People,never,what,they,say.,Ho business, insurance People never do what they say. How to investigate on a produ
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During a product development process we always wonder about the actual potential once it's on the market. I mean, besides the good idea below, how many products will we sell? It's the classic question many managers do. In most cases we just talk about it with colleagues, sales force andfew reliable customers, assuming numbers on an excel file, in order tounderstand how many would be enough to go break even. If it "sounds"too high we forget it, otherwise we go on. If company is clever does much more. During product development it performs concept tests,that is a survey on a sample of potential purchasers to understandwhich product or service variants are more performing and to evaluatethe market reaction. It's often required to estimate the concept relating to purchaseprobability for them and for the company they represent, but peopledon't do exactly what they say! The more the purchase intent is low,the less it's reliable.How to solve the issue?In my market surveys experience I've developed some tricks:1.Use a purchase probability scale with manylevels (9 levels) instead of the traditional ones with 2, of the kind"I would get it", "I don't think I'll get it". It spurs peopleinterviewed to think deeply about it and it doesn't give rise todoubts. 2. Reckon your concept potential. Ponder the average onthe scores acquired by each factor at the point 2 and the purchaseprobability at the point 1 and compare it with your competitors' one.3. Show as a sample your whole idea and its competitors.The concept, its characteristics, its positioning, its price, and thecompeting products or services, showing their actual market prices aswell.4. Analyze not just the concept purchase probability, but further factors(less hard) as well, such as its first impression, its avail levelperceived, its reliability conveyed, its price/quality, etc. (from 1 to9 marks).If you know your product or service costs in details (and usually fewmanagers know them when they investigate on a concept test, but this isanother topic!) then you're ready to understand a concept earning powercompared to its sales potential. According to my experience this approach enhances the probability to forecast what it will actually happen and although not perfect it's better than going by intuition! Article Tags: Purchase Probability
People,never,what,they,say.,Ho