The concept test, the study to make the best decision

Concept tests are essential marketing studies for companies looking to innovate. They allow for measuring the effectiveness of an idea before production, understanding consumer expectations, and determining if an idea is viable in the market. In this article, we explore this type of marketing study: how concept tests work, why they are important, and how brands can benefit from them?

What is a concept test?

A concept test is a marketing research method that involves evaluating an idea, product, or service with a representative group of consumers. This method allows for collecting feedback, opinions, and reactions to determine if an idea is viable in the market before it goes into production. They can be used to evaluate existing products, developing product ideas, packaging, advertisements, slogans, brand names and identities, prototypes, and new services.

Concept tests can be conducted in various ways, but the most common method is to present the idea to participants (in written or visual form) and then ask them specific questions, noting their level of interest, purchase intent, or overall evaluation of the idea.

The monadic test: a specific concept testing methodology

A monadic test is a concept testing technique. It involves having different subsamples judge each option considered separately. The different versions of the concept are presented one by one to these subsamples of respondents, to whom the same set of questions is posed. The comparison of the final results thus allows for identifying the option with the best impact on consumers.

How to conduct a concept test?

Most concept tests involve a series of common steps:

🤔 Define the idea to test : before starting the test, it is important to clearly define the idea to be tested. This may include a written or visual description, product specifications, features, benefits, and limitations. It is essential to clearly define the objectives of the concept test, including the specific questions you are seeking to answer.

🎯 Identify the target population : it is important to select a representative population of consumers to build your target sample. This population can be determined based on factors such as age, gender, income, location, shopping habits, and preferences.

📋 Design the questionnaire : it should be designed to collect relevant information about the tested idea. The questions may include elements such as interest, purchase intent, product perception, advantages, and disadvantages.

💬 Collect the data : as soon as the study is launched, data is collected from your target's responses to your questionnaire. You can monitor it live on the Episto platform!

📊 Analyze the results : The collected data is analyzed to identify trends, patterns, and participant opinions. You can then determine if the tested idea is viable in the market!

To learn everything about concept testing and other types of marketing studies: check out our Guide.

Why are concept tests important?

Improve understanding of consumers for better decision-making

Concept tests allow companies to better understand consumer expectations and ensure that their ideas align with market needs and desires. They provide factual insights on which brands can base their decisions, helping to minimize biases and judgment errors.

Save time and money

Concept tests enable brands to evaluate ideas before going into production, which can help save time and money by avoiding the development of products that are not viable in the market. In other words, they allow you to optimize your investments by making informed decisions based on data about profitability potential.

An Episto case example: Changing the packaging of an iconic dairy product

A concept test can help choose the packaging for a new product when a brand is unsure between several options and wants to optimize its sales. This was the case for a major dairy brand that wanted to test 7 different packaging options. Episto conducted a monadic test on 700 respondents in just 3 days. Thus, 1 different package of the product was shown to a group of 100 respondents to compare results for each option and identify the one with the best impact on consumers. Result: a new packaging on the shelves of dairy products!

How can companies benefit from concept tests?

Concept tests can benefit companies in various ways.

They allow for developing new products or services by providing insights into consumer needs and expectations or to improve existing products by identifying the features and functionalities that are most appreciated.

These studies also allow us to determine the most effective pricing strategy for brands' products and services by providing information on perceived value and consumers' purchase intentions.

Through concept tests, brands have the keys to create effective advertising campaigns with compelling slogans, images, and advertising messages for their targets.

Finally, they represent a valuable tool to identify market opportunities by providing information on unmet consumer needs and expectations.

An example of an Episto case: Choosing the new product from the deli section

A meat-based product brand needed to test 2 different novelty concepts. Episto conducted a concept test on 500 respondents in just 3 days: the different concepts were shown to two populations of 250 respondents to identify which version was the most promising in the market from the perspective of its future consumers. Result: a new product in the deli sections of your supermarkets! Thanks to Episto, this brand was able to identify the most promising concept as well as who the target audience for this concept was and how they would prepare the product.

What are the limitations of concept tests?

Although concept tests are a valuable tool for companies looking to innovate, there are also limits to their usefulness:

1. Results do not guarantee success in the market, as there are often unpredictable factors that can influence consumer behavior.
2. Concept tests can be biased if the sample of participants is not representative of the target population or if the questions in the questionnaire are poorly designed.
3. They may lack important information about consumer behaviors in real life, such as interaction with other competing products or the perception of the product in real situations.
4. Concept tests may limit creativity by making companies focus too much on the preferences of existing consumers rather than seeking to create new needs or market segments.

Conclusion

Concept tests are a valuable tool for companies looking to innovate and develop products and services that meet consumer needs. By providing factual information on potential market acceptance, concept tests can help companies save time and money, reduce risks, optimize investments, and improve decision-making. Although there are limits to their usefulness, concept tests can be conducted effectively by following certain best practices, such as clearly defining objectives, selecting a representative sample, using reliable methods, and considering consumer feedback. Ultimately, concept tests can help companies innovate successfully and thrive in an ever-evolving market.

Do you want to test a new concept? Contact us !

Discover other types of marketing studies in our Guide.