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Published on Sep 03, 2023


The amount of test marketing needed varies with each existing product as well as new product. Test marketing cost can be enormous, and test marketing takes time that may allow competitors to gain advantages. When the costs of developing and introducing the product are low, or when management is already confident about the new product, the company may do little or no test marketing. “The stage of new-product development as well as existing product where the product and marketing program are tested in more realistic market settings.”

Using standard test markets, the company finds a small number of representative test cities, conducts a full marketing campaign in these cities, and uses store audits, consumer and distributor surveys, and other measures to gauge product performance. The results are used to forecast national sales and profits, discover potential product problems, and fine-tune the marketing program.

Several research firms keep controlled panel of stores that have agreed to carry new products for a fee. The company with the new product specifies the number of stores and geographical location it wants. The research firm delivers the product to the participating stores and controls shelf location, amount of shelf space, displays and point-of-purchase promotions, and pricing according to specified plants. Sales results are tracked to determine the impact of these factors on demand.

Companies also can test existing or new products in a simulated shopping environment. The company or research firm shows ads and promotions for a variety of products, including the new product being tested, to a sample of consumers. It gives consumers a small amount of money and invites them to a real or laboratory store where there may keep the money or use it to buy items. The researchers note how many consumers buy the new product and competing brands.This simulation provides a measure of the trial and the commercial‟s effectiveness against competing commercials. The researchers then ask consumers the reasons for their purchase or non purchase. Some weeks later, they interview the consumers by phone or determine product attributes, usage, satisfaction, and repurchase intensions. Using sophisticated computer models, the researchers then project national sales from results of the simulated test market.

Objectives of the Study

The objectives of this research are as follows:

 To study the level of awareness and buying behavior of MALA‟S Jam in the mind of customers.
 To comprehend the sales level of the Jam in distinct areas of the Pune city.
 To comprehend the reasons for nil purchases.
 To study the satisfaction level of the customers.
 To study the demand of particular flavor by the consumers

Scope means area covered. Following things are covered in this research:

I. The aim of the project is to study test marketing and customer interaction.
II. The survey covered 500 customers from distinct areas of Pune city.
III. At each outlet 25 customers were covered.

There was a shortage of time to approach each and every respondent for survey and the budget of the survey was limited, which was a major limitation.

This was the major limitation from the side of the respondents at the time of inviting for free taste of the jam at the canopy. They were not willing to spend much time over there.


 People attract due to canopy set up over there and approach because of free tasting counter.

 Display of the products were satisfactory, still need to do proper display at the retail outlet.

 Ranges of the products are satisfied but many customers need aamla jam too. Thus, this is the new product demand in the market which can be run in the market.

 Make proper distribution to customers at the right time as per their order and requirement.

 Need to increase promotional activities for increasing sale, because some people are not aware about the brand.

 Give same schemes to the customers at different places like at super mall and retail grocery stores.

 Need to hire sales persons who can watch in different areas of Pune city, obtain the order regularly, look at the situation of this brand and visit at the distinct retail outlets.

 It needs to concentrate on physical distribution and promotion which would improve the performance of the company which is suggested by customers.

 We always interact with distinct people in the market, while I was interacting with customers of the MALA‟S Jam, customers were happy to taste the product as well as purchase the products.

 The canopy which was set up at the different retail outlet was attracting maximum amount of customers, but sometimes we had to invite them for tasting, we interacted with them and gained the experience.

 From the research, I conclude that MALA‟S have good quality of the product which is giving real fruit taste of the Jam compared to other brands.

 The customers are price and quality sensitive while purchasing the Jam. In order to satisfy them, MALA‟S sells at reasonable rates as well as extraordinary quality of its products.

 The future of any product on this universe depends on pricing. There are certain factors which hinder a customer that can be quality, price, brand name and longer lasting product.

 Most of the retail outlets were asking for more margins as well as discount or any promotional schemes for the customers which can hike the sale of the products in the market.

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