If you have followed our blog, you know that we are proponents of niche marketing. Our mantra for challengers of market leaders and rising stars has been, discover and dominate an under served market niche. It is one of the first items we address, when we start working with our clients.
No one person or company can do it all and do it well, regardless of his or her claims. In looking over agent and company profiles, we are always surprised to find how many specialties they list for themselves from REO to commercial and industrial real estate. And, the worst statement is when someone says, “I will sell anything that can be sold!’’
A niche is specialized market segment or a particular market “space”. An example of a niche in luxury real estate would be historic homes. When we were in commercial real estate in Beverly Hills we specialized in high-end retail and the entertainment industry. One of our jobs was to find potential tenants for retail stores and shopping centers that we represented exclusively in the Beverly Hills Golden Triangle, or surrounding areas.
We found an excellent analogy for niches by Ray Wert on his Jalopnik.com blog. He referred to niches “the spaces between the marbles in a Mason jar that is full of marbles”. The Mason jar represents the overall real estate market. The marbles represents the dominant players. If you were to pour sand in the jar it would fill those spaces and there would be a surprising amount of room for the sand. The niches exist in those spaces between the marbles that the sand fills.
To be successful in luxury real estate, you must first identify an uncontested market “space”. The next step is to insure that the niche is financially viable and fits your interests and strengths. Here is an example.
One of our friends loved historical homes. She had bought a historical home and rehabbed it from top to bottom restoring to its original splendor, and then bought and sold several more. This was her passion. She promoted herself legitimately as a historical expert with a proven track record of sold properties. Anyone in her area who was interested in buying or selling historical homes knew whom to call. She had found the sand between the marbles, and dominated the historical niche in her marketplace.
Written by Ron & Alexandra Seigel-
ABOUT: Napa Consultants, International is the leader in brand strategy for the luxury real estate industry. They work exclusively with professionals who are passionate about gaining or sustaining market leadership. With an expertise in personal branding, company branding, luxury real estate website design and social media marketing they help their clients become the breakaway brand in their marketplace.
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