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How AI Is Rewriting the Rules of New Product and Package Testing

Virtual prototypes, e-commerce mockups, and rapid A/B tests now let brands gauge demand in days, not months. It's transforming how teams design, validate, and launch new products and packaging.

From plain pack stock image (left) to a (hypothetical) branded prototype, shown in context on a shower shelf (right), AI artwork and context images now take minutes, not weeks.
From plain pack stock image (left) to a (hypothetical) branded prototype, shown in context on a shower shelf (right), AI artwork and context images now take minutes, not weeks.
Ken McGuire

The world of new package and product development has changed dramatically over the past 20 to 30 years. When I began my career three decades ago, the only way to obtain “real-world” purchase data for a new product or package concept was to run a full-fledged test market. This process was expensive, slow, and resource intensive. It typically required producing thousands—sometimes hundreds of thousands—of units, securing placement on retail shelves, and then monitoring consumer behavior over several months. A successful test market also demanded costly marketing components such as TV advertising, printed materials, in-store displays, and even live product demonstrations. Simply put, testing a new idea meant making a major financial commitment long before anyone knew whether the product would resonate with consumers.

Today, the landscape is unrecognizable compared with those early days. E-commerce, social media, and AI tools have transformed not only the way consumers discover and purchase products, but also the way brands can explore ideas, refine concepts, and build confidence before entering full production. These technologies dramatically reduce the cost of testing while allowing teams to gather meaningful data within days instead of months. As a result, by the time a new product or package reaches full-scale launch, the company is operating with far more insight—and far more confidence—than was ever possible in the past.

Through my work with Fortune 100 companies as well as small, ambitious startups, I’ve had the opportunity to see how transformative these new tools can be. They level the playing field in a way that would have been unimaginable 20 years ago. In this column, I’ll explore a practical example and discuss several creative ways these emerging capabilities can guide modern product and package development.

A practical, modern example

Let’s imagine I want to create a new face wash brand. Years ago, I would have needed to design a package, hire an agency to create artwork, manufacture at least a small batch of product, and arrange retail distribution just to get consumer feedback. Today, the process looks very different.

I begin by finding a simple stock package photo—like the white, round squeeze bottle shown in the image (shown to the left, at the top of the page). I upload this into ChatGPT and ask it to generate artwork concepts based on a brand story I’ve defined. After a few iterations, I have a realistic looking, fully branded package. I then ask the AI to place the package “in context,” such as sitting on the ledge of a shower or next to a bathroom sink. What once required graphic designers, photographers, and studio time can now be prototyped in minutes (shown to the right, at the top of the page).

So how do I take this virtual prototype and learn something meaningful about selling a product that does not yet exist?

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