The attach rate is a concept used broadly in business, especially in marketing, to represent the number of units of a secondary product/service sold as a direct or implied consequence of the sale of a primary product/service. It is often expressed as a sales ratio of primary to secondary units, or as secondary units sold as a percent of primary. The secondary good/service may be an integral component of the primary purchase (e.g., Bluetooth circuits/capabilities sold within electronic devices) or it may require a further consumer decision (e.g., as in video games sold per unit of the primary console sold). For the latter, the association between the primary and secondary may be general and loose (e.g., DVD-Video discs purchased per primary DVD player sold), or may be the result of product-specific designs (e.g., as with console-specific video games, or sales of phone-specific accessories per unit of a particular mobile phone sold).
Business is the activity of making one's living or making money by producing or buying and selling products. Simply put, it is "any activity or enterprise entered into for profit. It does not mean it is a company, a corporation, partnership, or have any such formal organization, but it can range from a street peddler to General Motors."
Marketing is the study and management of exchange relationships. Marketing is the business process of creating relationships with and satisfying customers. With its focus on the customer, marketing is one of the premier components of business management.
Bluetooth is a wireless technology standard for exchanging data between fixed and mobile devices over short distances using short-wavelength UHF radio waves in the industrial, scientific and medical radio bands, from 2.400 to 2.485 GHz, and building personal area networks (PANs). It was originally conceived as a wireless alternative to RS-232 data cables.
The attach rate concept is widely used as a means of reporting desirable sales associations/outcomes in the computer/video gaming industry, and in technology-related marketing in general. While complexities of real situations can obscure interpretation, attach rates often provide a metric for marketers of both primary and secondary products, allowing them to assess and even forecast the impact of the popularity of a given technology platform. Rapid sales of primary products create the market for the secondary product; conversely, the sale of platform-specific secondary products provides an indication of longer term demand for the primary platform. Real interpretive complications in technology include the general rapid evolution of both primary and secondary products, as well as factors such as changes to attach rates over a product's life cycle (e.g., because of the unrepresentative behavior of early adopters). Attach rates for products are also used more broadly in marketing, and strategically, attach rates can factor into the decision of a primary product manufacturer to merge with or acquire a secondary product manufacturer, and in the valuation of businesses in such times of times of mergers and acquisitions.
An early adopter or lighthouse customer is an early customer of a given company, product, or technology. The term originates from Everett M. Rogers' Diffusion of Innovations (1962).
Mergers and acquisitions (M&A) are transactions in which the ownership of companies, other business organizations, or their operating units are transferred or consolidated with other entities. As an aspect of strategic management, M&A can allow enterprises to grow or downsize, and change the nature of their business or competitive position.
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The attach rate is a concept used broadly in business, especially in marketing, to represent the number of units of a secondary product or service sold as a direct or implied consequence of the sale of a primary product or service. [ better source needed ]It is often expressed as a sales ratio of primary to secondary units, or as secondary units sold as a percent of primary.
The good or service may rely upon a secondary consumer decision (e.g., as in console-specific video games purchased per primary console sale), or be an integral component of the primary purchase (e.g., Bluetooth circuits/capabilities shipped within primary electronic devices sold). For those requiring secondary decisions, the association between the primary and secondary may be general (e.g., the loose association between sale of one or more brands of DVD-Video discs purchased per primary DVD player sale), or may be the result of product-specific designs (e.g., the foregoing video game–console tight association, similarly with phone-specific accessories for particular mobile phones).
A video game is an electronic game that involves interaction with a user interface to generate visual feedback on a two- or three-dimensional video display device such as a TV screen, virtual reality headset or computer monitor. Since the 1980s, video games have become an increasingly important part of the entertainment industry, and whether they are also a form of art is a matter of dispute.
A video game console is a computer device that outputs a video signal or visual image to display a video game that one or more people can play.
