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Entering an already saturated market

Four tips to penetrate and win in an industry which already has plenty of players.
By Rafael Santos |

Once your business has made a good number of loyal following either in your locality or in a particular market segment, the next logical step in your business growth is to grab a bigger slice of the consumer pie by widening your consumer base and aiming to become a mass market brand.


However, competing in bigger, broader markets can be quite challenging for an up-and-comer. A saturated business environment is a place where goods and services similar to yours have already taken root and established a customer base.


Take heart: You can still successfully penetrate a crowded market space. Raymund Chua of, a web development company, knows first hand about the challenges of breaking into an already saturated market, as he himself had to from the province to Metro Manila. Chua and Eric Diaz, a private marketing consultant for Market Basic Inc., help shed light on the topic by giving some guidelines.



1. Choose the right niche: Finding the right ‘space’ for your business is crucial to establishing a solid base in a new market. According to Diaz, underserved markets have less competition and allows for more wiggle room.

“When determining a niche, you must focus on creating a ‘unique selling proposition for your company. Identify your strengths, and then relate it to the market. There is always some portion of the business environment that lacks a certain service or feature, and your challenge is to identify and fill that need,” he said.

Chua admits he was a little shocked at first. Owning a web development company in a country where the service is very popular, he knew that he had to find an edge to get businesses excited about his products. 

“Since we were new, we had no clients to begin with. All we had were the old ones from the province, and the rates were not so good. That was when we decided to focus on one aspect of web development, which is developing Content Management Systems (CMS) for businesses. This has helped us corner a market, and help our business grow,” he said.


Every business has a niche. The key is identifying what that niche is. Set your sights on getting the proper location, hours of operation, years of experience, price point, friendly staff, response time to customer inquiries or processing orders, the quality of your product or delivery of your service, personalized attention, and so on. These factors can create effective ‘niches’ for your product.

2. Don’t be overwhelmed by the competition: People are always afraid of new experiences, and breaking into a cut throat market is no exception. Chua counsels businesses to keep their eyes on the long term goals set, and not to be sucked into things their company is ill prepared for.

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