The document discusses concept testing, which involves presenting a detailed product concept to potential customers to gauge their reaction before developing the actual product. It provides examples of concept testing from DaimlerChrysler on fuel cell vehicles and discusses successful and unsuccessful product concepts that were concept tested, such as positive reactions to Oreo Chocolate Cones but negative reactions to a toothbrush spray and meat marinade injector. The document outlines the concept testing process and methods used to communicate concepts to respondents.

2. PRESENTERS
Amritha Soumyadeepa Dhar
Chottakurien
Sachal Rohit Nayal Vinay Nadiger

3. A Humble Request: Please Reserve All Your
Questions Till The End Of The Presentation

4. AGENDA
In this presentation, we will attempt to answer
the:-
Of Concept Testing

6. WHAT IS A CONCEPT TEST
Stage in product development process
where a detailed description of a product
(and of its attributes and benefits) is
presented to prospective customers or
users, to assess their attitudes and
intentions toward the product
Remember: Concept testing involves testing the
“idea” of something, rather than the actual “thing”
itself

7. TYPES OF CONCEPT TEST
 Concept Screenings - Quantitative evaluation of
consumer response to the product ideas presented
 Positioning - Concepts within the same functional
product class are positioned and evaluated
together
 Pre-market Concept Tests - The concept is
compared to competing products to determine if the
product delivers what is promised by the concept

9. PRODUCT DEVELOPMENT PROCESS
Product
Testing
Product
Development
Feature
Development
Concept
Testing

11. OBJECTIVE
 Process of using quantitative methods and
qualitative methods
To evaluate consumer response to a product idea prior to
the introduction of a product to the market
To generate communication designed to alter consumer
attitudes toward existing products

12. WHY IS CONCEPT TESTING USED?
 Understand how your customers react to concepts
 Estimate price sensitivity and purchase likelihood
 Identify features and benefits that drive purchase
 Identify target consumer segments
 Assess how target consumers want the product
designed & packaged

13. BUSINESS CRITICAL QUESTIONS:
• Which concept(s) do consumers prefer?
• What features of my new product are most appealing and least
appealing to consumers?
• What are the perceived pros and cons?
• Should I move ahead with the winning concept?
• Which market should I be in?
• What is the likelihood of people purchasing or recommending my
product?
• How should my product be positioned relative to competing products
or technologies?

15. CONCEPT TESTING PROCESS
Define Reflect
Choose a
the Choose a Communi Measure Interpret on the
survey
purpose survey cate the customer the results
populatio
of the format concept response results and the
n
test process

16. HOW AND WHERE ?
• In-depth Interviews
• Focus groups
• Field surveys
IMPORTANT
• Qualitative for Idea Generation
• Quantitative for Concept evaluation
• Maximum 3 concepts is tested on one respondent
• Concept Test can be done any number of times till the concept is ready
• Pictorial as much as possible

18. WHO DOES IT
• Category Creators
• Category Upgraders with product differentiation
• Category Upgraders with positioning differentiation

19. SEVERAL WAYS TO SHOW CONCEPTS
• Product concept statements
• Pictures and Videos
• Interactive Multimedia
• Product samples or prototypes
• Simulation
• Storyboard

20. EXAMPLE OF CONCEPT TESTING FLIER

21. PACKAGING TESTING EXAMPLE

22. DESIGN TESTING EXAMPLE

23. CONCEPT TESTING – DAIMLERCHRYSLER
• DaimlerChrysler is getting ready to commercialize its
experimental fuel-cell-powered electric car.
• DaimlerChrysler's task is to develop its fuel-cell powered
electric car into alternative product concepts, find out how
attractive each is to customers, and choose the best one.
• A moderately priced subcompact designed as a
Concept 1 second family car to be used around town. The car is
ideal for running errands and visiting friends.
• A medium-cost sporty compact appealing to young
Concept 2 people.
• An inexpensive subcompact "green" car appealing to
Concept 3 environmentally conscious people who want practical
transportation and low pollution.
Source: Retrieved from http://gmx.xmu.edu.cn/ews/business/pmarketing/chapter09.htm

24. An efficient, fun-to-
CONCEPT TEST
drive, fuel-cell- to consumers symbolically or
The concept will be presented
powered electric
physically. Here, in words, is concept 3:
subcompact car that
seats four. This high-
tech wonder runs on
liquid hydrogen,
providing practical and
reliable transportation
with almost no
pollution. It goes up to
90 miles per hour and,
unlike battery-
powered electric cars,
it never needs
Source: Retrieved from http://gmx.xmu.edu.cn/ews/business/pmarketing/chapter09.htm

25. CONCEPT TEST SUCCESS STORIES
• In recent polls, Nabisco's Oreo Chocolate
Cones concept received a rare A1 rating
• Consumers think it is an outstanding
concept that they would try and buy
• Lender's Bake at Home Bagels were also
a big hit
Source: Retrieved from http://gmx.xmu.edu.cn/ews/business/pmarketing/chapter09.htm

26. CONCEPT TESTING FAILURES
 Nubrush Anti-Bacterial
Toothbrush Spray
disinfectant, from Applied
Microdontics, received an F.
 Consumers found Nubrush to
be overpriced
 Most don't think they have a
problem with "infected"
toothbrushes.
Source: Retrieved from http://gmx.xmu.edu.cn/ews/business/pmarketing/chapter09.htm

27. CONCEPT TESTING FAILURES
 Another concept that fared poorly
was Chef Williams 5 Minute
Marinade, which comes with a
syringe customers use to inject the
marinade into meats
 "I can't see that on grocery shelves,"
comments an Acu-Poll executive
 Some consumers might find the
thought of injecting something into
meat a bit repulsive,
 And "it's just so politically incorrect
to have this syringe on there."
Source: Retrieved from http://gmx.xmu.edu.cn/ews/business/pmarketing/chapter09.htm

28. VIDEO
Example:
GM EN-V Concept Test Drive in Shanghai, China
Link to video:
http://www.youtube.com/watch?v=GvIg9O5Gezc