A type of marketing that focuses on directing all marketing efforts towards a well-defined segment of the market (the niche/ market niche). By so doing, it mobilizes its advertising and other marketing mix elements to a small, specific and well-defined audience. Niche marketing, typically applied as a strategy, involves targeting an underserved bracket of customers, while gaining the benefits of brand loyalty.

Niche marketing requires a good understanding of a targeted niche. By definition, a niche is a subset of a larger market, where it (the niche) is characterized by its customers’ unique preferences and needs that distinguish it from the broader/ main market. For instance, the “market painting” sector is broad, but within that market, there’s also special-purpose painting (protective layering, glass-coating, etc.)

In contrast with mass marketing, niche marketing suits big market players that operate in a small or narrowly defined marketplace.