What is a niche?
An online niche is choosing a specific target audience and creating a product, service or brand for them. By doing this you are avoiding going into direct competition with major online competitors. Creating a less competitive market will result in the ability to create sustainable e-commerce success.
The ultimate goal of creating a niche is to enter a blue ocean market. This occurs when you create a niche that no other service provider or retailer is in. An example of a blue ocean market is the Wii. When Nintendo introduced the Wii, it was the only product of its kind and had no other game consoles that allowed its users to exercise while gaming.