DVD-Video is a consumer video format used to store digital video on DVD discs. DVD-Video was the dominant consumer home video format in Asia, North America, Europe, and Australia in the 2000s until it was supplanted by the high-definition Blu-ray Disc. Discs using the DVD-Video specification require a DVD drive and an MPEG-2 decoder. Commercial DVD movies are encoded using a combination MPEG-2 compressed video and audio of varying formats. Typically, the data rate for DVD movies ranges from 3 Mbit/s to 9.5 Mbit/s, and the bit rate is usually adaptive. DVD-Video was first available in Japan on November 1, 1996.
The attach rate concept is widely used as a means of reporting desirable sales associations/outcomes in the gaming industry, though it is common in many technology-related marketing discussions. For instance, in an example related to computer or game console software, a situation may occur wherein:[ citation needed ]
In this example, Platform A has a much higher attach rate (5 titles sold per hardware unit sold, or 5:1), versus Platform B (1 title sold per hardware unit sold, or 1:1) Hence, while in absolute terms, Platform B is outselling Platform A (by a factor of 10:1), the much higher attach rate of Platform A (5:1, vs. 1:1) has business implications. In particular, software publishers may view Platform A as the more attractive, depending on the rate of sales of each platform, because that platform only needs to sell an additional 1,000 units for their title sales to match the sales related to Platform B.[ citation needed ]
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While complexities of real situations can obscure interpretation, attach rates can provide a measure for marketers of both primary and secondary products, allowing them to assess and even forecast the impact of the popularity of a given product (e.g., of a given gaming or other technology platform). Rapid sales of primary products such as game consoles, personal computers, and cell phones create the market for a host of secondary products. Conversely, in cases where the secondary product purchase requires a further customer decision—i.e., ignoring integral examples like the Bluetooth case—the sale of platform-specific secondary products provides an indication of longer term demand for that primary platform, or related versions of that platform, to continue to support the secondary product.
Real circumstances in technology and other business sectors complicate interpretation of attach rates. These complications include the rapid evolution of both primary and secondary products (e.g., the evolution of gaming platforms away from being single use devices, and of games from having only a single means of distribution). As well, factors such as changes in attach rates early in life cycle (when behavior of early adopters of technology is unrepresentative of the overall market) and late (when consumer behavior may have changed with regard to how they use the primary product) also make interpretation and forecasting of attach rates difficult.
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Attach rates for products can factor into the decision of a primary product manufacturer to merge with or acquire a secondary product manufacturer, and can impact the valuation of businesses in such times of times of mergers and acquisitions.[ citation needed ]
A handheld game console, or simply handheld console, is a small, portable self-contained video game console with a built-in screen, game controls, and speakers. Handheld game consoles are smaller than home video game consoles and contain the console, screen, speakers, and controls in one unit, allowing people to carry them and play them at any time or place.
Nintendo Co., Ltd. is a Japanese multinational consumer electronics and video game company headquartered in Kyoto. Nintendo is one of the world's largest video game companies by market capitalization, creating some of the best-known and top-selling video game franchises, such as Mario, The Legend of Zelda, and Pokémon.
The Nintendo 64, stylized as NINTENDO64 and abbreviated as N64, is Nintendo's third home video game console for the international market. Named for its 64-bit central processing unit, it was released in June 1996 in Japan, September 1996 in North America and Brazil, March 1997 in Europe and Australia, and September 1997 in France. It is the last major home console to use the cartridge as its primary storage format until Nintendo's seventh console, the Nintendo Switch, released in 2017. The console was discontinued in mid-2002 following the launch of its successor, the GameCube, in 2001. It is the first Nintendo console to feature true 3D effects. Super Mario 64 and Pilotwings 64 were made to show this off, as seen in the 3D Mario environment.
The Virtual Boy is a 32-bit table-top video game console developed and manufactured by Nintendo. Released in 1994 it was marketed as the first console capable of displaying stereoscopic 3D graphics. The player uses the console in a manner similar to a head-mounted display, placing their head against the eyepiece to see a red monochrome display. The games use a parallax effect to create the illusion of depth. Sales failed to meet targets, and by early 1996, Nintendo ceased distribution and game development, only releasing 22 games for the system.
