How a niche market can boost your financial service
Written By: Alice Robinson
Competition in the financial services industry has been rising rapidly over the past few years. With this increase in competition, it is a good idea to specialise your services around a niche market to ensure you have ongoing differentiation from competitors and a consistent client base.
There is already an abundance of financial services aimed towards markets such as start ups, small businesses, corporations and individuals. Those general markets are well and truly saturated. But move into more specific industry areas such as agriculture, retail, cafes, wedding planners and your potential client base is already improved due to the pure untapped nature of these specific industries.
The benefits to your firm through taking this approach are numerous. Let’s use the cafe industry as an example.
You specialise: Since you mainly work with cafe owners, you know exactly what can be involved in that particular business; what kind of assets they may have, what their cashflows may look like, what their expenses may be, what potential investments could be a good idea. Your financial advice will be well informed and specific to their needs and your clients will value your knowledge, your efficiency and your experience.
You boost efficiency: If you focus on one specific industry, your bookkeeping process will be streamlined and you will not have to take time to build an understanding of every general industry that you work in before giving financial advice. Of course you will always have to understand your individual clients and their businesses but your understanding of these will be developed and strengthened by your expertise in their general industry.
Work with an industry that interests you: Often business owners become business owners because they want to be able to work in something they are interested in but this is not always possible. For example, starting a cafe can be difficult for a coffee-loving accountant who has never worked in the hospitality industry before. But if you are good at finance and what you do, why not specialise your skills to assist others in that industry that fascinates you so much.
If you want help finding your own niche, the Growth Focus business advisers are more than happy to sit down with you and help you find options that not only interest you but will also provide profitability and growth well into the future.