Concept Testing

Developing a product and bringing it to market can be incredibly risky, especially in a volatile economic environment. By strategically using concept testing, product developers can determine whether a product idea is worth the risk and development costs.

What is concept testing?

Concept testing is a prelaunch phase where the potential consumer evaluates the product features while the testers scrutinize the functionality of the proposed product. This study is often used to understand consumer response to a new product idea.

Another term for such product testing is a concept study (it might also be known as an innovation lab). A concept study may be about innovation or experimentation. This is used to study whether the proposed experimental product or innovation can be put into production. A concept test is performed at the start of new product development. It differs from the traditional review or physical prototype of a competitive product. Alternatively, the manufacturer’s test team can create computer prototypes at the start of innovation before product promotion or release.

Concept testing methods

Concept testing can be categorized into two different studies: physical prototypes and virtual prototypes. To start a project, the product manager should propose a new concept using proof of concept generation. For this purpose, they should summarize their current concept testing practice (functional or virtual) along with a list of the reasons why they believe a new concept could improve on their existing concepts.

For example, the concept selection could be based on quantitative data concerning how the new concept would translate into results. The products typically need key selling points. This data would then be used to facilitate analysis with qualitative insight based on the current concept testing.

How and why to perform concept development tests

In marketing, if you have an idea for a product, immediately before you start developing it, you need to consider the people who would pay for it: the customers, the prospects, the donors, or the advertisers. In marketing, at least, you don’t develop a product just because of the artists involved; you need to consider the consumer as well as the manufacturer. This is where concept testing comes into play.

However, you may find yourself immersed in the development process while also gathering the input of the stakeholders who are involved, such as the consultants, the test marketers, the PR people, the development team, the salespeople, the accountants, and even the workers. Concept development is about uncovering and understanding the value proposition of the product, its sourcing, development strategy, pricing, and so forth. If you do a focus group, it will become clearer exactly how to make the product development process more reliable.

With concept testing, your product development team can get valuable input on the idea before taking a new product to market. This can save a lot of money in the short and long run, as less viable projects can be tabled or scrapped entirely before going into production.

Everything you need to get started with concept testing

Before you begin, keep in mind that the product development process includes studying and testing. Throughout the concept testing process, it is vitally important to have a clear understanding of the customer problem that is being solved. Among the most important activities, you should analyze the test results to determine what potential customers are looking for. For this purpose, you may need to conduct visual tests and ask attractive questions to develop good metrics. Optimal comparisons with existing products can help determine objectives. Collect data to measure results.

To communicate with potential customers who might not have seen your concept, it is better to conduct user research. You can observe user behavior and preferences to understand how they might perceive your product. Also, get clear how you will conduct concept testing, whether through objective assessment, usability testing, user testing, and so on.

You might need a concept test survey that consists of a focus group, in which your development work brings you together with a potential customer, consumer, target market, and advertisers each presented with one single concept, the new product concept. You may need to present the potential customer with alternatives they are willing to accept. You need to communicate with them according to the needs of your market, your responsibilities, and your motivations. You also need a formula for how to do this.

For concept development, it can help to keep product conception in the heart! It’s important to also keep in mind that it’s not enough to adopt and use concept tests. Match your concepts with your available materials and product feasibility. It’s important to answer the question, “How does this new product concept work for each use case?” If the proposed product doesn’t bring something new to the table, it may not be worthwhile for consumers.

Have you tried any monadic testing previously? Consider your concept selection. Do not settle for any poor concepts. The best way to choose is to either embrace one main concept or embrace a few of the most promising concepts. For example, if your idea is a website covering government-issued securities, you might consider testing two prototypes at example sites with .gov or .com domain name extensions. This requires complete details, so set aside what really matters in the application but not most of your budget.

Calculate your concept validation. It can be challenging to identify which concept might have the most impact. Ease of use may be the main factor in determining whether the consumer will accept the concept. Therefore, it is also very important to clearly define the test market (for a market researcher) and target market (for future marketing) before beginning the test.

The steps of the product development process should always include product concept testing. Identify the problem(s) that need to be addressed and the solution(s) that already exist in the market. Also, you need to make sure there are no barriers to acceptance. It is easy to give your client or potential customer an idea, but not so easy to get them to buy it. Maybe the product idea has already been tested, but it’s not clear yet whether the concept has been fully accepted.

