Revision:Niche Marketing Vs. Mass Marketing

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Niche Marketing

This is where firms concentrate on selling to a small market, due to this costs can be kept low because of the savings made by specialisation. IT is usually used by smaller firms as they can concentrate on establishing a strong image and position in their niche. Also niche markets are usually ignored by larger multinational firms, who are not interested in the low sales volume yielded by a small segment. This is the importance to the smaller firm operating in a market niche of being "unimportant" , i.e. the larger firms do not see these small firms as a threat and ignore them. Thus the smaller firms can operate without the fear of being put out of business by the larger firms. A good example is Rolls Royce who specialise in the luxury automobile niche. This is proven by the fact that you do not see Rolls Royce cars in showrooms , but instead they are available only on order. -*edited by memrox92

Mass Marketing

This is the total opposite to that of niche marketing, in mass marketing a firm will try to accommodate as much of the market as possible. However doing this means you have to ignore certain area’s of the market as you cannot accommodate the whole thing. Mass marketing usually involves marketing different products to different groups of people or promoting the same product through different means. An example of the former is the way banks now work, they have separate accounts for students and teenagers, and others offering different services for different purposes.

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