Ralph F. Wilson, the so-called “godfather of Internet marketing,” compared the Web to the wailing wall of Jerusalem. From a distance, it seems like a huge monolithic structure. Up close, you see all sorts of crevices in the massive blocks. The secret to niche marketing on the Internet is finding the right crevice — that is, the most appropriate product or service to fill a universal need.

The ideal online product or service has five key characteristics:

1. It enables a high profit margin.
2. It can’t be purchased anywhere on the Internet but from your site.
3. It delivers by digital download (e.g., legal documentation, a ticket to an event, or a computer program that you purchase).
4. It saves customers both time and money versus traditional integrated marketing sales channels.
5. It must be purchased regularly.

Few products or services combine all these elements, of course. However, each one should be considered as you determine how to present your business, or a segment of it, online. It’s also important to have a unique value proposition. Ask yourself: What am I selling? What is unique about my product or service or the way in which I sell it? Then explain it again, in one sentence.

Look at every aspect of your business. What is the history of your business? What is the image of your product or service? Which competitors pose the biggest threat? Answering these questions will help you develop a framework for your Internet niche marketing strategy — a strategy that should be reviewed constantly.

Permalink: http://www.fuelnet.com/?p=185