The Existing Target Group criterion allows you to build a target group that includes or excludes customers who match another target group’s criterion, in order to save precious time when using repetitive rules for various groups.
For example, you can create a target group that excludes customers who live in particular cities and then reference it from all target groups that should not send messages to customers who live in those cities. If you decide to add or remove a city from the exclusion list, you need to update only the original target group, and all other target groups using it as a reference will automatically be updated.
|| Important note
If a reference loop is created when referencing to an existing target group, you will not be able to save the target group.

Existing Target Group Criteria Update Frequency
Existing Target Group Criteria updates daily. Read more about the update frequency here.
To learn more, check out Target Group Creation 101 in Optimove Courses.