To test its new product, Reliway Inc. chooses three cities to sell the product and three cities very similar to the first group where the product was not sold. All six cities were watched closely, and the stocking and sales of the new product were audited using the InfoScan system. This method helped the company fine-tune its sales plans. Identify the market testing method illustrated in this scenario.
A) Test marketing
B) Informal selling
C) Simulated test market
D) Speculative sale

Question

Quizplus · Accepted Answer

The method used in this scenario is test marketing. Reliway Inc. chose specific cities where they could test their new product to see how it performed in the market. This allowed them to gather data and fine-tune their sales plans before a full launch.

To Test Its New Product, Reliway Inc