There are many niches that you can draw from when narrowing down the niche that you want to market to. For instance: customer, service, location and income. Each one of these classifications can draw upon the other and overlap in helping you differentiate your niche market from the overall target market.
In this post, we’ll talk about each specific niche, give you examples and then my next post will talk about specific ways to market to that segment of the population of the overall target market of people who need remodeling.
Customer Niche – For the remodeling and construction industry, there are several different types of customers that you can consider as you begin to narrow your scope for your marketing plan.
- Home Owners
- First Time Homebuyers
- Residential Realtors
- Investors with rental properties
- Mortgage Brokers and Loan Officers
- Commercial Realtors
A customer niche works because like-minded people will be reachable with specific websites, magazines, organizations, etc. Once you’ve defined your customer niche, it’s imperative to learn everything you can about them in order to create a marketing plan targeted toward that niche. Start by answering these questions:
- Are they web savvy – if so, what websites would most likely attract them?
- Are there particular trade magazines they would be likely to read?
- Are there membership organizations that they belong to?
- Don’t overlook community organizations such as the Chamber of Commerce.
- What type of monthly email newsletters would be of interest to them?
Service Niche – This is a different approach than targeting a customer niche. With a customer niche, you are looking for a certain type of customer. With a service niche, you are narrowing down on the service(s) you want to market. These services could be required by a large range of customers, but the services you perform would be relatively close in scope.
For the remodeling/construction industry, there are several service niches to consider:
- Kitchen and bath remodeling
- Interior Replacements – flooring, ceiling, walls
- Exterior Replacements – siding, windows, doors, roofing
- Property Improvements – decks, fences, patios, garages, carports
If you decide to concentrate on a service niche, a good place to start is to look at the projects that net you the most profit, and develop your niche around those projects. Good places to market would be:
- Magazines, websites and trade shows that are centered around that particular service
- Co-op advertising with stores and industries that provide the products for the service
- Email lists that have been put together from trade shows or local events centered around your service niche
- A monthly or quarterly email newsletter that would address questions or projects within your service niche thereby establishing you as an expert in your service area
Location Niche – For this niche, you’re not looking for a particular customer or to market a particular service. Instead you are concentrating on a certain area in which you want to do business.
This is a good niche to concentrate on if you want to continue to be a generalist helping a wide variety of customers with a wide variety of projects. By concentrating on a certain mile radius or community, you can target your marketing to venues within that radius or community.
- Within a certain mile radius
- Particular subdivisions
- Particular communities
Marketing to a location niche is probably the easiest niche to market to – concentrating on:
- Local papers
- Local businesses
- Chambers of Commerce
- Subdivision newsletters
Income Niche – This can be one of the more difficult and expensive niches in which to operate. If you select people in the upper middle income and above, their requirements and expectations are typically higher than in low to middle income individuals. The more money someone spends on a project the more they’ll expect.
Targeting upper management in large companies or industries is another example of an income niche. If you’re going after the upper management income, you would align yourself with business associations, clubs like Toastmasters or Rotary or country clubs and golf clubs.
Low income communities would be on the other end of the income scale. For marketing to this income niche, you would connect with charities whose main purpose is to help provide livable housing for low income families; or with government and community organizations involved in these projects.