ABSTRACT

This study examines the effect of test marketing on new product development (a study of 7up bottling company plc). The work further investigate the effect of test marketing on new product acceptance, performance and measurement. Date were collected from both primary sources and secondary sources using personal interview and questionnaire survey these date were analyzed using description statistics, simple regression and correlation analysis.  Base on the result of the analysis, regression result of the effect of test marketing on new product quality has the computed f – value as 16.101 while the table value on new product acceptance has computed is 228. Regression result of the effect of test marketing on new product acceptance has computed f – value as 68.762 while table value is 228. Regression result of the effect of test marketing on substitute has the computed f -    value as 54.262 while table value is 228. As a recommendation, companies should encourage test marketing acceptance and performance and lunching of new product and marketing campaign 

TABLE OF CONTENTS

Title Page i

Declaration ii

Certification iii

Acknowledgement iv

Table of Content v

List of table vi

Abstract vii

CHAPTER ONE

1.0   Introduction 1

1.1 Background of Study 1

1.2 Statement of Problem 4

1.3 Objective of the Study 5

1.5 Research Questions 6

1.6 Research Hypotheses 6

1.7 Significance of the Study 6

1.8 Scope of the Study 7

1.9 Limitations of the Study 8

 CHAPTER TWO

2.0 Literatures Review 9

2.1 Conceptual Framework 9

2.2 Review of Related Literatures 10

2.2 (1) Meaning of Test Marketing 10

2.2 (2) Measuring of New Product Quality with Test Marketing 11

2.2 (3) Criteria for New Product Acceptance 12

2.2 (4) Performance Criteria for New Product 14

2.2 (5) Test Marketing as a Tool Measuring for New Product Performance 15

2.2(6) Application of Test Marketing in 7up Bottling Company 16

2.2(7) Different Types of Test Marketing in New Product Development 17

2.2(8) Problems Associated with test Marketing 22

2.2(9) History of 7up Bottling Company 22

CHAPTER THREE

3.0 Research Methodology 24

3.1 Research Design 24

3.2 Area of the study 25

3.3 Sources of Data and method of data collection 25

3.4 Population of the Study 25

3.5 Sampling Technique and Sample Size 25

3.6 Validity of the study 27

3.7 Reliability of the study 28

3.8 Method of Data Analysis 28

3.9 Model specification 28

CHAPTER FOUR

4.0 Data Presentation, Analysis and Interpretation 30

4.1 Data Presentation and Analysis 30

4.2  Hypotheses Testing 34

4.2.1 Research Hypothesis One 34

4.2.2 Test of Hypothesis Two 36

4.2.3 Test of Hypothesis Three 38

4.4    Discussion of Findings 40

CHAPTER FIVE

5.0 Summary of findings, conclusion and recommendations 41

5.1 Summary of Findings 41

5.2 Conclusions 41

5.3 Recommendations 42

REFERENCE

APPENDIX