If you want better projects with bigger budgets, choosing a niche will help you. But not just any niche. It must be viable. In my latest article for FunctionFox, I recommend you ask yourself these 5 Questions Before You Commit to a Niche. Here is an excerpt:
Do you want better projects with bigger budgets?
The way to get them is to specialize. As a specialist you can charge more money, be more memorable to clients, feel less scattered in your own marketing efforts and save time for everyone involved. Finding your niche, however, is an art. And once you find it, you have to make sure it’s a viable niche. Here are 5 questions to answer before you commit to a niche:
- Is the Niche Growing?
You need to know the current state of this niche. If it’s in a growth mode, it may be a good time to enter. If not, you might be better off waiting and watching until things turn around. A niche is viable if it is growing, not shrinking. Choose healthy niches that are growing (like healthcare, technology and financial services currently). How do you find out which industries are in growth mode? You study the business media. You follow the trends to see what’s growing. You can even ask the people in it!
In a growing niche, also look at what size and what types of projects are available. Are they the kind of projects that you enjoy and are capable of doing? Or do the projects conflict with your values or with existing client relationships?
If you are passionate about a niche that is shrinking, there might be enough work in it for just you, but it’s probably not going to pay very well. What is the evolution of the niche that is shrinking? What is the next thing? What is it turning into? Don’t get stuck in what once was. Look at where things are now – where they’re going.
- Does the Niche Know it Needs Your Services?
You may perceive a need or see a group as a perfect niche for your services, but if the niche itself doesn’t perceive that need, it isn’t worth your time trying to convince them.
Are there other service providers like you already serving this niche? If not, there may be a good reason. There’s either no need, or this niche doesn’t value services like yours. This is a very important piece of information that can save you a lot of time, so find out as much as you can. Answers to all of these questions can be found by attending an event or two, starting an online discussion or reaching out to people you find online.
Need guidance in picking a niche? Check out the NEW! The Pick a Niche Kit.
* Questions, courtesy, Shutterstock.