At a meeting with your fellow executives at KFC, you're discussing introducing a new low-fat grilled chicken nugget option, which is significantly different from the company's usual menu items. The CEO wants to get an accurate sales forecast for the product before giving it the green light. Of the following arguments in favor of using various techniques, which one makes the most sense to you?
A) Alex suggests surveying potential buyers since the company has access to so many consumers.
B) Bruce points out that using data from other similar products to conduct a trend analysis would be the least expensive choice.
C) Taylor recommends getting sales forecasts from store managers, a form of sales force composite, since they're so familiar with KFC customer preferences.
D) Anya claims that test marketing in a few select cities will provide the most realistic information on actual purchases.

Question

Quizplus · Accepted Answer

Test marketing allows the company to gather real-world data on how the new product performs in the market, offering insights into actual customer purchasing behavior and preferences. This method provides a more accurate forecast of sales than surveys, trend analysis, or sales force composites, as it reflects real consumer actions rather than predictions or estimations.

At a Meeting with Your Fellow Executives at KFC, You're