Define the problem(s) to be solved for the study market. Depending on the type of product, it may be the perfect business idea for the target market. In the case of whether or not the concept is aimed at fulfilling marketing research, then the target is equally critical. For example, in the case of a product that involves consumer trading, then the target market might respond to a product that can be released on the Internet. For this purpose, the respondents should be qualified to market researchers.

Concept testing examples

To conduct a product concept test, the market researcher should first define the problem(s) to be tested and the desired conclusion from the test. Examples of a product concept test include conducting a concept testing survey or setting up a focus group.

One way of selecting the concept testing method is with an interview with potential competitors, which is best done using a quantitative questionnaire. Identifying the appropriate question type for testing is recommended: one that uses a checkbox method, multiple-choice format, or a combination of essays and questions. You should also consider the concept of testing questions about the business model of the new product concept, as well as the decision model for the product concept.

Measuring the concept using comparison or sequential monadic tests can be used to maximize the success rate of the concept statement.

Concept testing surveys

Concept testing is the process of putting a new product before your target market for review and acceptance. In the concept test, there are usually specific categories of survey questions that the market researcher gathers in order to understand the required performance of the new product and proceed with its development in the market.

To conduct a concept test in the product design studio, the designing team must first design an interface or visualization for the conceptual flow of the product concept. The concept development should be relatively straightforward. A draft of the concept can be gathered to specify the design concepts. The concept testing should ideally go from computational analysis to a physical simulation of the brand and could include choice modeling.

A concept test survey can only take five to ten minutes and it is usually done through two different types of marketing research: comparison and monadic tests. Selective monadic testing with a focus group involves the use of one, two, or more questions on a single concept.

If you are seeking a make statistical inferences about the result relative to the target population of potential users of your concept, you can use a sample size estimation tool to help you calculate the number of surveys you need for your concept test.

When designing a monadic concept test survey, each question should introduce the concept in its entirety without comparing it to other products. This method of testing is generally recommended to improve the effectiveness of the product concept as a standalone. As the concept often changes throughout the product development process, and multiple versions may be developed, this type of test is not always desirable.

Focus groups and online surveys can be used to gain insight into concept testing. For the product concept test to be successful, the concept must have been clearly identified and refined through sequential monadic testing or focus groups.

Comparison testing is useful for products that are newer versions of older products. For the same reason that the product was launched, a new product concept must have been developed to resolve a problem or need, but better in comparison with the original idea. In this way, multiple concepts from the product idea used in the comparison test can be analyzed and presented to the market researcher.

Ways to use concept testing questions

A problem that often arises in focus groups is identifying which responses are better than others. To address this, companies might use a combination of various question types that base relevance on the target market you wish to hit. You should ask questions that are more relevant to your target markets such as the social or mental component, learning objective, or other specific metrics. Look at concept test answers that are less concerned with the problem, and more about the possible solutions.

This is why concept testing commonly uses a focus group: your work brings you together with potential customers and consumers (via marketing research). It can also allow you to evaluate multiple concepts, which may need to be added to the new product.

It is often useful to use a combination of open-ended questions along with feedback on your new product concept with suggestions for improvements. If you have multiple concepts to present, choose the 70 percent you think will be the best winner so that you don’t overwhelm your focus group with any poor concepts. But you can also edit each question to use specific examples and see what actual results you can find.

You should perform a concept test by asking questions. During the product testing, consider having someone act as a third-party evaluator to provide some neutrality.

When developing the product concept, the lead developer can also start with a concept test survey for the design team. Follow the same steps as in a consumer interview for answering questions, but this time use test questions corresponding to the objective (e.g., What problems are you solving with the product concept? What problem is user-centric?). Next, use open-ended questions until the decisions you are making are guided by group ideas.

You can use many questions in a product validation survey where you gather answers relating to the product concept.

Use one-shot questions (with a revised answer option) in product testing to get quick answers in the context of the product concept (for example, “select a response option regarding this business idea/solution”).

Ultimately, effective concept testing involves asking strategic questions of potential customers, as well as stakeholders and team members. The more you get clear on what your customers need, and the problem your product aims to solve, the better you can craft your concept testing. The appropriate tests can guide your product development, as well as reduce the time and money wasted on ideas that aren’t viable in the marketplace.