What's a Niche Business?
"Put all your eggs in one basket and then watch that basket very carefully" – Is a popular idiom that was refurbished and used by the popular investor Warren Buffet. It is hard for most people to do this because of the risks involved. However, with focus and the urge to go beyond the limits, anyone can do it without much risk.
If planning to start a niche business, you must be willing to concentrate "all your eggs" in one basket. By using the term 'all your eggs', I refer to pulling all your resources together to ensure that you run a successful business.
Niche Businesses as an Industry
A niche business is as a small segment of market that targets a particular group of people with a specific interest, desire or passion. The aim of a niche business is to satisfy specific needs, price range, demographics and production quality intended for that particular group of people.
It is the complete opposite of a shopping mall where one can find all sorts of products and services. With a niche business, a customer is definitely going to find specific or related products and services. For instance, a beauty store can be considered a niche business because it sells products or services related to beauty.
Niche businesses as an industry have managed to be more popular than other forms of businesses because they provide exceptional opportunity for the owner to establish better relationship with their customers, resulting in higher consumer loyalty and potentially long-term consumer.
Niche Products and Services
These are products and services that enable a niche business owner to satisfy his / her chosen market where others cannot. To simplify this, niche products and services are things that your targeted people would want to buy to answer their specific problem.
In some cases, niche products and services can be narrowed down into a micro-niche. For instance, if you are a fashion business, you can break down your business to women's wear, men's wear or children's wear. These are more detailed categories in the fashion business.
The same applies to service providers. If you are a hairdresser, you can also be a cosmetologist or a barber. Micro-niche is a common term that you will come across several times as you continue to learn more about niche marketing.
Tips on How to Find the Right Niche
The first step when planning a business is to determine a target group of people and reasons they would buy from you. It seems a simple task, but you should be in a position to understand the products or services you will be selling and to whom.
If you are not sure about what involves a niche business, then you should revisit your business plan. The following are tips to help you identify what your business has to offer, your target market, and how to build a niche from there.
Unique product or service: If you are going to start a niche business, you will need a unique product or service because you want to be the only one selling that particular product or service. You should come up with a product or service near the borders of unsatisfied needs. For instance, you may want to concentrate on creating hand-made fabrics or outfits, which most costume clothes stores or large retailers don't supply.
An already available niche: Niche markets are small markets with many players. Therefore, when finding the right niche, remember to choose a niche that is already available before you find yourself out of the game. For instance, if you are planning to start a pet-food related business, you need to research carefully the size and competition of that market to find out if there is room for a new business.
Choose wanted products or services: You may be having magnificent products or services, but if no one wants to purchase them, all your efforts will be in vain. For instance, if no one is selling any type of street food along your block, it does not mean it is a good idea because of health-related risks involved.
Additionally, the niche market of people likely to enjoy street food is smaller around your block compared to other places. This means that there must be significant demand for your product or service for your business to be profitable.
No matter what product or service you want to sell, the most important thing is that you satisfy your target market in order to make the business profitable. You can also choose to go with franchising, which has more benefits than risks.
Benefits of Owning a Franchise
As an entrepreneur, you already know the definition of a franchise. However, if you are a potential entrepreneur, here is the definition. A franchise is defined as a right granted to a person or group of people to market certain goods or services of a particular company within a specific location or territory.
There are many types of franchises, although the most popular ones are fast-food related such as Domino Pizza, Subway, and McDonald's. However, before you choose to go with franchising, you need to understand the following benefits.
Name recognition: This is an obvious benefit business owners get from franchises. Usually, startup businesses take years to establish their brands because they are not guaranteed that customers will recognize them as giant players in the marketplace. With franchises, new businesses benefit from instant name recognition. However, this can be tricky, especially if the business is new in a certain area.
Proven strategy: While most new businesses struggle to create a reliable and lucrative business plan, franchises have proven to be profitable over the years. However, even with such a benefit, it is important to do your homework carefully. Find out how potential is the franchise you want to get involved with before buying one.
Help for businesspersons: If you get involved with a certain franchise, it will help with starting up and running your business afterwards. The franchise will provide you with all the requirements you need, and management and marketing strategies.
Purchasing power and profits: Owning a franchise brings along the purchasing power of the original company. In addition, profits made from a franchise business are huge.
How to Determine Whether Owning a Franchise Is Right for You
Purchasing a franchise offers several benefits to the new owner, although it does not mean they are better options for everyone. While most people wish to own a franchise, others reject the option of owning such type of a business because of the factors involved in franchising.
