Introduction to Niche Markets in Singapore

By
Writers@Aspire
Published
November 16, 2020

If you are an aspiring entrepreneur who is looking to break into the online retail space, you might be thinking, “I should sell a product that appeals to the masses.” After all, the larger your potential customer base, the more likely you’re likely to gain sales.


While targeting the mass audience is a sound business strategy, it would be unwise to disregard exploring niche markets. Technology has transformed the retail sector in today’s hyper-saturated and competitive space. If your brand has not already positioned itself as the go-to brand for a certain product, there is little that would set you apart from the multitude of online retailers.


When you cater to a niche market, you provide for an underserved population with a unique product. You can establish brand credibility and expertise, without compromising on your ability to later cater to the mass market.


If entering and engaging with niche markets in Singapore sounds like something you would like to explore, read on to learn more.

What is a niche market

A niche market is a specialised segment of a larger market for a particular product or service. Unlike mass markets, niche markets can be defined by their own unique needs and preferences. The goal is to satisfy the specific market needs of a targeted consumer group.


Almost all markets can be further refined into specific niche segments. Markets can be differentiated into niche markets by:


  • Price point (e.g. discount, mid-priced, luxury)
  • Level of quality (e.g. mass-produced, premium, handmade)
  • Consumer demographics (e.g. where they live, their age, gender, education and income level)
  • Psychographics (e.g. values, interests, attitudes)


Niche Market Examples

  • Fashion rental services
  • Home Organisation
  • Foundation and concealer shades for darker skin tones
  • Clean and vegan beauty
  • Fitness and weight loss

How to find the right niche market for you

Ideally, the niche market you pick is part of a sector you have expert knowledge of and interest in. It also should have a viable number of potential customers. While there’s no one way to go about ideating for a niche product, here is one way you can embark on your search.

Step 1: Google search for niche market examples

On Google Search, simply type in suggestions for the niche market you think you would want to explore. Play with the search engine’s options to include filters, exclude branded keywords and view suggestions for other recommended terms.


For instance, you could look into bespoke furniture in Singapore


Step 2: Refine your product ideas with a mind map

Then, list down possible niche markets on paper and narrow your product idea down further. If you are struggling to come up with product ideas, consider organising your thoughts with a mindmap. Keep branching out and exploring different ideas and angles on your mind map until you find an underserviced audience or gap In the market.


Source


Step 3: Use keyword tools to ensure there is demand

You can use keyword search tools such as Keyword Tool or Google Trends to gauge existing interest levels. What you are doing here is ensuring the market-fit of the product you have chosen. Make sure to adjust your keyword search settings for Singapore only.


Keyword search tools can also aid your Google search for niche market examples!

Keyword Tool has a paid option you can use to track search volume


If you’re racking your brain but still can’t up with ideas, look up the latest trending product ideas and start there.

Niche market strategy: how to engage with consumers

Now that you’ve chosen a product, selling it is the next challenge. Your goal is not only to put the word out that your product is on the market, but also to make it easy for potential customers to say, "I need to buy this.”


Here are some niche marketing strategies you can employ to better engage with consumers:

1. Use segmentation to know your customers inside out  

What you’re doing with customer segmentation is dividing your customers into smaller groups based on common characteristics. Effectively, you are creating in-depth profiles for different consumer types. With this data, you can tailor your marketing campaigns to best appeal to your audience.

2. Get extremely specific with keywords

Focus on keywords and outrank your few competitors on Google. Invest in SEM. Make sure your website is SEO-optimised. Get extremely specific with organic and paid keywords. Being more likely to show up on the top of searches equates to more clicks to your website and sales.


People who browse your product already know what they want, they just need to be directed to your site.

3. Listen to your customers

Whenever possible, get your customers to leave you feedback through reviews or surveys. Remember: any business decision you make should be informed by customer-based statistics. Use their feedback to tweak your services.


Additionally, aim to provide them with the best service possible. A happy customer is likely to refer you to friends. With niche markets, the power of word-of-mouth advertising truly goes a long way.


4. Buy targeted ads on social media platforms

One way to engage with your intended market is via targeted advertisements on social media platforms such as Facebook and Instagram. It increases brand awareness and puts you in touch with new audiences.


Based on the information collected by these social networks, users who are mostly likely interested in your product will be shown your advertisement.


If you notice you receive higher customer engagement on one particular social media channel, run advertisements on and conquer that platform before expanding your online presence to other channels.

Niche Market Strategies

Ultimately, the niche markets in Singapore remains a lucrative option for those seeking to enter the retail sector.


Stretch your marketing budget by using the Aspire Corporate Card to get 1% cashback on all digital marketing and Software-as-a-Service (SaaS) purchases. View the full list of eligible merchants here.


To get this free virtual card which has no annual fees or hidden charges, register here.

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