“Can I sell my products or services?” “Who will buy what I sell?” and “How do I know if my products or services have value?” The answer to all of those questions lies in market research.
“Market research” is a term used to describe a broad range of ways to find out information about target customers, competitors and industry. When doing research, it is important to be clear about which aspect of the market is the subject of the research: customers, competition or industry.
A niche is a narrow subsection of the market that is not being served or not being well served. Even though it is narrow by nature, it should not be so narrow that there are not enough customers to sustain a business. The most profitable niches are low on competition and high on demand. The next question might be, “Why is it useful to carefully define a market and focus on a niche?”