One way to guarantee failure of your Internet business is to try to be everything to everybody.
Unless your pockets are incredibly deep, broadbrush or 'mall' approach won't work for your small business. The cost to advertise to people across a large number of interest categories is prohibitive; and untargetted, unfocused visitors don't buy products.
To attract focused, interested visitors, you yourself must become focused and interested in your subject matter.
First you pick a topic, and then refine it. And then you refine it some more. And some more.
Let's say that you're a sports enthusiast.
You know that millions of people are also interested in sports, and you'd be willing to bet that 'sports' would be a lucrative niche and search term to advertise, right? Well, you're right on first count, but you'd lose money on second.
Let's check out demand using Overture's search term suggestion tool:
Although Overture reported over 800,000 searches for term 'sports' in April 2003, and you can have top listing for term for a 'mere' 21 cents, how many sales might you expect to generate with that popular term?
Even if only one percent of that 800,000 searchers visited your site, and you had top listing at twenty-one cents, my guess is that you just wasted $1,680.00. The term 'sports' is just too unspecific.
If while doing keyword research using search term suggestion tool at Overture, you looked one line below 'sports', you'd see that second entry is 'sports car' with more almost 200 hundred thousand searches, or one quarter of all searches that included term 'sports'.
The key is to find what people want, and then give it to them. Simple, eh?