APA Dictionary of Psychology

the testing of consumer response to a new product before or after it has been offered for sale. In the United States, such tests are usually conducted on a limited scale in certain markets, such as in Omaha, Nebraska, or Rochester, New York, which have been studied intensively and have populations with known consumer characteristics. Large-scale advertising campaigns are based on results of the localized product testing, which also may influence changes in product or package design.