Niche Marketing Revisited: Theoretical and Practical Issues

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niche marketing research paper

  • Tevfik Dalgic 4 &
  • Maarten Leeuw 4  

Part of the book series: Developments in Marketing Science: Proceedings of the Academy of Marketing Science ((DMSPAMS))

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The mass markets of previous decades have splintered into smaller market segments or niches, in which companies could be safer from cut-throat competition and explore new market opportunities. Although part of a positioning strategy, niche marketing may be used as a deliberate marketing strategy to create “safe havens” and business opportunities for many companies. This paper aims to analyze the basic issues, different methods and ways of applying the niche marketing approach.

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Tevfik Dalgic & Maarten Leeuw

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Dalgic, T., Leeuw, M. (2015). Niche Marketing Revisited: Theoretical and Practical Issues. In: Levy, M., Grewal, D. (eds) Proceedings of the 1993 Academy of Marketing Science (AMS) Annual Conference. Developments in Marketing Science: Proceedings of the Academy of Marketing Science. Springer, Cham. https://doi.org/10.1007/978-3-319-13159-7_32

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Please note you do not have access to teaching notes, niche firms and marketing strategy: an exploratory study of internationally oriented niche firms.

European Journal of Marketing

ISSN : 0309-0566

Article publication date: 13 November 2009

This paper aims to explore how internationally oriented niche firms define and choose their markets and customers and how they position their products, and thereby add to the limited research knowledge regarding niche marketing.

Design/methodology/approach

The paper presents exploratory research based on structured in‐depth interviews of key informants in five firms.

Niche firms do not seem to follow the STP‐process. The selection of customers and markets is the result of tradition, chance or the firm's production philosophy, and the firms make few attempts to position their products. The firms rely on resource‐based advantages, high‐quality products and personal relationships when competing in the market.

Research limitations/implications

The selected methodology makes these results alone unfit for generalising to a larger population. Improved theoretical models are needed for generating more knowledge about niche firms and their efforts in crafting marketing strategies, possibly by extending relationship marketing theory.

Practical implications

A niche firm's marketing strategy should be based on a customer‐valued competitive advantage and differentiation should be applied in terms of both intangible and actual use criteria. Niche firms should strive for long‐term, personal relationships and customer commitment. Also, there seems to be some room for following one's own personal convictions and ideas when crafting a marketing strategy, even though this approach certainly is not in line with the structured marketing strategy process suggested in textbooks.

Originality/value

This study offers exploratory findings on how export‐oriented niche firms define and choose their markets and customers, and how they position their products. The standard STP‐process as proposed in general textbooks is not appropriate for international niche firms.

  • Niche marketing
  • Marketing strategy
  • Product differentiation
  • Small enterprises
  • Product positioning
  • International business

Toften, K. and Hammervoll, T. (2009), "Niche firms and marketing strategy: An exploratory study of internationally oriented niche firms", European Journal of Marketing , Vol. 43 No. 11/12, pp. 1378-1391. https://doi.org/10.1108/03090560910989948

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Copyright © 2009, Emerald Group Publishing Limited

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