The Effect Of Test Marketing On Product Innovation – Complete project material

The Effect Of Test Marketing On Product Innovation


This research was carried out to investigate the effect of test marketing on product innovation in markson chemical industry limited at  Onitsha. The term test marketing on product innovation is a great importance to any profit oriented organization which engages itself in the activity of production on chemical or good and rendering of some useful services to customer. Most organizations, aims at exchanging goods or services to make profit which is uses for its daily operations. As this topic dwell on the effect of testing marketing on product innovation in relation to highlight the advantages and disadvantages to the procedure and type of test marketing which seen favourable for the company any also consideration of consumers when innovating their new product and test marketing. The researcher will use questionnaires and interview to collect its result to form the consumers, staff and also from the distributors and later will analyzed it using a contingency table and statistical tools to arrived at a very explanatory answer, the readers of this work will find it favorably to use  of work in any company they   find themselves working as a staff or distributors of such company.



This chapter deals with the complete overview of this work. It is the base of this research work and portrays the background of the study, objectives, research questions, and other important sub topics.

The work is centered on two main concept test marketing and product innovation, before a product or goods and services, is to be accepted it must pass through certain process and among these are the process of marketing and product innovation.


The company was incorporated in Nigeria on the 5th of October 1984, under the division of Shirley chemical industry, importer, exporter and manufacturer.

The company use located at No. 42 Francis street Onitsha in Anambra state along old market road Onitsha with other two branches as well. It was incorporated in Britain in 9th day of January 1959 as Britain paint Wakko (WA) limited.

Markson chemical industry (Marketing group of companies) subscribed 87.9% of the company issued share capital and retained the controlling interest. Its principles activities is that of production of soap, cosmetics and plastic. Currently, there is a total number of 278 staff in the company of which twenty (20) are skilled workers, eighty (80) semi – skilled and the remain others are cause workers (187). This wide range of product, manufactured by the company today has been more house hold names, some example are as follows: in the soap and detergent range, they have Rock, Medicated soap, Bona Black soap, other important product are hair rollers and baby boy cream, and Cusson baby body cream, and Cusson baby product in term of plastic and cosmetics. Indeed, it can be seen from sample listed that almost every home is likely to have a product by Markson chemical industry.


The work is centered on two main concept test marketing and product innovation, before a product or goods or services is to be accepted it must pass through certain process and among these are the process of marketing and product innovation.

Test marketing according to Bush and Houston, product in limited geographic areas to determine if the product should be introduced to the national market. From the business dictionary, test marketing is a product development stage where the product and its marketing plan are exposed to a carefully chosen sample of the population deciding it to be reject it full scale launch. Product innovation according to wikipedia is the creation and subsequent introduction of goods and services of its kind. It is an integrated approach to new product development. Many innovated product enters the market everyday, some stayed for a very long time, other fade away in few weeks or months after introduced. Some product that do not have proper planning do not model so fast to be sold, this is as a result of failure in the product innovation while other last in the market other fail. This study is going to exposed in detail why Markson chemical industries is the market.

Testing marketing is vital to chemical oriented product in the market. In it all plans of the company product such or similar product.

Finally this work is centered Markson chemical industry limited located at Onitsha Anambra state. Many researcher will find it helpful to analyze what will happen to a new product at last marketing stage of the product life span and the response of customers.

The major problem of this work is to find out the extent test marketing on product innovation impacts on the marketing of goods, however, the minor problem are: –

  1. To what extent does the company promotes its product through test marketing on product innovation.
  2. To what length is test marketing on product innovation beneficial to the company’s product.


The main objective of this study is to know the effect of test marketing on product innovation in the marketing of goods by Markson Chemical industry and the specific objectives are;-

  1. To ascertain the effect of test marketing on product innovation on the demand of the company’s product.
  2. To discover who Markson chemical industry can increase its market share through suitable test marketing on product innovation.


The researcher draw up these research questions for the purpose of this research and they are:-

  1. To what extent has test marketing on product innovation been effective to the company?
  2. Does the company increase sales for their product through test marketing on product innovation?


This study tends to review the need for a proper test marketing on product innovation to enable such company and product reach a market level to which the product will not fail in the market and consumes, or consumers will derived the needed satisfaction. The study will also enable use understand the important of test marketing on product innovation and advantages it has over the ones that were introduced directly to the markets.

It is sequently suitable to the individuals or customers who are new to product or brand management as well as for those stroll to be in such position. Most importantly, it will enable Markson chemical industry limited have adequate over other competitor that introduce their product direct into the market and also to check the extent such product will fail at the market.

Finally, this work will be of great significance to future researcher by assisting and guiding them towards a successful accomplishment of their own individual studies.


This study is limited within Nigeria with a direct and strict limitation to a chemical industry in Onitsha Anambra state known as Markson chemical industry.


This work as a research work is not easy top be carried out as some constraints are around it, some of them are, data inadequacy, money involvement, of time consuming of the work, as it is carried out along side, other academics activities. All these and some unmentioned are constraints to the study.


This is to enable us and others to understand better the terms that is used in this work.

INNOVATION: This can be defined according to Peter Drrucker (Hesselbein 2002) as a changes that creates a new dimension performance.

PRODUCT: This can be seen as a goods, services or ideas consisting of a bundle of tangible and intangible attributes that satisfies consumers and is received in exchange for money of some other units of value. According to Kolter and Armstrong (2005:276) a product is any thing that can be offer to a market for attention, acquisition, use of consumption that might satisfy a want or need.

MARKETING: Philip Kotler sees marketing as human activities directed at satisfying need and wants through exchange process.

TEST MARKETING: According to Bush and Houston (1985) is the introduction of a product in limited geographical areas to determine if the product should be introduced to the nation market.

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