Groups and Distribution Lists are intuitive methods of combining your Contacts so that you can more efficiently send out information and organize your workload.

Distribution Lists are tied to one specific email address, and are designed to send messages to multiple addresses at once. For example, you can create a Distribution List comprised of email addresses of everybody on your project team, and when you want to send them an email, you only need to select the Distribution List instead of each person's email addresses.

You would create a Group if you needed to give permissions to a folder to multiple people. For example, when you want to give permissions to a folder to to everyone from Your Team, instead of selecting each person individually, you can just create a group called Your Team and assign permissions to this group. This way, as your group gains or loses members, you only need to add or subtract them from the Group in your Contacts, and the changes are made accordingly throughout the system. You do not need to add/remove permissions to each folder for each new member.