For starters, franchisors will never allow you to get involved in most business decisions, which limit you from having important input that may improve the franchise. Besides, franchises are also expensive to buy and most of them require scheduled payments that would affect your profits.
Ask yourself if you want to go through the training process or participate in occasional training processes in the future. If you are not aware, franchisors also limit you by restricting your business vendors, and contacts you can utilize. In addition, if a franchisor fails, you also go the same way.
Things to Consider When Purchasing a Franchise
There are several things to consider if you wish to purchase a certain franchise. For instance, you should consider the consumer demand for the product or service of the franchise you want to buy. The financial strength, financial interest, financial profile, and nature of the payable fees are also things to consider. Other things include market research capabilities and intelligence of the franchisor.
The 50 Niche Franchise Business List
1. AdviCoach- As business development professionals, AdviCoach specializes in helping small to mid-sized business owners fulfill those dreams, help discover a clear way forward and hold them accountable to meet their short and long-term goals.
2. BeneTrends Small Business Funding- Benetrends offers a full suite of funding options to help entrepreneurs get the funding they need for their small business or franchise with our revolutionary Rainmaker Plan®. The Rainmaker allows an entrepreneur to use their qualified retirement plan to purchase, or recapitalize a business or franchise, tax deferred and penalty free.
3. Best in Class Education Franchise-Best in Class Education gives top-of-the-line education from quality instructors and offer a fully customizable approach towards learning that is sure to move your children toward the head of their class.
4. Brain Balance Achievement Centers- Brain Balance Achievement Centers offer the Brain Balance Program® in 54 countrieswide locations. It is an individualized and comprehensive approach to helping children with neurobehavioral and learning difficulties surmount their unique challenges.
5. Bricks 4 Kids- Bricks 4 Kidz classes provide an extraordinary atmosphere for children, where we learn, we build, we play. Our specially designed project kits and theme-based models provide the building blocks for the Bricks 4 Kidz approach to educational play.
6. Charter Financial- Charter Financial is a national purchaser of Structured Court Settlements, Lottery Winnings, Annuities, Seller Financed Business Notes, and Privately Held Mortgages.
7. College Prospects of America- College Prospects of America is the most respected sports marketing service for high school student-athletes throughout the world. We help athletes find the best education at the best possible price, while allowing them to continue to participate in a sport they love.
8. DigiKids Child ID- The DIGIKIDS Child ID delivers peace of mind with the most advanced and effective child safety program available today.
9. DocPopcorn- It is a smile spreading, planet respecting, all-natural healthier snack alternative. They offer nine all-natural mouth watering flavors.
10. E-Path Advisors Franchise Consulting- E-PATH Advisors offer great franchise business ideas and advice to every serious potential business owner.
11. EcoBizCheck- EcoBizCheck is a global technology-based environmental certification program for business.
12. Fast Fix Jewelry and Watch Repairs- serves all jewelry and watch repairs needs. Every location is staffed by expert Jewelers and certified Watch Technicians to provide you with professional jewelry repair and watch repair.
13. Fetch Pet Care Franchise- Offers professional, reliable and loving dog walking, pet sitting, cat visits, boarding, and other pet care services.
14. Fleet Services International- Provides clients (corporations, business, and governments) with the necessary service of maintaining their fleets of vehicles in a very unique method, saving them money and increasing their efficiency of operations.
15. Foodie Kids Cooking Franchise- Offers a drop-in cooking activity center, a birthday party destination, and a one-of-a kind children's kitchen gift store.
16. French Fry Heaven-Serves the best French fries in the world.
17. Home Video Studio Franchise- It is chock-full of people who have decided to turn their passion into profession. They invest in themselves, take control of their lives and are their own boss in the fun and creative environment of video production services.
18. HydroDog Mobile Grooming- Offers dog grooming services which come fully equipped with the essential tools to wash, clip and groom your dog.
19. Interstate All Battery Center- Supplies customers worldwide with top quality, value-priced batteries, related electrical power-source products, and distribution services.
20. IronDrive Garage Floor Coat- Specializes in garage floor coating. Prepares and installs your residential or industrial & commercial garage floor in the color of your choice.
21. K9 Resorts- K-9 Resorts offers the finest in overnight accommodations for your pet.
22. Lavida Massage- LaVida Massage is a gender neutral health and wellness center offering affordable therapeutic services for the whole family.
23. Mathnasium Learning Centers- Mathnasium is a math learning center dedicated to teaching math to private and public schools.
