Concept Testing for Financial Products and Services

In the fast-paced world of finance, banking, and technology, staying ahead of the curve is key to success. Financial brands are always finding new ways to stay relevant and keep customers satisfied—and improve products and services. One crucial step in this market research and development process is concept testing, where brands can gain insight into customer acceptance and attitudes about a new product or service idea prior to market introduction. 

What is Concept Testing?

Concept testing involves gathering feedback and insights from target audiences to evaluate new ideas before they are fully developed and launched. This key step of go-to-market research is essential for determining if your product fits the market and understanding why it appeals to customers. Product concept tests focus on how your target market responds to the specific features and design of your product. 

Logica works with financial brands to ensure that these next big ideas for products or services are thoroughly tested and refined before hitting the market—and we suggest conducting concept testing early in the product development stage to save time and money. 

Benefits of Concept Testing

• Risk Mitigation: Identify and address potential issues early in the development process to save time and money
• Audience Insights: Gain valuable insights into your target audience’s preferences, needs or expectations
• Resource Optimization: Allocate resources more efficiently by focusing on the product concept or features with the highest likelihood of success to maximize appeal 

Putting the Customer First 

Concept testing done right helps refine the target audience and provides insights into those customer preferences, needs and expectations for the potential product. By understanding what resonates with target audiences, brands can tailor the product at the development stage to better meet customer demands and stay ahead of competitors. Concept testing helps reduce the risks associated with launching new products or services by identifying potential issues or concerns early on, allowing time to shift gears and make adjustments.

Logica’s Approach to Concept Testing

Logica works with clients to create a custom-designed market research study for concept testing. Qualitative research is the first step—exploring the customer needs, perceptions, and expectations that align with product features or design. Options for qualitative research include in-depth interviews, focus groups, immersion sessions, and discussion boards, each offering unique insights into customer preferences and behaviors. Next, quantitative research follows qualitative findings to collect measurable data that allows for statistical analysis and confirms the winning product concept. It can take different forms depending on goals for the study, like monadic or sequential concept testing or pairwise comparisons. 

In today’s competitive landscape, innovation is essential for financial brands to stay relevant and maintain customer satisfaction. Concept testing with Logica® provides the insights and confidence needed to bring new ideas to life and ensure success in the real world. Reach out to us to get started!