The biggest mistake new consultants make? Going too broad (“I help businesses”) or too narrow (“I only work with dental offices in Ohio”). Here’s how to find the sweet spot that makes you hireable and profitable.
The Mistake That Cost Me Six Months
When I started consulting, I made the classic mistake.
Someone asked: “Who do you work with?”
I said: “Anyone who needs operations help.”
That sounds smart, right? Don’t limit yourself. Cast a wide net. More opportunities.
Wrong.
Here’s what actually happened:
When I said “anyone,” people heard “no one in particular.”
When I couldn’t name a specific type of client, they assumed I didn’t really know what I was doing.
When prospects asked for references, I had none—because every project was different.
I was invisible. Generic. Just another “consultant.”
Then I made a change. One sentence. And everything shifted.
Instead of “anyone who needs operations help,” I started saying:
“I help mid-sized manufacturing companies scale from 20 to 100 employees without operational chaos.”
Suddenly, when manufacturing executives heard that, they said: “Oh, you get our world. Let’s talk.”
Same expertise. Different positioning. Completely different results.
The Niche Paradox
Here’s what’s confusing about niching:
Too broad, and you’re invisible.
“I’m a business consultant.” Great. So are 10,000 other people.
Too narrow, and you’re starving.
“I help women-owned dental practices in Columbus, Ohio optimize their billing processes.” Okay… how many of those exist? Three?
The sweet spot is specific enough to be relevant, broad enough to be profitable.
And finding that sweet spot is easier than you think.
The Three-Circle Framework
The best niche sits at the intersection of three things:
Circle 1: Your Expertise
What have you actually done? Not what you could figure out. What you’ve lived through.
From yesterday’s audit, you should have 15+ specific problems you’ve solved.
Pick the top 3-5 that you:
- Solved multiple times (pattern recognition)
- Actually enjoyed solving (you’ll be doing this a lot)
- Got results from (you have proof it worked)
Example from my list:
- Scaling companies through hyper-growth
- Implementing new systems without productivity loss
- Managing cross-departmental conflict
Circle 2: Market Demand
Is anyone actually looking for help with this?
Here’s the test: Go to LinkedIn. Search for posts about your problem.
Are people complaining about it? Asking for advice? Sharing war stories?
If yes, there’s demand.
If you search “scaling company chaos” or “ERP implementation disaster” and get hundreds of posts—that’s a market.
If you search your specific problem and get crickets—pick a different problem.
Circle 3: Profitable Problems
Some problems people want solved, but they won’t pay much for.
Other problems are expensive enough that companies will invest real money.
Ask yourself:
- If I solve this problem, how much money do I save them? (Or make them?)
- Is this a “nice to have” or a “keeping me up at night” problem?
- Would they pay $5,000+ to fix this?
Example:
“Help us write better emails” = Nice to have. Maybe $500 project.
“Fix our sales process so we stop losing deals at the proposal stage” = Keeping them up at night. Easily $10,000+ project.
Where all three circles overlap—that’s your niche.
The Niche Formula
Once you find the overlap, here’s how to articulate it:
I help [TYPE OF COMPANY] [ACHIEVE SPECIFIC OUTCOME] without [COMMON FEAR/PROBLEM].
Examples:
“I help mid-sized manufacturing companies scale operations without losing quality or culture.”
“I help tech startups implement financial systems without slowing down growth.”
“I help family businesses navigate succession planning without destroying relationships.”
“I help healthcare organizations reduce costs without impacting patient care.”
See how specific these are?
You immediately know:
- Who they work with
- What problem they solve
- What they help you avoid
That’s a niche.
Common Niche Questions (Answered)
“What if I pick wrong?”
You can change it. Your niche isn’t a tattoo.
Start with your best guess based on the three circles. Try it for 90 days. If it’s not working, adjust.
Most consultants refine their niche 2-3 times in the first year. That’s normal.
“What if my niche is too competitive?”
Good. That means there’s demand.
You don’t need to be the only person solving this problem. You just need to be the one a few dozen companies choose.
And you will be—because you have your unique experience and approach.
“Can I have more than one niche?”
Eventually, yes. But not at first.
Pick ONE. Master it. Get known for it. Then add a second later.
Trying to serve multiple niches from day one just dilutes your message.
“What if I get bored doing the same thing?”
You won’t. Every client is different. Every implementation is unique.
Plus, once you’re known for one thing, it’s easy to expand into adjacent areas.
Start focused. Expand strategically.
Your Niche Selection Assignment
Step 1: Look at yesterday’s expertise audit. Circle your top 3-5 problems you’ve solved.
Step 2: For each one, check market demand:
- Search LinkedIn for posts about this problem
- Count: Are there 10+ recent posts? 50+? 100+?
- More posts = more demand
Step 3: For each one, estimate profit potential:
- If I solve this, do I save them $10,000+? $50,000+? $100,000+?
- Higher savings = they’ll pay more
Step 4: Pick the winner—the one with:
- Strong expertise (you’ve done it multiple times)
- Clear demand (people are talking about it)
- High value (expensive problem to have)
Step 5: Write your niche statement using the formula:
“I help [TYPE OF COMPANY] [ACHIEVE SPECIFIC OUTCOME] without [COMMON FEAR/PROBLEM].”
What This Unlocks
Once you have a clear niche, everything gets easier:
✅ People immediately know if you can help them
✅ You attract referrals (“I know someone who does exactly that”)
✅ You build a reputation fast (the go-to person for this specific thing)
✅ You can charge more (specialist premium vs. generalist discount)
✅ Marketing becomes simple (you know exactly who to talk to)
Tomorrow, we’re going to talk about how to communicate this niche in a way that makes people say “Tell me more” instead of “That’s nice.”
Talk Tomorrow
Hit reply and send me your niche statement. Use the formula. I’ll tell you if it’s clear enough or if it needs tweaking.
And if you know someone who’s struggling with “I don’t want to limit myself,” forward this to them. Niche = freedom, not limitation.
— Bob
P.S. My original niche was too narrow: “Manufacturing companies in the Midwest scaling past 50 employees.” Worked great for 6 months. Then I dropped “Midwest” and tripled my market. You can always expand. But start specific.
