Which functions of marketing help to create ‘time-utility’ and ‘place utility? Explain.
(i) Storage and warehousing Usually, there is a time gap between production or procurement of goods and their sales. Therefore, it is necessary to make arrangements for storage of goods, so that a regular supply of goods is maintained in the market.
It also helps to avoid delays in delivery and meeting contingencies in demand. This also helps in stabilising the prices of products in the market. Thus, it helps to create ‘time-utility’.
(ii) Transportation It involves physical movement of goods from one place to another. While production of a good takes place at a place, its consumers are spread over a vast area. Therefore, it is necessary to make available these goods at places where they are needed. Thus, transportation helps to create ‘place-utility’.