The Economics of Depth: Loyalty Over Reach
It’s tempting to equate niche with small. But that’s a mistake. Niche doesn’t mean narrow in impact — it means sharp in focus.
And sharpness pays dividends.
Micro-influencers (those with fewer than 50,000 followers) now deliver 60% higher engagement than their macro counterparts, according to Influencer Marketing Hub. Why? Because they speak from within, not above. Their followers see them not as brand billboards, but as trusted peers. When these influencers recommend a product, it’s not an ad — it’s a referral. That’s loyalty, and it’s earned.
In the business world, loyalty doesn’t just feel good — it shows up in hard numbers. Returning customers spend 67% more than new ones. High-trust users are more likely to advocate, forgive mistakes, and co-create the future of the brand. And where there’s trust, there’s defensibility. When your brand means something to someone, it becomes harder to imitate —and easier to sustain.
Strava understood this. Rather than try to be the next Fitbit or Garmin Connect, it went deep with serious cyclists and runners — the kind who wake up at 4 a.m., live by segments, and obsess over split times. The platform gave them what they craved: social proof, performance tracking, and a shared sense of effort. Today, it’s grown into a multi-sport ecosystem with millions of users — not in spite of its niche roots, but because of them.
When you design for the right few, the many will follow.