1. utilities

2. utility The ability of a product to satisfy human wants and needs
Usefulness
Often referred to as adding value

3. Form utility
When a business changes the form of a product to make it more useful

4. Place utility
When a business makes products available at convenient places
ATMs make cash available at convenient places
Car dealers add place utility to auto makers
Shop online
Amazon.com

5. Time utility
When a business makes products available at the time the customers need and want them
Banks stay open late
Wal-Mart open 24/7
Shop online
Walmart.com

6. Information utility
When a business provides information about products to the customer
TV infomercials
In-store demonstrations
Video demonstrations
User manuals

7. Possession utility
When a business makes it easier for a customer to acquire a product
Various kinds of credit
Can get car loan from car dealership

8. Your turn….. Choose a product that you use or want.
Describe how business has added one or more utilities to that product.
Place
Time
Information
Possession

9. Example: Toothpaste information (commercials, video at Wal-Mart)
time (Wal-Mart open 24/7)
place (distributed to Wal-Mart so I can purchase conveniently
Form (raw ingredients mix to make toothpaste – manufacturer)