Product Development & Utility

Question 1

Utility

Answer 1

• Utility is what is added to the product that makes it valuable.
• It influences the value equation by providing the consumer with something they did not have before.

Question 2

FORM Utility

Answer 2

the product look or type of service

Question 3

6 forms of FORM utility

Answer 3

1. material
2. scent
3. flavour
4. colour
5. design
6. packaging

Question 4

Information Utility

Answer 4

• Provides the consumer with info about the product
• Well written manuals, over the phone help, internet sites, directions to the store, etc…

Question 5

PLACE Utility

Answer 5

• Place utility is high if the customer can
  easily purchase the product
• If the product is available in a local store, it is good
• Example: local movie stores, McDonald’s

Question 6

Time Utility

Answer 6

Providing products in the marketplace when the consumer needs it adds value to the product.

Question 7

Possession Utility

Answer 7

• Makes the product easier to buy
• Credit cards, debit cards, accepting cheques, finance
  plans, buy now pay later!
  Example: McDonald’s now accepts credit cards.