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Marketing Strategy: Baby niche is a growing market?
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Bob Schwartz, Building Great Companies! Enabling Others Success answered:

The biggest market of baby is hyper competitive as it’s often first around price. These are the commoditized baby items moms buy for their fast growing and messy babies - ie items that likely aren’t around for more than months because of growth or stains etc. This is the largest market segment and driven buy pricing but can include : green or more conscience materials, recycle etc for a slightly higher pricing. The competitive set in this is mom going to Target and buying another low cost 5 pack of a bigCo basic brand they know. So if this is your brand segment you’ll need to find a position that resonates - and likely at competitive low pricing or a reason for mom to pay a bit more for what she sees likely as short term disposable goods.

Other segment is the aspirational lux customers /special occasion / friend grandma gift items. Better to great quality and design and higher pricing. It’s a Smaller portion of market and driven by boutiques, catalog, Internet...

Either way or anything you choose to do - what’s your brand stand for in a consumer (moms) mind and does it matter enough to her.

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