Niches Bring Riches
During my discussions with new business owners and prospective business owners, I ask several questions that I think are critical to the future success of the enterprise. Business owners in the past generated wealth by following fundamental principles that apply to today, even in an expanding global economy with emerging markets filled with millennials. Being aware of one’s surroundings and emerging trends, concentrating on a niche can jumpstart the success and growth of a new business. A niche can be defined based on current limitations in an existing market or product. A niche can arise merely because a need in the marketplace can only be filled by a new, narrowly defined product or delivery method. The innovation can be a tweak to an existing successful product or can encompass an entirely new concept.
What types of unsolved problems are common to a distinctly identifiable group of people (market) who can be reached in a precise manner?
Is it feasible or possible to solve the problem in a manner so that the selling price is greater than the cost of making or producing it?
Some examples of unsolved problems that address the needs of a specifically defined group of people or customers:
Travel package adventures for the over 60 crowd
Turnkey online marketing systems (no need to understand software)
Package delivery methodology shortcuts
Water purification systems for an individual condominium unit or apartment unit
Emptying lotion or shampoo bottles of their entire contents
Imagination and observation are key factors in the process of identifying niches.