Exposing The Top 7 Niche Myths (and what to do instead)

Every successful creator's journey grows in phases.

That's pretty obvious when you consider the evolution of Ali Abdaal's "Feel Good Productivity" niche. Or how Tim Ferriss developed his "Lifestyle Design" category.

Of course, niches grow in phases.

But growth phases can be harder to consider when you're in the middle of your own story, struggling to find your place in the crowded creator economy.

It's too easy to get lost in the details, trying to do everything all by yourself.

And before you know it, you're paralyzed by indecision, jumping from niche to niche without ever gaining traction.

But it's especially important for new creators and digital entrepreneurs to spend your limited time and energy on the appropriate tasks for your phase.

And if you can do that, you increase your chances of success exponentially.

The 7 Phases of Niche Selection

There are basically seven phases or "stages" of niche selection.

And each phase comes with its own unique challenges and requirements.

Today, I want you to understand these different phases so you can zoom out, recognize where you are, and take the appropriate action.

Phase 1: The Passion Pursuit Myth

"Just follow your passion, and the money will follow!"

It's exciting as hell, but frustrating at the same time.

You learn so much about yourself and your interests at this stage. And I'd argue this phase is where 71% of people fail.

So here are two simple tips for moving beyond the passion myth:

1. Passion + Market Demand: Instead of blindly following your passion, look for the intersection of what you love and what the market needs. This is where sustainable niches are born.
2. Skills + Interests: Focus on developing skills that complement your interests. Your unique combination of abilities and passions is what will set you apart in the long run.

Phase 2: The Riches in Niches Trap

When you realize passion alone isn't enough, you enter phase two, where you start believing that extreme specialization is the key to success.

Think of "riches in niches" like growing a tree in a small pot. Soon enough, you'll need to move it into larger and larger pots before finally planting it outside.

Here's where the structure of your niche begins to form, but it might be too restrictive if you're not careful.

While specialization can be powerful, don't box yourself in. Instead, think of your niche strategy like a game of bowling.

Start with one pin. Choose a specific, well-defined segment of your market to focus on first. The book Crossing the Chasm talks about this as your "beachhead" - A small, attainable target that you can dominate. Coined in WW2, a beachhead is a position on a beach taken from the enemy, where you can launch future attacks.

For example, when I started my e-commerce journey, I didn't try to conquer the entire outdoor equipment market. I focused on creating a top-tier slackline kit for enthusiasts (I know, super niche and I was bored out of my mind).

But here's the crucial part - don't stop at one pin. Plan for expansion:

• Adjacent markets: Identify related niches that could benefit from your expertise.
• Scaling up: Look for ways to broaden your appeal without losing your core focus.
• Domino effect: Use your success in one niche to gain credibility in related areas.

The goal is to knock down that first pin with such force that it takes down the others, creating a cascading effect of growth.

In my case, while we gained initial traction with professional slackliners, we could have been planning our expansion into related niches - perhaps other balance sports or outdoor fitness enthusiasts.

Remember, the "riches in niches" doesn't mean permanently confining yourself to a tiny market. It's about starting focused, dominating a specific area, and then strategically expanding your influence.

This approach allows you to:

1. Build deep expertise in a specific area
2. Establish a strong reputation with a core audience
3. Test and refine your offerings before scaling
4. Use your initial success as a springboard for growth

So, when defining your niche, think both narrow and broad. Start specific, but always have your eye on the bigger picture. This way, you can enjoy the benefits of specialization without limiting your long-term potential.

Phase 3: The Trend-Chasing Temptation

As you start to gain some traction, you might be tempted to jump on every trending topic or platform.

My next recommendation is to approach trends strategically. By this point, you should have a clearer understanding of your strengths and audience.

• Trend analysis
• Platform experimentation
• Content adaptation

Instead of blindly following trends, use them as inspiration to create content that aligns with your core message and resonates with your audience.

