Key Marketing Vocabulary

Market segmentation

The process of aggregating prospective buyers into groups with common needs who respond similarly to marketing actions.

Demographics

Statistical information relating to the population and particular groups within it, such as age, gender, income, and marital status.

Disposable income

Income remaining after deduction of taxes and other mandatory charges, available to be spent or saved as one wishes.

Discretionary income

Income remaining after deduction of taxes and necessary expenditures, used for non-essential items.

Geographics

The segmentation of markets based on geographic location and how it influences marketing strategies.

Psychographics

The study of people based on their attitudes, aspirations, and psychological criteria, especially in market research.

Mass marketing

A marketing strategy that ignores market segment differences and appeals to the whole market with one offer.

Common needs

The shared desires or requirements of a group that drive their purchasing decisions.

Statistical information

Quantitative data used to analyze population characteristics and market trends.

Marketing action

Any strategy or tactic used by a company to promote its products or services.