As defined in Chapter 8, utility is the ability of a good or service to satisfy a human need. A lunch at a Pizza Hut, an overnight stay at a Holiday Inn, and a Mercedes 420 SET4 all satisfy human needs. Thus, each possesses utility. There are four kinds oF utility.
Form utility
is creawd by convening producGon inputs into finished products. Marketing eflorts may indirectly influence
form utility bccause the data gathered as part of marketing research are frequently used to deter
mine the size1 shapc, and features vi a product.The three kinds of utility that are directly created by marketing are place, time, and possession utility.
Form utility
is creawd by convening producGon inputs into finished products. Marketing eflorts may indirectly influence
form utility bccause the data gathered as part of marketing research are frequently used to deter
mine the size1 shapc, and features vi a product.The three kinds of utility that are directly created by marketing are place, time, and possession utility.
Place utility
is created by making a product availaNe at a location where customers wish to purchase iL.,A pair of shoes is given place utility when it is shipped Irorn a factory to a department store.
Time utility
is created by making a product available when customers wish to purchase ¡L For exampic,
Halloween costumes might be manulactured in April but riot displayed until late September, ‘hen consumers start buying them. By storing the costumes until they are wanted, the mnanufacturer or retailer provides time utility
Time utility
is created by making a product available when customers wish to purchase ¡L For exampic,
Halloween costumes might be manulactured in April but riot displayed until late September, ‘hen consumers start buying them. By storing the costumes until they are wanted, the mnanufacturer or retailer provides time utility