Maximizing the Utility of Customer Product Testing: Beta Test Design and Management

Abstract

Many companies regularly use beta tests as part of their product development program. Beta testing can validate the product concept, eliminate performance problems prior to market introduction, and serve as an effective sales promotion device. The risks are significant, however, in that a poorly designed test can destroy account relationships, generate inaccurate data on product performance, and stimulate negative publicity. Robert Dolan and John Matthews present guidelines for effective management of beta test programs. They develop these guidelines based on a literature review, an analysis of twenty‐one beta test programs as described in secondary sources, and four in‐depth field investigations with cooperating firms.