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Who are your competitors targeting? Who are their current customers? Don't go after the same market. We will find a niche market that they are overlooking.
Write out a list of each feature of your product or service. Next to each feature, list the benefits it provides (and the benefits of those benefits). For example, a graphic designer offers high-quality design services. The benefit is a professional company image. A professional image will attract more customers because they see the company as professional and trustworthy.
Figure out not only who has a need for your product or service, but also who is most likely to buy it. Think about the following factors:
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