Possession utility refers to the value that consumers derive from owning and using a product. It’s the benefit that comes from the transaction process, where a consumer acquires something they want and can subsequently use or enjoy. In simple terms, it is about the satisfaction and usefulness experienced when you possess an item.
For example, when you buy a smartphone, the possession utility comes not just from owning the phone but also from the capabilities it offers—making calls, taking photos, accessing the internet, and so on. The more a product meets specific needs or desires of a consumer, the higher the possession utility becomes.
This concept is vital for marketers and businesses because understanding the possession utility of their products can help them enhance customer satisfaction and loyalty, ultimately driving sales. By focusing on how consumers perceive the value of owning and using their products, businesses can tailor their marketing strategies to highlight these aspects.