Concentrating all marketing efforts on a small but specific and well defined segment of the population. Niches do not 'exist' but are 'created' by identifying needs, wants, and requirements that are being addressed poorly or not at all by other firms, and developing and delivering goods or services to satisfy them. As a strategy, niche marketing is aimed at being a big fish in a small pond instead of being a small fish in a big pond. Also called micromarketing.
A niche market
is the subset of the market on which a specific product is focusing. So the
market niche defines the specific product features aimed at satisfying specific
market needs, as well as the price range, production quality and the demographics
that is intended to impact. It is also a small market segment. For example,
sports channels like STAR Sports, ESPN, STAR Cricket, and Fox target a niche of sports lovers.