Test Marketing

Test Marketing is the 7^th stage to New Product Development, the stage at which the product and marketing program are introduced into a more realistic market setting. (Grewal and Levy, 2010) Test marketing cost can be high, and it takes time that may allow competitors to gain advantage. (Grewal and Levy, 2010) However, it is very effective because it determines the weaknesses in the marketing strategy, which will reduce the risk in product failure. (Kotler and Armstrong, 1991) In order to test all variables in the marketing plan different characteristics need to be measured. Test marketing decisions include, how many cites will be tested, the length of the test, what information to collect, what action to take and the 4P’s (price, product, promotion place). These findings will be inserted in a Gantt chart. This will then give the marketer an idea on how the market will react to the new product/service.

            T20 cricket went through the test marketing stage when it was introduced to the market. It was first introduced in England and Wales, however, now it spared around the world. The first official Twenty20 match is played at the Rose Bowl between Hampshire and Sussex on June 13. (Daily Telegraph, 2014) This event was shown nationally by sky sports. This would be a result of effective text marketing since they determined their weaknesses and reduced these to hinder product failure. The England and Wales Cricket Board spends $365,000 on a consumer research study into the causes and effects of declining crowds at county matches. (Daily Telegraph, 2014) This was a one-year process since the ECB marketing manager Stuart Robertson hosts a meeting in 2002 with media in Valderrama to name the new format and competition. (Daily Telegraph, 2014)

           

The test market decisions that will be undertaken from Polf will include, how many test cities, which cities, length of test and what information to collect? This aims to determine the reaction of probable buyers.

How many test cities?	Polf will be tested at three different cites. So that the test will be done by a variety of different people.
Which cities?	Newcastle, London and Edinburgh will be the test directly in the city center.
Length of test?	The length of the test will be about 5-10 minutes so that people can try the new format.
What information to collect?	The information collected should show what the reaction of the potential market.

It is also important to think about the 4P’s (price, product, promotion place). The price of the test marketing will probably be expensive, however it will help with the promotion of the format. A risk Polf will have to consider when text marketing is that competitors may interfere and copy the format. A Gantt chart can be done to see what components will be actioned. See appendix A.

References

DailyTelegraph, (2014). From marketing gimmick to billion-dollar industry, we track the evolution of Twenty20 cricket. [online] Available at: http://www.dailytelegraph.com.au/sport/cricket/from-marketing-gimmick-to-billiondollar-industry-we-track-the-evolution-of-twenty20-cricket/story-fni2fnmo-1226863155983?nk=194dda5cf8a110a2f6b7fdb0e0c310c2 [Accessed 24 Jan. 2015].

Grewal, D. and Levy, M. (2010). Marketing. Boston: McGraw-Hill Irwin.

Kotler, P. and Armstrong, G. (1991). Principles of marketing. Englewood Cliffs, N.J.: Prentice Hall.

Appendix A: Gantt chart for Polf