You are contradicting yourself. You can't be in a niche market but survive only (or mostly) on mass sales. It's the other way around. Very few people (relatively speaking) buy knives that cost over a certain price point. Personally I don't know ANYONE (literally true) who owns a folder of any brand, other than people I met thru this out of control hobby of mine. My brother-in-law owns a clone of a Buck that itself costs less than $30. I know other people that have cheap copies of SAK's that cost $25.
Cold Steel is a very expensive brand over here, but Benchmade is like a Rolex. The plainest Spyderco Military costs the equivalent of over $300 here.
That price differential exists in the US as well, and people will buy accordingly. It's only confused people like us who think they have good reason to pay $50-$100 more for the same knife with a steel that's only better if you carefully look for the differences.
Don't get me wrong, I'm as much a steel snob as the next guy. But yesterday I cut, sliced and scraped with and thumped on my new $37 Voyager and again I find myself wondering why I'm saving up for a Yuna again? Why are all those $300+ folders sitting in storage, waiting for a turn in my pocket? What are they doing better?
The answer is nothing, of course. We're idiots with a weird hobby. I don't mind, and neither should anyone else. But it's the manufacturers with the expensive folders who are occupying the niche, not the ones who produce affordable practical knives.