HOW TO CREATE A SUCCESSFUL NICHE BUSINESS

Follow our guide to specialising and becoming an expert in your field

and caters for a small target market and a very specific customer – Sue Maullin’s Bunting Boutique is a successful example. With the advent of the internet and search engines, small niche businesses have thrived. The popularity of social media means that identifying and reaching a target audience has never been easier. A niche business is now a much more viable option as customers can easily access specialised suppliers online. The key is to identify your market – it should be one that is currently under-served and overlooked – and work out how you can serve it.

You will then find that your specialist knowledge gives you a unique selling point and a marketing advantage.

‘Niche businesses are a real success story,’ says Emma Jones, founder of Enterprise Nation, a small business community of around 75,000 people. ‘At Enterprise Nation, we see a lot of niche businesses and we absolutely love them. These business owners know what they are offering and exactly who their customer is – where they are, what they are reading, where they go online and so on. They are only promoting their business to a very specific set of customers and that helps to keep their marketing costs relatively low. In turn, niche businesses will find that their customer loyalty is high as people can only buy from them.

‘Once you have come up with your idea and a business plan and are up and running, the key is to ensure you make as many sales as possible while keeping costs low to ensure a profit.’ Emma’s top tips include:

sell through a website. ‘Sales can be made online and you can get a template website for free or at a low cost. Look at sites such as moonfruit.com, wix.com and weebly.com – all of them allow you to upload products and sell online,’ says Emma. ‘The low-fee, paid-for options come with benefits such as coupons for Google Adswords to get you started with paid advertising on Google, Google Analytics, Paypal buttons, Twitter feeds and contact form builders.’

Create an online relationship with potential customers. ’Social media is ideal for the niche business owner as it allows you to engage with customers and raise your profile,’ says Emma. ‘Also, if you have a visual business – such as Bunting Boutique – you can upload photos of your products on Pinterest and Instagram and they will be seen by lots of people.’

go direct to customers. ‘You don’t have to open a shop,’ says Emma. ‘You can sell direct to customers at farmers’ markets and pop-up shops, or look into shop shares or rent-a-shelf. Websites such as appearhere.co.uk can also help you to sell direct.’

Work with high-street retailers or other retail partners. ‘We do a lot of work with John Lewis as we pitch things like giftware to them,’ says Emma. A niche business specialises in selling a particular product

Keep your business based at home so you don’t have the expense of office space or a daily commute.

Make the most of technology. Consider xero.com, an accountancy tool costing from £8 a month that can help you stay on top of cashflow.

Beg, borrow or barter. ‘If you are in the early stages of developing a business, our three words of advice are beg, borrow and barter. For example, if you need a sewing machine, see if you can borrow one from someone and do something for them in return.’

raise your profile. ‘Engage with journalists who reach your customers. But before you make contact, know your story and what makes you unique.’

for more information about enterprise Nation, visit enterprisenation.com.

The one lesson I’ve learned... ‘IF YOU ARE LABOURING OVER AN IDEA, PUT IT TO ONE SIDE FOR A WHILE. I FIND THINGS USUALLY WORK BETTER WHEN IDEAS FLOW NATURALLY’