Niching down to grow your business
Does the idea of dramatically reducing the size and scope of your target audience terrify you? What about cutting the number of services or products you offer? As unlikely as it might sound, cutting your offerings to grow your business is a tried and tested method and for many, it works. This is known as niching down.
Niching down is choosing a smaller, select part of the market to work with. It often involves offering a smaller number of services or products. For example, instead of working in sports journalism as a whole, a writer might only focus on Premier League football. This would be their specialist subject.
The benefits of niching down
I've been a freelance copywriter for nearly fifteen years. For the first few years, I was fortunate enough to land copywriting and freelancing gigs with some very big names. I also worked directly with large company owners on a wide range of projects. It was great. Could I scale it up? Not particularly, unless I took on a team of writers. Most importantly, did I love it? No. I didn't.
After a few more years, I decided to take the plunge and significantly reduce the number of copywriting services I offered and focus on working with small businesses, sole traders, and start-ups. I haven’t looked back since. There are several benefits to niching down or specialising, and I'll illustrate these by explaining how niching down has helped me to grow my business.
1. I am a specialist
As I spend all of my time working with small businesses, I know what they need. I know how to help them succeed and have processes in place to streamline my interactions with them. When a small business owner comes to me, they know that I understand their problems and have the tools to fix them. I also find that while there are many generalist copywriters, there are far fewer who do what I do and offer what I offer. That gives me a competitive edge. The fact that I am a specialist is reflected in my pricing.
2. My marketing efforts are targeted
I am laser-focused on what I offer and who I offer it to. My marketing efforts, from SEO to social media and even networking, all contribute to my goals of reaching and converting my ideal customers.
3. My CPD is focused
In business, continued personal and professional development is essential. Having niched down, I have found it easier to identify what gaps in my learning I need to fill and what new knowledge I could obtain to ensure the skills I use are current and relevant. No learning time is ever wasted, but it can be put to better use if you are working towards a specific goal or working within a certain sector.
How I used niching down to grow my business
Is it possible to earn more, work less and be happier when niching down to grow your business? It certainly is. I am happier than I have ever been, have a steady stream of working coming in, and have managed to drop my working week from five days to four. I earn more now with a four-day week than I did working full time. More importantly, I'm happier during my working week.
I've achieved this lifestyle by niching down, working smarter rather than harder, and only taking work on that is right for me. Niching down has not limited my potential. Far from it. I have become a specialist and opened the door to a large number of potential clients within my niche.
Niching down: getting started
When it comes to niching down, my experience is that to make it work you need to niche down into something you have a passion for. It also helps if it is something you are experienced in or are willing to learn about.
A friend of mine took her ethical gifts and treats shop and focused on green and low waste living. She knew a lot about this kind of lifestyle and it matters to her. She is committed to keeping abreast with the movement and offers the best advice and support to her customers. This commitment and passion are what have made her business so successful. She put the work in and because of that is known and respected as the specialist in our area.
Once you've decided on your niche, test the waters a little. I jumped in with both feet first, but that approach is not for everyone. When you take the plunge, make sure you’re crystal clear on who you serve and what you offer. If you aren't, no one else will be sure either.
Niching down to grow your business
By niching down, specialising, and focusing your marketing and professional development around a smaller sector, you can become an expert. You will have a focused portfolio and social proof to prove your authority in your area.
I'll leave you with one top tip: keep up with what's happening outside of your niche. I only work with a select type of client now and offer fewer services. That means I am not necessarily using other skills I spent years building. Make sure that your CPD efforts keep abreast of what's going on outside your niche. You may need to pull from that skillset again in the future and don't want that knowledge and expertise to get rusty.
