A product niche is a specific and targeted segment of a larger market. It refers to a specific category of products that serve a particular need or demand within a market. For example, within the broader market for health and wellness products, there are niches for organic food, natural supplements, or yoga accessories.
Identifying a product niche is important for businesses because it allows them to target a specific market and differentiate themselves from competitors. By focusing on a particular niche, businesses can develop a more focused marketing strategy, tailor their products or services to meet the specific needs of their target audience, and potentially increase their profits.
When choosing a product niche, businesses should consider factors such as market demand, competition, profit margins, and consumer preferences. Researching the market and understanding customer needs and wants is key to identifying a profitable product niche.