Product Positioning
Niche to Win: The Power of Focusing on Your Ideal Customer in SaaS
While it may be tempting to say "everyone," in reality, niching down always wins. Here's why...
Q: "Who is your ideal customer?"
While it may be tempting to say "everyone"…
In reality, niching down always wins. Here's why...
It may seem scary to niche down and focus on a smaller market, but for many, it will be the key to growth.
🎁 Your product will be better: You can focus on your customer's problem, not a more general solution that has you chasing features for everyone, ultimately making it not a fit for anyone.
💌 You can focus your positioning and messaging: you stand out in an otherwise crowded market. Think "CRM for business" vs "CRM for home services" vs "CRM for residential roofers"
🎯 Your acquisition channels get focused: Whether it's ads, inbound, outbound or partners, everything gets clearer, and when you are not trying to chase everyone, your acquisition costs should naturally come down.
🤝 Internal alignment becomes easier; It's much clearer to everyone on your team why and how you serve your customer.
🚀 Not only will you be able to create a better product for your target audience, but you'll also be able to stand out in an otherwise crowded market. And when you're ready, you can always apply what you've learned to the next vertical.
So if you find yourself answering the question "Who is your target market?" with a broad generalization like "Everyone! Everyone could use our product" I encourage you to get very specific on whom you serve and what problem you solve. It'll be worth it!
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