Finding a niche is a hot topic for many types of business and a marketing agency is no different. There’s always this fear that by going niche, you are cutting off a supply of potential customers outside that niche. But the fact is, by being something for everyone, you can end up being nothing for no-one – people tend to go for experts in their niche over generalists.
If you are considering niching down for your agency, it is always good to look at the benefits and be certain that it is the right choice for your company. Let’s take a look at what a niche really means and why it might be the course for your business.
Benefits of a niche
Let’s start by examining the benefits you will get if you choose to niche down in your agency. There are four big ones:
You have a business roadmap
Trying to market your business is tough – trying to market it to everyone is even tougher. However, if you decide that your niche is to be dentists and dental services related businesses, you can create a roadmap that ensures you completely understand all the areas that these businesses need.
You will know about dental companies, what’s important to them, their services and their customer habits. You will get to understand what their audience pain points are and what issues the companies have – and you can map your company experience around these. Knowing that you can offer tailored SEO services to these dental companies, which there are many to choose from.
You can predict the market
Another big benefit is that you can predict what will happen within your niche of the market because you know it so well. For instance, let’s say you work with law firms – you will learn about what’s important to them, and what months trends are busy than others. And you will be able to predict what is to come from that knowledge.
Law firms can then be more selective, by only choosing from a range of specialist law design or marketing agencies. Being niche targeted improves the chances of converting enquiries coming in. While they could be fewer enquiries, coming in, when compared to an agency that offers a service for all niches, being more specific tailors that experience to them and their business. Hence improving that chance of gaining a new customer.
Growth potential is impressive
A niche agency has far bigger growth potential than one who simply tries to grab any client that comes along. That’s because you can offer more specialised service and will produce better results. You will have case studies from that niche and can show customers what you have done for others – and they will relate to this information because it is their niche.
You get to know the competition
Finally, you will also get to know the competition, the other agencies that are in your niche and what they do – so you can outdo them.
You can offer different services, cover gaps they have left and make sure you give better value. Because you are only monitoring a small number of agency competitors rather than the whole market.
Niching down obstacles
Now there are some solid benefits to niching down but there are a few obstacles that you need to overcome if you are going to move your business in this direction. When you have a plan on how to handle these obstacles, you are ready for success.
Top of the list is making sure customers are a good fit and this isn’t just financially. You want to offer a niche service for the best possible outcomes for your clients and this is achieved by ensuring you take on the right clients. Take on the wrong ones and you might struggle, despite all of your combined abilities.
Constant learning and development is also key to learning your niche inside and out. This helps you continually position yourself as a leading expert in your field or your company at the top of the niche list. By being at the top of the field, you are the first name that comes up about your niche. Monitoring new technology, software and tools is also a big part of the project.
Charging the right prices
A secondary benefit from niching down is the ability to charge more for your services. While you always want an eye on the market, a specialist can charge more than a generalist, and this means you can potentially increase your prices as your niche experience expands. That’s just one more reason why niching down your agency is definitely the way forward.
Author: Paul Gordon