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Niche Brand

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The Palgrave Encyclopedia of Strategic Management

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Abstract

Niche brands target small segments of consumers whose needs differ from those of the general market in the product class (category). Compared with large brands in the market, niche brands tend to have small market share and enjoy higher levels of loyalty and lower levels of penetration than would be expected for their market share. Small firms are prone to adopt niche branding strategies; however, they can also be used by the giants. Scant analytical research has been conducted to help firms identify niche opportunities. Empowering and negotiating with brand communities has been found to be pivotal for building niche brands. Precautions are recommended when growing a niche brand beyond its original market.

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Author information

Authors and Affiliations

  1. Loyola Marymount University, Los Angeles, CA, USA

    Sijun Wang

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  1. Sijun Wang
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Correspondence to Sijun Wang .

Editor information

Editors and Affiliations

  1. Stanford University , Stanford, California, USA

    Mie Augier

  2. Tusher Ctr Intellectual Capital, University of California Tusher Ctr Intellectual Capital, Berkeley, California, USA

    David J. Teece

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© 2016 The Author(s)

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Wang, S. (2016). Niche Brand. In: Augier, M., Teece, D. (eds) The Palgrave Encyclopedia of Strategic Management. Palgrave Macmillan, London. https://doi.org/10.1057/978-1-349-94848-2_499-1

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  • DOI: https://doi.org/10.1057/978-1-349-94848-2_499-1

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  • Publisher Name: Palgrave Macmillan, London

  • Online ISBN: 978-1-349-94848-2

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