What is the primary purpose of concept testing

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1. What is the primary purpose of concept testing?

To establish the commercial viability of a new product concept in potential markets, using information collected from a variety of stakeholders.

To calculate expected changes in market structure (i.e. market shares) in an industry after launching a new product/service.

To determine which are the most/least important attributes of a product/service.

To determine the optimal pricing structure of new products and services in new markets.

2. Software makers often make available pre-release versions of their product that have a limited set of features available prior to the full launch of a new product for specially selected users. This is an example of PUT using what type of prototyping?

Comprehensive prototyping.

Functional prototyping.

Vertical prototyping.

Focussed prototyping.

3. With respect to new service innovation, emerging trends in the development of new technologies mean...

...the importance of training front line service staff is diminishing as front services become increasingly automated through digitisation

...marketing managers must become well versed in programming and coding so they can develop services using artificial intelligence

...the level of separability between service consumption and production is widening

...physical product innovations are becoming more popular than services

4. In what way does the process of new service development process tend to differ from the process new product development?

New service development does not require concept or product use testing (PUT) as services are process oriented performances by personnel or machines rather than tangible goods

New service development does not require venture focussed teams to deliver radical/transformation innovations because such teams only apply to physical product innovation.

New service development has different principals of universal design due their their inherent intangibility, inseparability in production/consumption, heterogeneity in service quality and perishability.

New service development tends to be more flexible than new product development as changes to the process of service delivery do not require as heavy investments in areas like manufacturing, tooling, distribution and logistics.

5. Which of the following is NOT primarily an example of innovating within the servicescape as part of an experiential marketing campaign?

Creating sensory impacts using sights/smells, using symbolic cues to encourage certain brand associations and/or designing spaces (physical or virtual) which heighten consumers purchase intentions.

Automating or digitising a part of the service blueprint which was previously a personnel intensive manual process in order to reduce consumers waiting times.

As a way to allay the concerns of risk adverse consumers when using credence services (e.g. providing tangible cues about the credentials of a medical service provider in their waiting rooms)

Synchronising the design of a brands online/digital presence to complement or match the sensorial cues of their physical/tangible presence offline (e.g. UQ's updated SI-net graphical user interface)

Reference no: EM132220255

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