Last week’s post detailed what a Capsule Wardrobe is and how I created mine. At the same time I created my Capsule Wardrobe, I was on a journey of simplifying my business. I was thrilled to realize several parallels between my Capsule Wardrobe and my simplified business focus. You might almost say that I discovered a Capsule Business Niche.
One “aha moment” about the Capsule was when I realized that I needed to carefully consider what I put in my capsule because I would have to live with it and wear it for three months. I realized that if it isn’t something that I loved or didn’t bring me joy I would quickly tire of the item during those three months. Also, I want quality things in my capsule, and I find that I should spend a little more to buy what I really love because I know I am going to wear them many times and won’t be frivolously spending money on any other clothing pieces during the season.
I carefully considered what I selected for my Capsule and realized this is similar to choosing a niche for your business.
It’s been said that:
Finding a niche is one of the best ways to increase the profits in your business. Standard ways to niche are:
- Who-The customer or client you serve
- What-The product or service you offer
- Where-The market where you appear
- How-How you go about providing your service or product offering
It is important to niche your business because you will be spending about 90% of your time in the who, what, where and how. Also, it helps whittle down the competition as your business niche clearly identifies whether you are the best fit to a potential customer.
In determining your business niche, it is critical that you carefully evaluate whether you are energized by the customers for whom you work. Do they make you excited to come to work everyday or are they a drag on your energy? When you think about the product or service you are offering, is it your best work? Is it what you are truly gifted in-your core competency? How about the market you serve? Is it one that you love and are passionate about or just the most convenient when you started the business? What about the “how”? Do you go about your work in a special way that sets you apart from the competition?
Have you niched your business? What kinds of successes or challenges have you seen from doing so? Please leave a comment to let me know!