Question

Matthew is planning a trip to Mexico for spring break. One night about midnight, he decides to visit Orbitz, an airline, car rental, and lodging electronic reservation system, to book his flight using the computer in his dorm room. He connects to Orbitz, where he is prompted to enter his preferred travel dates and times and to specify that price is the most important factor to him. Data about several flights on various airlines, arranged from least to most expensive, appear on his screen. He requests aisle seats on a two-stop itinerary because this best meets his needs. Orbitz then prompts Matt to provide his credit card information to complete the booking process. After the transaction, a copy of his receipt and itinerary are emailed to him. The total time to complete the transaction is less than five minutes. Orbitz created customer value for Matt by contributing to which of the following form(s) of utility?

a. time utility.
b. place utility.
c. possession utility.
d. form utility.
e. all four utilities: time, place, possession, and form.

Answer 1

The answer is E.

Step-by-step explanation:

Time utility refers to the concept in which a customer is provided with the goods or service that they want when they want it.

Place utility refers to the phenomenon of providing customer services at the place where a customer wants it. The attractiveness of a product or service can be increased by the manipulation of its location.

Possession utility describes the utility that customers derive from a product or service, when they can use the product or service for the purpose which it was intended or finding a new way to use the product.

Form utility refers to the process in which the physical appearance of a product or service is altered with the aim of increasing its attractiveness.

Following the definitions above, we can conclude that:

• Orbitz created time utility by delivering the service to Matt when he needed it.

• Orbitz created place utility by delivering the service to Matt where he wanted it.
• Orbitz created possession utility by making sure that Matt got served the way he wanted to use the service.
• Lastly, Orbitz created form utility by offering the service by making the whole process very easy and convenient, as the whole service took only five minutes to complete, and Matt could easily make payments with his credit card.

Answer 2

The correct answer is e. all four utilities: time, place, possession, and form.

Step-by-step explanation:

Matthew will probably use the Orbitz service again to make his flight reservations, since this platform offers the experience of being able to decide according to people's needs and, from that point on, identify the most convenient options to decide. Matthew saved time because he did not have to go to a physical office, using virtual media he felt more secure in the process. From there the experience is usually very helpful in the process of purchasing, confirming and searching for information.