One of the biggest fears I hear from entrepreneurs is that niching down will limit their opportunities. They worry that if they get too specific, they’ll run out of clients or turn people away before they even start a conversation.

But in my experience, it’s impossible to niche down too far—if you find the right audience with a problem that isn’t being solved.

When people struggle to get clients, the issue usually isn’t that their niche is too small. It’s that they picked a problem that wasn’t urgent or painful enough. It wasn’t a Poison Ivy Problem—the kind of problem that’s so itchy, people are actively searching for relief.

The Poison Ivy Problem: Why Specificity is Your Superpower

Let me tell you about one of my clients. She was a career coach who resisted getting specific about the problem she solved. When we looked at her expertise, experience, and the testimonials from her happiest clients, a pattern emerged: she was amazing at helping people make dramatic career transformations—like shifting from accounting to professional singing.
But she hesitated. “That feels too narrow,” she said. “Won’t I run out of clients?”
That’s when we reframed it: This wasn’t a limitation—it was her superpower. Her best clients were all people making big career pivots. Instead of watering down her message to appeal to everyone, she leaned in. And guess what? She didn’t run out of clients. She became the go-to expert for mid-career professionals making big leaps.

Can You Go Too Big or Too Small?

Absolutely. And it can make a huge difference in how long it takes to build a steady stream of clients. Here are the most common mistakes I see:

• Confusing your business focus with your product focus. Your business niche should be broad enough to house multiple sub-problems, like an umbrella. But your offers should be laser-focused on solving a specific issue. For example, if your umbrella niche is helping entrepreneurs grow, your sub-problems might be marketing, sales, or work-life balance. But your program should focus on one of these (or an even more targeted pain point within them).
• Jumping into a niche without testing it. Choosing something you’re passionate about isn’t enough. If people aren’t actively looking for a solution—and willing to pay for it—it’s not a viable business. I call this the Poison Ivy Problem Test: Is it itchy enough that people are searching for relief?
• Going too small without solving an urgent need. Yes, you can niche down too far, but the real issue is usually a lack of demand. I worked with a virtual assistant who wanted to serve boutique accounting firms. The problem? She wasn’t addressing an urgent pain point. A niche isn’t just about who you serve—it’s about what problem you solve.

How to Evaluate Your Niche

Before you commit, run your niche through these three criteria:

• Is the problem big enough? Does your niche solve a major issue with enough sub-problems to sustain multiple offerings? For example, if you help women navigate midlife career changes, that includes mindset shifts, personal branding, and financial planning.
• Is there revenue potential? Are people in your niche willing and able to pay for a solution
• Do you actually enjoy it? If you don’t love working with your niche, your business will start to feel like a job you want to escape from.

Take a moment to write down your niche (or a few focus areas you’ve been considering) and evaluate them against these three questions. Which one stands out? Which one might need refining?

The Best Way to Test Your Niche

Once you’ve chosen a direction, don’t just sit on it—test it.

• Do market listening. Search forums, LinkedIn, Reddit, and Facebook groups. Are people actively discussing the problem you solve?
• Run a small experiment. Offer a free workshop, conduct a survey, or test a beta program. The goal is to see if your niche resonates with real people.
• Be open to adjustments. Your niche isn’t set in stone. Many successful entrepreneurs start with one idea and refine it based on market response.

Handling the Fear of Missing Out

Back to my career coach client—how did she find a balance between specialization and flexibility?
Instead of making her business ultra-narrow, she created a targeted program focused on mid-career professionals making big career leaps. That way, she still had room to work with a broad range of referrals while keeping her messaging clear and compelling.

And as her business grew, she had the power to shift her focus. If the market consistently sent her different types of clients, she could adjust. But she didn’t have to start broad and hope for the best—she niched down with intention and let demand guide her next steps.

FAQs About Niching

How do I know if my niche is too broad?

If your audience can’t immediately tell who you help and what problem you solve, it’s probably too broad.

Can I change my niche later?

Absolutely. Your niche is a starting point, not a lifelong commitment.

Can my business focus area be bigger than my product focus area?

Yes! Your business niche can be broader than your product or service niche.

What if I’m leaving money on the table?

The truth is, when you try to appeal to everyone, no one listens. A focused niche helps you stand out.

Won’t my niche limit me too much?

A niche creates clarity, not constraints. It helps you build authority faster.

Final Thoughts

Your niche isn’t a constraint—it’s a launching pad. Evaluating it through the lens of problem urgency, revenue potential, and enjoyability will set you up for long-term success.

And remember, you don’t have to get it perfect the first time. The market will guide you. Your only job is to listen, test, and refine as you go.

Whenever you’re ready, here are 3 ways I can help you build your business:

1. 📥 Download ⁠The GenX Escape Plan⁠ → Your 3-step roadmap to starting a profitable coaching or consulting business

2. 💡Grab a year’s worth of brand boosting content prompts with the Thought Leadership Content Generator

3. 💰Watch this quick video to find out what I tell my private clients on how to make ANY coaching or consulting area more profitable.

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