24. Medical Staffing Consultants- Medical Staffing Consultants, Inc. (MSC) specializes in helping individuals and companies start up medical staffing businesses.
25. Monkey Bars Garage Storage- Monkey Bars Storage crafts the finest in garage storage and garage organization products.
26. Monster Tree Service- A Southeastern Pennsylvania tree care company founded on values and built on integrity.
27. Mosquito Squad- For quality professional mosquito control.
28. Mosquito Terminators- Mosquito Terminators offers safe mosquito control for your yard using natural insecticides for our mosquito barrier and mosquito misting systems.
29. National Property Inspections- The company provides training in primary building inspection methods for its franchisees, such as, electrical, heating and cooling, plumbing, and structural systems.
30. Orkin Pest Control- Offers termite inspection & pest control service needs.
31. Outdoor Lighting Perspectives- Offers unique outdoor lighting for commercial and residential properties that are energy efficient, compatible with most existing lighting systems.
32. Paul Davis Restoration Franchise- Gives you an opportunity to profit from the huge potential of the insurance claims industry.
33. Pinch A Penny- Pinch A Penny is the largest franchised retail pool, patio and spa company. Pinch A Penny carries a wide variety of swimming pool products such as chemicals, equipment, patio furniture, giftware, toys and floats for the pool.
34. Pirtek USA- Provides an on-site hydraulic hose repair franchise business which includes product guides, locations, news, franchise application, FAQ and testimonials.
35. PooPrints Pet Business- It is the only proprietary DNA pet waste management and control program used in apartments, condominiums, and homeowners associations all across America to prevent dog waste issues at the source.
36. Planet Beach Contempo Spa- Provides convenient, affordable and self-automated spa services to help you achieve total skin care, wellness and stress relief.
37. Rapid Recovery – The Rapid Recovery Program has been designed to optimize all aspects of a patient's journey from pre-operative assessment through to and beyond discharge.
38. Roof Roof- Roof Roof is a leading national roofing contractor dedicated to exceptional customer service and superior workmanship.
39. Sanrio Retail Store- At Sanrio, we believe that a gift is more than just a gift (a gift is a means of expressing our heartfelt feelings for others). This philosophy guides all Sanrio activities, whether we're designing a stationery set, a retail store, or an animated television series.
40. Security 101- Security 101 provides "Best-in-Class" services for many of the nation's leading market segments. We have designed, installed and serviced thousands of systems from a nationwide network of offices always providing a quality and standardized customer experience.
41. Signs By Tomorrow- Signs By Tomorrow is the leading custom sign company; designing and manufacturing high impact signs, graphics and signage systems.
42. Sing your name-Offers personalized gifts and music CD's around the world.
43. Space Walk Inflatable Party Rentals-Space Walk, America's leading provider of inflatable fun, has over 40 years of experience unlocking the success of people like you across the United States.
44. Sprayless Scratch Repair- Sprayless Scratch Repair (SSR) is the nation's leading manufacture and distributor of Automotive Sprayless Scratch Repair Systems.
45. Start Med Staffing- specializes in helping individuals and companies start up medical staffing businesses.
46. Sushi Freak- Sushi Freak is the ORIGINAL create-your-own sushi roll brand.
47. Expense Reduction Coaching- Expense Reduction Consulting offers solutions that save businesses thousands on their monthly and yearly expenses.
48. Fastsigns International Inc.- Offers sign work across the globe. The company does not offer any electrical sign work.
49. TapSnap Photo Kiosk- It is the photo booth for the digital era.
50. SAFE Storage- We help make your self storage experience easy and convenient. We help in all your Home and Business Storage needs.
51. The Grout Experts- The Grout Expert is a professional grout, tile and stone services company. Offers cleaning, maintenance, repair grout of bathrooms and kitchens.
52.Touch Up Guys- Touch Up Guys specialize in bumper repairs, scratch repairs, car paint repair, panel beating, stone chips and car detailing.
53. USA for Healthclaims Medical Billing- We help individuals to start their own successful Medical Billing Business from the comfort of their homes. We offer the most sophisticated medical billing program.
54. Waka Social Sports – Offers one of the most exciting, low cost, high "fun" franchises in the marketplace.
55. Window Genie-Offers window cleaning services. Provide a complete and thorough check and care for your home or office.
56. Zoup Soup- Offers award-winning soup recipes with 12 rotating daily varieties, including low-fat, vegetarian, dairy-free, low-points and spicy options.