Test Marketing: Specifics, Goals, Methods

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Before mass introduction of a product to the market, it is necessary to conduct preparation. It is based on testing. How will consumers and dealers perceive the product, will there be demand and in what volumes, will it bring in income - test marketing will answer all these and other questions. It is he who tests new products on the market.

By contacting Fractus, you can order such services.

Test Marketing: Definition
Test marketing – it is also called that. The essence is antarctica email list 5644 contact leads experimental testing of goods, the market, approbation of process components. Test marketing is also the initial sale of products, but they sell small lots. Trading conditions are created as close as possible to existing market conditions.

Test marketing is not used in only a few cases: the product is copied from competitors, production costs are low, and marketers are confident of success. In all other cases of introducing an innovation to the market, it is indispensable.

Test Marketing: Definition

Objectives of the study
Why are such experiments necessary, sometimes quite expensive? There are several goals:

Find out the degree of success of a new product – the buyer’s reaction to it (specific features, characteristics, cost, packaging, name, etc.).
To evaluate the efficiency of processes related to production, promotion and sales.
Extrapolate the results obtained to the future market. And then: forecasts are needed regarding sales volumes. Test marketing also allows you to do this.
Test Marketing Methods
Three methods are used. The general name is test market. The sequence is as below.

Simulated . Thought experiment. Surveys of buyers are conducted. Respondents are asked to buy a product, without explaining that this is an experiment. Consumers use the product, after a certain period of time they are surveyed. Respondents are selected based on the specified characteristics of the target group. The information is confidential, which protects against the machinations of competitors.
Controlled . This method of test marketing is carried out on the basis of a certain group of retail outlets - partner stores ready to take on the new product for sale. The manufacturer selects them himself, delivers the product, and arranges the display.
Standard . The study is one-time. Regular distribution channels are used for implementation. Conducted on a limited territory: the most typical cities for the country are selected (usually two). The method is most effective when testing for 12 months. The most expensive in terms of finance. There is a threat from competitors: the company spends money on experiments, and competitors analyze the situation and introduce an identical product.
Analysis of the results
The methodology for measuring the results is described in detail. The following is taken into account:

the speed of product adoption by consumers;
speed of adoption by distribution channels;
distribution costs;
competition indicators;
payback periods, profit generation, etc.
The research results will allow us to make adjustments to the process and release the product to the market without any shortcomings.

Analysis of the results

Where to order the service? From Fractus
It is difficult to use test marketing methods by the company's staff. A good solution is to use professional services. All you need to do is contact Fractus. And learn in practice what test marketing is and how it works.

A team of specialists has been assembled to complete the task, and the necessary tools – programs and equipment – ​​are available. And you will receive the result in the form of an answer to questions about how consumers perceived the product and what profit it will bring.

Contact us! We will take care of all the hassle of testing the market.

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