Does the idea of narrowing your target market scare you? If youre like thousands of other online business marketers, the answer is yes. But youd be wrong. Targeting your marketing segments very narrowly is actually a great way to increase business.

The key is making sure you understand the audience for your product or service and then finding ways to reach them. Some online businesses make the mistake of trying to appeal to the widest audience possible. Thats a good way to lose everyone at once. Think about how the major retailers categorize and revise their messaging so that it hits the right target.

If you do the job correctly, here are five benefits:

1. Cheaper keywords

We all know that the most popular keywords are the most expensive. Dont try to compete with big advertisers. Instead, search for keywords that are very narrowly focused. They will be affordable and you will be visible. For example, if you sell a childrens toy and determine that it will attract parents whose children are left-handed and live in the South, youve got the start of a good narrow target.

2. More traffic

You dont want traffic. You want targeted traffic. Floods of people who wont buy are a waste of pay per click money. When you target a more specific audience and get them to visit, your ability to convert is higher.

3. Increased visibility with the audience you want

This is where word of mouth comes in. You want to increase buzz about your product with the right audience. If you target properly, you will start to see referrals from current customers. Thats advertising you cant buy.

4. Instant feedback

The great thing about using the web is that you dont have to wait very long to find out whats working. You should be monitoring your pay per click ads and using the best web analytics package you can afford.

5. An understanding about how to repeat this for other audience types.

Once you get the feel for how to put all this together for one audience, you can do it for several more targets. Not only will you increase your revenue, but you can find new targets you hadnt thought about until now.