Niche market strategy for a mature marketplace
Authors: Parrish, Erin D.; Cassill, Nancy L.; Oxenham, William
Source: Marketing Intelligence & Planning, Volume 24, Number 7, 2006 , pp. 694-707(14)
Publisher: Emerald Group Publishing Limited
Abstract:<B>Purpose</B> - To examine how companies in the maturity stage of the product life cycle can implement and maintain a successful niche market strategy to increase competitiveness in the face of new competition, with particular reference to the global textile industry. <B>Design/methodology/approach</B> - Responsible executives in eight firms in the textile and apparel/clothing sector in the USA were interviewed face-to-face or by telephone, or completed an online questionnaire. The sample contains leaders in the industry. <B>Findings</B> - Research results suggest that niche marketing is an effective strategy for countering price competition in a mature industry and can use a niche market strategy. They identify key success factors, the most important factor of which was found to be a thorough understanding of the targeted consumers. It is concluded that the marketing mix plays a more important part than is generally suggested in the literature, by communicating non-price product attributes to the niche market. <B>Research limitations/implications</B> - The small sample limits generalization beyond the companies that participated in the study and comparable firms in the US textile and apparel/clothing industry. <B>Practical implications</B> - This research study shows, within its limitations, that niche marketing is a promising global competitive strategy for mature industries. The study proposes practical guidelines for putting it into practice. <B>Originality/value</B> - This study generally confirms the literature, but comes to some original further conclusions.
Document Type: Research article
Publication date: 2006-12-01
- Incorporating Journal of Marketing Practice: Applied Marketing Science