Niche — Why it is more important now more than ever to build a Unique product/brand!
A lot of us are too lost, too confused and too scared to stray away from a “larger” audience, whatever the larger audience entails to be.
If you consider the majority of the Indian Youth (~ 18% of the estimated 1.35 billion people ), the percentage of persons who want to pursue a technology-related career takes the lion’s share. While we, as a country, need technology-focused workforce to address the increasing IT demands of the population — what with the dotcom bubble, followed by a bludgeoning adoption( ~ 25% of 1.35 billion people) of smart phones in the country — thanks to Jio launch in 2016; our country is ironically starved of these resources, as the consumers for most of the products built by these technology-driven folks is the United States ( ~ 66.7% of India’s IT exports). While the businesses are actively identifying opportunities/pain-points of the Indian demographics, the sector remains starkly ignorant (read : lack of research) to meet the needs of a diversified population — hence the need for individuals from diverse backgrounds who are unique brands in themselves that cater-to or work towards a shared goal of addressing the country’s increasingly diversified demands.
Take Nykaa, for example. For starters, Nykaa is an e-commerce website offering beauty and wellness products from all the leading brands such as Lakmé, Kaya Skin Clinic, L’Oréal Paris and many more. Its target audience is heavily focused — folks (Predominantly women) who are in the age-group of 22–35. How simple is their business model? Exceedingly simple! You take a very specific section of a population and cater to their needs. Now, who are women in the age-group of 22–35? Mostly young graduates and professionals, out paving a career for themselves. What do all these women want? To look good. What exactly are they looking for? Everyday cosmetics that are not too heavy on their pockets. And, Voila! You have just cracked the Cosmetic Industry problem for Young Women in the country. Now all you have to do is “Get Their Attention”. Enter — Content Marketing, YouTube Channel and Discount Coupons and Offers. And, the most effective strategy after all these is “Word of Mouth”. Nykaa offers a straight 40–50% discount on branded cosmetics. How convenient for women who don’t have to scour through websites to purchase a simple mascara for that date on Friday — thanks to their expedited inventory-based business model.
Another excellent instance of catering to specific consumer needs while also simultaneously building on the brand value— strategic placement of Lakme salons near to Women-centric colleges. Have you ever traveled from Chennai to Kancheepuram for a wedding, and wanted to do a makeover while on the way? Fret Not! You will definitely find a Lakme Salon adjacent to the plethora of Medical colleges of Women along the National Highway connecting Chennai to Kancheepuram. Think of what kind of an impact this kind of a set-up has on the women in these colleges — a) Brand association, where their likelihood of re-visiting a Lakmé salon in the future increases b) Free brand marketing via Word-of-Mouth, thanks to the variety of services at reasonable prices. For all I know, Lakme Salon has been expanding across the country at a steady-rate (One should follow their Twitter Page for regular updates on their aggressive expansion)
Big-Basket and Grofers : While one is a market leader that invests in its own warehouses and cold storages to stock fresh produce (Niche), the other uses delivery boys stationed in each local market to get the items ordered online from local kirana shops and deliver these within a few hours. Grofers, then, make their money by charging neighbourhood shops a commision. Very specific, very niche. You don’t have to search through Amazon’s/Flipkart’s vast arena of Tech products to find that Atta to prepare rotis for tonight. Not many people even know that grocery sells on Flipkart, let alone even purchase them.
Hrithik Roshan is a brand in himself. When his debut movie was released, women ( across all age groups) were going nuts — which is a population of ~500 million people at the time. His brand value increased so much, that he was invited to a Cricket Match to increase the footfall in a stadium. A never-before-seen phenomena indeed, for India is a Cricket-crazed nation. His signature style/persona is unique and cannot be easily replicated – A rich father, Greek-God level good looks, an awe-inspiring worked-out physique, the right attitude, charisma and insane dancing skills. Combine all that and we have the brand “Hrithik Roshan”. Some have tried to emulate him and have failed miserably. Now, he is using his brand-value to promote another brand called HrX, which is a suite of Gym-wear and gears for women/men, who are looking at reasonably priced products. Taking his fitness mantra to a whole new level altogether. Again, so niche.
The idea is to attain a Product-Niche fit before attaining a Product-Market fit. The product that immediately comes to mind is Facebook. Facebook started out as a social networking platform for College students, before soft launching and expanding to the whole world. In that regard, the Future is Specific. Not Generic. Cater to specific sections of the population with unique needs and research them. Extensively. And, you have built a product that can add value to both your life as well as the varied Niche segments.