When I was building multiple online brands under the Viceroy Group, we always kept an eye on trends. But instead of chasing every new fad, we used trend insights to inform our product development and marketing strategies, ensuring they aligned with our core brand values.

Phase 4: The Authenticity Paradox

"Just be yourself, and your audience will find you!"

How will you balance authenticity with strategic growth?

This is where intentional brand building comes in.

I'm currently navigating this phase, and here are some examples of how I'm balancing authenticity and strategy right now:

• Personal storytelling: I share my experiences building multiple businesses, but I frame these stories to provide valuable insights for my audience.
• Transparent failures: I'm open about my setbacks, like when my first Amazon business failed due to a negative review, but I use these stories to teach important lessons.
• Unique perspective: I've developed the Nicheology framework based on my experiences, offering a fresh take on niche selection that's both authentic to me and valuable to my audience.

Instead of just "being myself," I'll be strategically authentic by aligning my personal experiences with the needs and goals of my target audience.

Phase 5: The Pivot Perfection Pursuit

The next phase is all about finding the perfect pivot. You might think that if you just keep tweaking and changing your niche, you'll eventually stumble upon the perfect fit.

This pursuit of perfection can lead to constant changes without real progress.

• Iterative improvement: Instead of seeking drastic pivots, focus on making small, consistent improvements to your niche based on audience feedback and performance data.
• Strategic evolution: Allow your niche to evolve naturally as you grow, but always keep your core value proposition and audience needs at the center of any changes.

For example, when I transitioned from e-commerce to creating content about entrepreneurship, it wasn't a sudden pivot. It was a gradual evolution based on the insights I gained from my various business ventures and the questions my audience was asking.

Phase 6: The Comparison Trap

In this phase, you might find yourself constantly comparing your niche to others, feeling like you're always a step behind.

Remember, the ultimate goal of finding your ideal niche takes time.

Are you ready to focus on your unique journey?

I hope you are.

Here's how to navigate this phase:

1. Focus on your unique journey: Instead of comparing yourself to others, concentrate on your own progress and growth.
2. Learn from others, don't copy: Study successful creators in your field, but use their strategies as inspiration, not a blueprint.
3. Celebrate small wins: Acknowledge your achievements, no matter how small, to maintain motivation.
4. Connect with peers: Build relationships with other creators at a similar stage for support and collaboration.

Phase 7: The Niche Mastery Mindset

The final phase is about embracing the concept of niche mastery. This is where you stop searching for the "perfect" niche and start creating your own unique category.

This is what Nicheology is all about - helping you engineer your ideal niche rather than trying to fit into an existing one.

In this phase, you'll focus on:

1. Continuous learning and adaptation: Stay curious and always be open to new ideas and strategies.
2. Creating value: Focus on solving real problems for your audience rather than just chasing trends or metrics.
3. Building authority: Establish yourself as a thought leader in your niche through consistent, high-quality content and engagement.
4. Ecosystem development: Create a network of related products, services, and content that reinforces your niche position.

Ultimately, I'll learn more about this phase as I continue to grow Nicheology. And, of course, you'll be hearing about that journey too.

In Summary

I think about my niche in terms of years instead of months.

Keep in mind that each of these phases takes time, typically 6-18 months each.

Yes, my journey has spanned over a decade and involved building 10+ businesses, but that doesn't mean yours will (or should). And that's okay.

Success (in anything) is all about consistent action and learning.

It takes patience, resilience, and a willingness to adapt.

And the biggest differentiator?

A systematic approach to niche selection and development. That's why I created Nicheology - to provide a research-backed, step-by-step system for creating your Niche of One.

Remember, the ultimate goal of finding your ideal niche takes time.

Are you ready to start your Nicheology journey?

I hope you are.

→ Today's activity: Identify which phase of niche selection you're currently in. Then, take one small action to move forward based on the advice for that phase. Whether it's researching market demand for your passion, refining your unique value proposition, or starting to build your authority - every step counts.

Ready to fast-track your niche finding journey? Get access to the Nicheology beta program: caitholmes.com/niche