Starting a business is no easy feat, but growing it to become a successful startup is even harder. With so much competition in the market, it can be a challenge for founders to stand out and make a lasting impact.
However, one strategy that has proven to be effective in driving cost-effective, long-term success is leveraging niche communities.
A niche community is a group of people who share a common interest or passion, often in a specific product or service. By targeting and engaging with these communities, startups can tap into a pool of loyal and engaged customers who are already interested in what they have to offer.
Having built two global online education companies surrounding learners, clients, stakeholders, and everyone in between, here’s how I’ve witnessed the advantages of targeting niche communities.
High levels of engagement
Niche communities are often highly engaged, with members who are passionate about their interests and actively participate in discussions and events. This makes them a valuable source of feedback and insights for startups looking to improve their offerings.
Uniswap, the decentralised exchange that has disrupted the cryptocurrency trading landscape, has created high levels of engagement with its community through a combination of innovation and community-driven initiatives.
The platform’s decentralised structure and user-friendly interface have made it a hit with traders and investors who are looking for a more accessible, secure, and transparent way to trade cryptocurrencies and tokens.
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The team behind Uniswap has been proactive in engaging with its community, hosting online discussions and hackathons, and working closely with developers to improve the platform. In January, 80 per cent of token holders supported the decision of the platform to expand to the BNB chain. The result is a passionate community that is invested in the success of Uniswap and that is driving the platform as a unit towards new heights of innovation.
Increased visibility
Targeting niche communities allows startups to reach a focused, relevant audience rather than trying to appeal to a broader, less engaged audience. This can result in higher levels of brand awareness and increased visibility for the startup.
StartJPN, an emerging Web3 community with over 19,000 Discord members predominantly from the Japanese and Philippines markets, has increased its visibility and growth by cultivating a passionate and dedicated niche community.
The project, which is focused on bringing blockchain technology to Japan and empowering users with new financial freedom, has quickly become a hit with the country’s tech-savvy and forward-thinking population.
To build its community, StartJPN has taken a multi-pronged approach, leveraging a combination of events, social media, and partnerships to engage with its users and build excitement around the project. With their latest collection NEO STACKEY, the project has formed a partnership with boxing champion Manny Pacquiao.
Greater customer loyalty
By building a strong relationship with niche communities, startups can create a sense of loyalty and trust among their customers. This not only results in repeat business but also in word-of-mouth marketing, as customers become advocates for the startup and spread the word to others.
Fave, the Southeast Asian fintech company, has increased visibility and growth through a strategic focus on building communities. The company’s platform, which provides users with exclusive discounts and rewards at local businesses, has quickly become a go-to for consumers with over 1.1 million followers on Facebook. However, Fave’s success isn’t just due to its platform, it’s also a result of the company’s focus on fostering strong communities of users, merchants, and partners.
At the same time, Fave has been proactive in engaging with its community through social media, email marketing, and other online initiatives and has worked closely with its partners to develop new and exciting programmes that benefit everyone involved.
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Earlier this year, Fave announced a partnership with TNG Digital’s Touch ‘n Go eWallet, further tapping into 18 million registered users and over 1.2 million merchants. The result is a vibrant and engaged community that is helping to drive Fave’s presence in Southeast Asia.
Access to valuable feedback
Niche communities often include experts and thought leaders in their respective fields, and startups can tap into this wealth of knowledge by engaging with these individuals and soliciting their feedback on their products or services.
Clonex, the web3 project born from the collaboration between NFT studio RTFKT, has built a thriving niche community to gather valuable feedback from its holders. The project has leveraged its community to gain valuable insights into the needs and desires of its users and has used this information to improve its platform and create new features that meet their needs.
This focus on community engagement has paid off for Clonex in a big way, as it was fast-tracked for acquisition by Nike in December 2021, which was looking to tap its expertise in augmented reality, blockchain and digital assets.
With its engaged community providing valuable feedback, Clonex was able to refine its platform and create features that resonated with its users. This helped the company to stand out from the competition and attract the attention of larger players in the Web3 space.
Looking forward
Building a thriving niche community is a crucial aspect of driving success for startups. Startups need to identify the right niche community through market research, build relationships with the members through engagement and participation, and foster community-driven initiatives to create a sense of trust and loyalty.
Don’t boil the ocean, start with one member at a time.
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