Important characteristics of a market segment: -

 Measurable
 Substantial
 Accessible
 Actionable
 Differentiable

Two important factors for evaluation of a market segment are:

1. The objective and resources available

2. Overall attractiveness of the segment

Selecting the market segment

Single market concentration: Firms have high level of knowledge of the segment and have a strong
market presence

Selective Specialization: Multiple attractive segments are selected by the firm

Product Specialization: Specialization in manufacturing a particular product which is sold in all the
segments

Market Specialization: Multiple needs of one segment is focused on by the firm

Full Market Coverage: Covers all the customers by fulfilling all their needs

Some other considerations for evaluation and selection of a market segments involves factors like
intersegment cooperation, ethical choice of market segment etc.