First of all the term "test marketing" is defined, and it is stated that the majority of all marketing problems can be solved without resort to test market surveys. The first main section deals with the test marketing of existing products. It is illustrated that the research methods applied to test marketing are determined by the object of the marketing activity to be studied. The terms "market prospects" and "new product" are defined, and the basic problem formulations are discussed which justify a test market for a new product. Design of the test market, research methods and all test market operations planned ought to be determined by the endeavour to secure evidence on the longterm market prospects of a new product.