Transcript The Five Economic Utilities

The Five Economic
Utilities
5 Economic Utilities
• Form Utility
• Place Utility
• Time Utility
• Possession Utility
• Information Utility
Form Utility
• Changing raw materials or putting parts together
to make them more useful
• Not directly related to marketing
• Example:
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Chain
Wheels
Handlebars
Gears
What do these parts make??
Form Utility (Example 2)
• When you cut down a tree and use
the lumber to create pencils, paper,
furniture, etc.
• The tree now becomes more valuable
to the customer.
Place Utility
• Having a product where customers
can buy it.
• Most convenient
• Most efficient
• Catalogs, retails stores, internet
Time Utility
• Having a product available at a
certain time of year or a
convenient time of day.
• Give me some examples!
Possession Utility
• The exchange of a product for some
monetary value.
• Cash
• Credit/Debit Cards
• Checks
• Layaway
Information Utility
• Communication with the consumer
• Salespeople
• Displays
• Packaging and Labeling
• Advertising
EXAMPLE OF THE FIVE
UTILITIES USING
ILLUSTRATIONS
ACTIVITY
Make a PowerPoint on the
5 ECONOMIC UTILITIES
FOR YOUR CANDY BAR
(2-3 pictures on each slide)
5 Economic Utilities
• Form Utility
• Place Utility
• Time Utility
• Possession Utility
• Information Utility