube, Twitter and Facebook.

You will often find that content like infographics is shared a lot, for example.

Create partnerships to expand your consumer base

Focusing on niche markets has immense value.

This helps you to attract attention, establish a loyal customer base, and even open the door to potentially expanding into larger markets.

Let’s say your niche audience is a health food enthusiast and you discover they love craft beer too.

From there, maybe you can partner with a brewery to reach each other’s niche markets.

Like the idea?

Not only do you serve your audience, but you also prove to your customers that you really know them.

Niche marketing will help you gain a competitive advantage, better target your audience, and retain your customers.