Getting the Most Out Of Your Ad Dollar: Maximizing Your Niche Market

Find the Right People In Need!
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Every business markets to a niche (and to end this debate: pronounced "neesh" in its original French, but commonly pronounced "nitch" in American English, both pronunciations are acceptable). While conventional knowledge considers niche markets to be specialized, your business does not have to be to market to a niche; particularly if you are a small or medium sized business. A niche can be as large of a classification as sports fans, or as specific as high-end custom motorcycle enthusiasts in the greater Detroit area. Effective niche marketing comes down to finding the right size niche for your business.


We all would love our company to be the only one out there but that simply will never be the case. Conventionally, if you a mortgage company you might consider advertising to all potential home buyers in your area. That's fine if you live in Clinton, Indiana (population around 4,000), but if your in Los Angeles, California advertising to every potential home buyer is probably not the most cost effective way to generate business. Please note: It is difficult for many business owners and salespeople to understand that specialized, reduced, targeted advertising does NOT mean less sales! What niche advertising provides is less cost for the same amount of sales generating greater profits!

Increase Your Return on Investment, Not Your Spending!
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For small and medium size businesses who can't afford to spend on expensive large scale campaigns, identifying the right niche for your business is the key to success. For a mortgage company, decide to focus on newlywed first time home buyers, or perhaps focus on the condominium market. Find a demographic that your business has the capacity to handle effectively. If your a small upstart, don't worry about trying to attract multi-million dollar home buyers when your better off having ten sales of $300,000. This is especially true for young companies starting out, if you can become the staple for that niche in your area, you'll notice your business will naturally grow beyond the demographic you first targeted through your reputation.

To market effectively to your niche there are 4 keys:

1. Who is Your Niche?

Which is the best niche for your business?
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Before you design a marketing campaign for a niche, you better know as much as you can about them. What they like, buy, demographic information, the more you know about the people your marketing to, the more effective your campaign will be and the greater your return on investment will be. If you're looking to sell custom motorcycles to high end clients, it is important to understand who buys these bikes and what they look for in them. Additionally, what is the best way to get through to these potential customers. Clearly a TV ad is not the way to go for this sort of specialty market, but making a presence at trade shows would definitely generate business.

2. Offer Something Unique

Make yourself stand out to your niche
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What about your product or business makes it just perfect for that niche? If you don't have an answer, then you are marketing to the wrong group. Think about what your company does best and not always what is currently the most profitable; whatever your company is best at, will become the most profitable side as you grow. Then determine who are most in need of this product or service. Once your at this point forget about what you think, and figure out what your niche is thinking. If you were them, what would convince you to use your product over others.

3. Specificity

People Want to Spend, But They Want to Spend on Their Needs,
So Show How Your Product Meets Their Needs Specifically!
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When your trying to figure out which niche is right for your business, be specific. Many business owners believe it is better to miss by making your campaign more broad so it has greater appeal. I disagree with this ideology. By making your campaign specific you will connect with your niche making your ad much more impactful, which will have a higher rate of return on your campaign. Check your numbers: sending 5,000 mailers which are thoughtfully planned and connect with people in need of your service, will generate the same 500 sales as sending 50,000 mailers to a broader base of people, with whom your ad will have less impact, thus generating a greater initial cost and a lower return on your investment.

4. Tailor Your Presentation

Make Sure to Show, Through Your Ad,
How Your Company is The Perfect Fit!
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Finally, make sure if your going through the trouble to market to a niche, your advertisement truly connects with them. Whatever your business, design your marketing campaign to touch the lives of your potential customers. Show them why using your product or service, while enhance their quality of life in a way related to their niche!


Every marketing campaign is marketing to a niche, but you must use the niche that is most relevant for your business. Sure a national grocery chain might market to everyone, since we all eat, but very few businesses have that sort of mass appeal and size, so keep your business in mind and who buys your product to get the most out of your advertising dollar!

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By: Will Pearlman