In business it seems that being everything to everyone is an easy trap to fall into. You need the money right?
The only problem is when you try to please everyone, you actually please no one and the only thing that suffers is your bottom line. It is a scary prospect, saying 'no' to potential clients, but if you are true to your purpose you will know that clients that don’t fall into your niche actually cost you time and more importantly money.
If it is impossible to please everyone, why would you try?
Back to Basics
Narrowing your niche and finding your ideal client makes good business sense and here’s why. If you are clear about the purpose and direction of your business then each decision related to your clients is easy. Having a strategic plan is paramount; if you don’t know where you are heading it’s difficult to make logical decisions. Getting back to basics and creating your annual strategic plan is the first step in narrowing your niche.
Ask yourself these few important questions to find out who is your target audience:
Once this is clear, every decision you make about your products and services is simple: Will this better serve my ideal client?
There is always a but! I need the clients, I need the money, I need to show that I am flexible. Here’s the perfect but: but wouldn’t you prefer your competitor was wasting time and money on a difficult or misfit client?
Wouldn’t it be better for you to spend all your time and money on clients that want what you have to offer?
The Pareto Principle or 80/20 rule is a statistical phenomenon that indicates we make 80 percent of our money from 20 percent of our clients, which means we make 20 percent of our income from 80 percent of our clients. Where do you think you should be spending your time?
Easy to Delivery what your Clients wants
If you decrease the size and specifics of your ideal client to create a niche that fits your product or service, knowing how to service those clients becomes easy.
You are not trying to predict the needs of the masses. You know undoubtedly what your clients want and how to provide it. It becomes less about prediction and more about understanding your clients.
The idea of narrowing ones niche strikes fear into the heart of most business owners and appears to go against common sense, but when you break it down, it is the only thing that makes sense!