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Marketing -- Test Marketing Is A Way Essay

¶ … marketing -- Test marketing is a way to take a specific group and test the viability of a product or service for that group. This may be done in many ways, through focus groups, home use, trials, short or long tests. There are numerous advantages and disadvantages to test markets. For our purposes, three disadvantages are: Lack of broad enough test -- the product may be a prototype and not mature enough at the point of testing to give the company viable information. Or, the information gleaned may not be applicable after the test.

Group not indicative of users -- the demographics and/or psychographics of the test group are not really indicative of the prime potential user(s) of the actual product; or the audience may be inappropriate.

Risk vs. time -- test marketing may give the competition an edge, and...

Some examples are: 1) product complexity -- usually gadgets, for instance, universal remote controllers for entertainment centers (TV, cable, stereo, dvd, etc.) that must be programmed by the end user; 2) trialability -- it is far easier for certain low-price products such as food (cereal, candy bars, snacks, etc.) to be sampled and tried out before purchasing than major ticket items; 3) compatibility -- is the degree to which products are consistent with the area or culture; why would certain air conditioning products be popular in cold climates,…

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