Bookkeeping Niches: Deep Dive

I Love Bookkeeping

Niche marketing is one of the keys to success for 21st century bookkeepers because you have to go deeper with your clients. If you're working with a number of different niches, you won't be able to fully understand your client's businesses or offer them your best service.

[1:00] Marketing is about three important elements: your market, your message, and your medium. Most people start with the least important which is the medium. The very first thing you have to do in all of your marketing is to clearly define your market, and that's what your niche is.

[1:50] If you already have clients, list them from favorite to least favorite. Take the top 3 clients that you love working with and look for commonalities between them. What attracts you to those clients? Picking a niche doesn't necessarily mean an industry, it can also mean choosing the type of person you want to serve.

[4:00] Bookkeeping is first and foremost a relationship business, there is a good chance your relationship with those clients is what puts them at the top of the list.

[4:25] Once you find the commonalities and the character attributes that you love, list out the industry your clients are in. Which industry do you have the most clients in? Consider the top industry you serve and see if there is any overlap between that and your top three clients. Ask yourself a few questions: Do you like serving that industry? Do you know a lot about it? Are you passionate about the industry?

[7:25] You may also find that the industry that most of your clients are in is something you don't enjoy working with. You need to be passionate about serving an industry for you to make it your niche. 80% of bookkeeping and accounting is the same for every single business. But when it comes to the last 20%, it's all about the niche.

[8:20] Most people think they have to find a niche but sometimes the niche finds them. We don't usually find something we are passionate about, we typically find something that we are good at and become a talented craftsperson at it.

[9:30] Your medium term goal should be to focus on a niche. If you have clients in other industries already, you can continue to serve them as you bring on new clients from your chosen niche and just let them go gradually until you are only serving your niche clients.

[10:25] The more you can systematize your business, the easier your life is going to be. Imagine having one chart of accounts for your clients or being able to get a profitability study that gives you insights into your industry. You'll be able to take the best practices from your niche industry and apply them to your client's businesses.

[11:40] If you pick the wrong niche, you can always change it. Hopefully you put in the effort now to figure out the right one, so you can avoid doing that. Revisit this exercise frequently until you find the niche that fits your business best.