Three keys to choosing the right business niche

There are several reasons why I’m a big fan of choosing a niche. The biggest one is it makes your marketing so much easier.

But many of my clients wonder how to choose a niche. Sometimes, people make the mistake of just going for clients who have plenty of money, and while it makes sense to select ideal clients who can afford your services, that cannot be the only qualification.

You want to think about these three requirements to know you are choosing your niche wisely.

1. Is this a group of people who seek out the help of a coach or service provider like yourself?
For me, I’ve realized not everyone who owns a small business is drawn to working with a coach. For example, medical doctors aren’t as likely to work with a coach to build their patient roster. Some types of businesses are just more open to the idea of coaching than others. So I’ve had to make sure the niche I choose is open to learning how to grow his or her business.

2. Is the target large enough to provide plenty of prospects?
You want to make sure there are enough people in that group to provide plenty of prospects. Do some research on the web to see who is already serving that niche. If you find coaches who target this same group, that is a good sign. You want a group with thousands and thousands of people who could use your services so you can continue to grow your business. If you choose a small target, you might quickly run out of prospects.

3. What credentials do you have to work with this group?
Of course you want to choose a target that inspires and excites you. But what credentials do you have to work with this group? Do you have:
Personal experience?
Professional experience in the field?
Specific education in the area?
A compelling story involving this niche?

In order to market to and serve a niche, you need a connection to and experience with what they do. This is how you will know and understand their issues and be able to offer sound solutions.

Once you consider these three crucial elements, you are more certain of choosing a healthy niche for your business.

Your Client Attraction Assignmentr
If you haven’t picked a niche yet, it’s time! Think about the types of clients you most enjoy working with and what types of businesses interest you. Remember to keep in mind your compelling story, experience and strengths to be sure you are well-suited to work with your new niche.