Future Business Leaders of America (FBLA) Advertising Practice test

Which type of marketing specifically targets a small, specific segment of the market?

1. Mass marketing

2. Niche marketing

3. Broad marketing

4. General marketing

The correct answer is: Niche marketing

Niche marketing is a strategy that focuses on a specific, well-defined segment of the market. This approach allows businesses to tailor their products, services, and marketing efforts to meet the unique needs and preferences of that particular group. By concentrating resources on a smaller segment, companies can create more personalized marketing messages and develop products that resonate more strongly with their target audience. This focused strategy often leads to greater customer loyalty, as consumers feel that their specific interests and requirements are being met. Furthermore, niche marketing typically faces less competition than broader marketing strategies because it targets a specialized audience, allowing businesses to carve out a unique position in the market. In contrast, mass marketing attempts to reach a wide audience with no specific focus, while general and broad marketing similarly aim to capture larger, more diverse demographics without honing in on particular segments. This makes niche marketing particularly advantageous for companies that offer specialized products or services.