An attachment rate is a valuation that predicts the amount of complementary goods sold in relation to a primary product. Companies use this to identify marketing and sales opportunities for related product lines. Determining the attachment rate involves projecting the average number of complementary units sold for use with a parent product. It helps manufacturers adjust their product lines and remain viable in the marketplace.
Sometimes referred to as an attachment rate, an attachment rate is a type of valuation that projects the amount of complementary goods likely to be sold in relation to a primary product type. The idea is that purchasing that primary product will automatically generate a measurable amount of product sales that have a direct correlation to that product. Projecting the attachment rate can help companies identify marketing and sales opportunities for product lines that are somehow connected to one or more primary products.
Determining the attack rate usually involves ascertaining how many complementary units of a given product will be sold for use with a parent product within a given time frame. For example, a manufacturer that produces a line of CDRs can project the average number of units the average consumer will purchase each year for use with a laptop. Making this type of projection often requires the use of historical data and an understanding of the changes that are already taking place in the market and are forecast for the period in question. The end attack rate is usually expressed as the ratio of a certain number of units sold of the related product relative to the sale of one unit of the main or primary product.
The nature of the complementary goods sold as a result of their association with a primary product can be quite large, making it necessary to determine an attack rate for each of these related goods. For example, in the case of a DVD player, complementary products may include DVD discs, cleaning products that are formulated to remove dust from discs, and even replacement cases for DVDs. With each of these related goods, a producer would seek to determine an attachment rate as a means of gauging the demand for those goods and then schedule production quotas accordingly.
Evaluating the attachment rate for a complementary good can also help alert manufacturers that time is approaching phase and sometimes phase out production of a particular product. This was true during the latter 20th century, as the introduction of CDs eclipsed the sale of vinyl records. As stereo equipment manufacturers began phasing out turntables as part of a basic system, record companies focused more on producing audio cassettes and CDs, slowly reducing the number of vinyl recordings they pressed each year. At the same time, manufacturers of vinyl record cleaners and stereo needles began to reduce production of such related items, while incorporating the production of cleaning kits suitable for CDs. By understanding the variations in the attack rate, manufacturers have been able to adjust their product lines and remain viable in the marketplace.
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