TF3 #005

7 steps to help you niche down as a service provider

Published on
February 28, 2023
Read time
2 min 6 sec

How to create a profitable niche for your service-based business?

A widely discussed topic that's overlooked by most service providers, especially freelancers. There is a misconception that you need to FIND your niche. Actually, a niche needs to be built and refined over time.

And all comes down to these 7 steps.  

1. Conduct market research

Find an underserved market where your skills and expertise can make a real impact. Identify opportunities and find ways to fill that gap.

2. Define your target audience

An audience who feels an urgent need for your service, not a sheer desire. Where are they spending their time? What preferences, behaviors, and pain points do they have?

3. Identify a profitable niche market

Find a market that matches your business goals, has high growth potential, and has few competitors. Determine if you can dominate a sub-niche in that market.

4. Refine your niche

Narrow down the niche by looking for areas where you have a competitive advantage or where you can provide unique value to your customers. This can involve focusing on a specific service, product, or type of customer.

5. Test your niche

Before committing to your niche, test it by offering your services to a small group of customers or running a pilot program. This can help you identify any potential challenges or issues and refine your niche further.

6. Marketing strategy

This can include creating content that addresses your target audience's pain points and interests, building a strong brand, and using social media and other digital marketing channels to reach them.

7. Measure and improve

Finally, measure your results and adjust your strategy by using a feedback loop strategy. That allows you to continuously improve your offering and marketing strategy.

The secret to finding your niche

In this short  video Sunny Lenarduzzi shares an interesting point of view about finding your niche.


Sunny notes that you must identify the transformation you're providing, the specific audience you're targeting, and the journey you're taking people on.

She gives Apple as a prime example - they understood the intrinsic desires of their ideal clients to be disruptors, rebels, unique, and creative. To stand out in your business, subtract yourself from the noise and comparison game and tune in to what makes you unique. Know the exact one person you're trying to attract, understand how they think, and the transformation they desire. Test, learn from mistakes, and better serve your clients to create a successful business.

Remember, being a generalist and trying to attract everyone is like fishing. You might catch a fish once in a while, but not the right one.

Weekly Challenge

This week, I challenge you to take the first step and conduct market research. Don't overthink it. 1 day should be enough to get you started.

Block that day in your calendar and find 5 service providers in your market.

Find all their online presence, from their website, YouTube, Google Maps, and Social Media channels. Read the comments, reviews, and testimonials they have. Identify gaps and unmet needs that you can solve. You might be surprised how many insights you will find.

Ask me anything about the challenges you face niching down, and I'll give you an answer that may help you solve it.

Until next week,

Pura Vida!

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