if you look closely at what Vishnu wrote, you'll see that you need to put your class files inside a directory called classes within WEB-INF. This classes directory is part of the classpath, so what packages you put inside there will be picked up by the servlet container. If you wish to have your own package structure inside this, go ahead.
Vishnu - i have tried /test/TestMe . It didnt help. do i have to give the package name (servlets) since servlet in inside a pkg. Btw i have tried that, i dont think I am using the right URL?
your url-pattern needs to start with a slash as pointed out. However, it need not reflect your physical package structure - the whole point is that it's declarative, so that you could change the back-end package structure without affecting the front-end.