Capterra Glossary
Utility
Utility is the benefit associated from consuming an item or service. The level of usefulness of this item or service is what determines its utility. It is the goal of the consumer to gain the most utility out of their purchase as they can. This can refer to a piece of clothing, personal care product, car, house, financial service, and more. It is the goal of the service provider to provide the best customer experience to keep a good relationship and gain referrals. The measure of satisfaction an individual gets from a commodity is extremely important because it determines the reputation of the service provider. Most of the time, services or products that are more expensive will have a higher level of satisfaction and utility. This means that the product or service is of higher quality, so it should deliver favorable results.
What Small and Midsize Businesses Need to Know About Utility
Small and midsize businesses should strive to provide a product or service with a high level of utility. For example, an auto body shop should send their customers off in their vehicles with confidence that the vehicle is safe to operate. Also, a hair colorist should gain an understanding of exactly what their client desires, and dye their hair accordingly. If customers are satisfied with what they gained from the services provided to them, the company will have repeat customers, and gain more in the process due to positive reviews.