For instance, he says, "businessowners" is only a loosely identifiable group. The category is too broad to target, having only a few common characteristics and common needs answered by your products and services. A common industry made up of small or closely held businesses with common suppliers, and that competes in a common technology, would better meet the test.

Typical examples of target groups might include: two-income Gen-X families who live in Prosperity Village; management-level employees of the Anvil Biscuit Company; cardiologists; independent pharmacists; computer software designers; or electronic parts manufacturers. Not only do they have common identities and similar wants, they probably know each other, or of each other, and may even communicate with each other, directly or indirectly. This can be very useful in generating on-profile referrals within the group.

One advantage of marketing to specific groups is that you know something about prospects before contacting them — and that can take the chill off what could otherwise be a cold call. The more closely you can identify with the world view, life experiences, special needs, and aspirations of people in a select group, the more readily you will come across as a knowledgeable professional — even if the only thing you know about a prospect is name, address, phone number, and the name of the referrer.