The 3DO Company, also known as 3DO, was an American video game company. It was founded in 1991 by Electronic Arts founder Trip Hawkins, in a partnership with seven companies including LG, Matsushita, AT&T Corporation, MCA, Time Warner, and Electronic Arts itself. After 3DO's flagship video game console, the 3DO Interactive Multiplayer, failed in the marketplace, the company exited the hardware business and became a third-party video game developer. It went bankrupt in 2003 due to poor sales of its games. Its headquarters were in Redwood City, California in the San Francisco Bay Area.
The 3DO Interactive Multiplayer, often called the 3DO, is a home video game console platform developed by The 3DO Company. Conceived by entrepreneur and Electronic Arts founder Trip Hawkins, the 3DO was not a console manufactured by the company itself, but a series of specifications, originally designed by Dave Needle and R. J. Mical of New Technologies Group, that could be licensed by third parties. Panasonic produced the first models in 1993, and further renditions of the hardware were released in 1994 by GoldStar and in 1995 by Sanyo.
The Nintendo GameCube is a home video game console released by Nintendo in Japan and North America in 2001 and Europe and Australia in 2002. The sixth generation console is the successor to the Nintendo 64, designed to compete with Sony's PlayStation 2 and Microsoft's Xbox.
Power Player Super Joy III is a line of handheld Nintendo Entertainment System/Famicom video game console clones. They are notable for legal issues based on the violation of intellectual property rights held by Nintendo and its various game licensees. Manufactured by NrTrade, the Power Player line has been sold in North America, Brazil, Europe, Asia, and Australia.
A mobile game is a game played on a feature phone, smartphone/tablet, smartwatch, PDA, portable media player or graphing calculator. The earliest known game on a mobile phone was a Tetris variant on the Hagenuk MT-2000 device from 1994.
Complex sales, also known as Enterprise sales, can refer to a method of trading sometimes used by organizations when procuring large contracts for goods and/or services where the customer takes control of the selling process by issuing a Request for Proposal (RFP) and requiring a proposal response from previously identified or interested suppliers. Complex sales involve long sales cycles with multiple decision makers. Multiple stakeholders and stakeholder groups contribute to every complex sale.
Mobile marketing is multi-channel online marketing technique focused at reaching a specific audience on their smartphones, tablets, or any other related devices through websites, E-mail, SMS and MMS, social media, or mobile applications. Mobile marketing can provide customers with time and location sensitive, personalized information that promotes goods, services and ideas. In a more theoretical manner, academic Andreas Kaplan defines mobile marketing as "any marketing activity conducted through a ubiquitous network to which consumers are constantly connected using a personal mobile device".
The Xbox is a home video game console and the first installment in the Xbox series of consoles manufactured by Microsoft. It was released as Microsoft's first foray into the gaming console market on November 15, 2001, in North America, followed by Australia, Europe and Japan in 2002. It is classified as a sixth generation console, competing with Sony's PlayStation 2 and Nintendo's GameCube. It was also the first console produced by an American company since the Atari Jaguar ceased production in 1996.
Teufel Audio is a owned company based in Berlin, Germany, which specialises in loudspeakers and accessories.
Feature phone is a term typically used as a retronym to describe a class of devices that are still technically otherwise smartphones, besides their lack of highly advanced hardware and capabilities of modern ones. Feature phones tend to use a proprietary, custom-designed software and user interface, and typically provide voice calling and text messaging functionality in addition to basic multimedia and Internet capabilities and other services offered by the user's wireless service provider. Feature phones have a backlit LCD screen and micro USB port and have a physical keyboard, a microphone, SD card slot, a rear-facing camera to record video and capture pictures; and GPS. Some feature phones include a rudimentary app store that include basic software such as mobile games, calendar and calculator programs.
Console exclusivity refers to the status of a video game being released only on video game console. Console exclusivity is a topic used in discussions of the advantages and disadvantages of rival firms in the video game market, and one which is used for marketing by firms involved. Industry analysts generally agree that there is a correlation between availability of exclusive titles, and hardware sales. Major firms have purchased smaller businesses in order to secure software titles for themselves. Exclusivity is also occasionally used in software released across multiple platforms, in order to add a unique element into each different version.
The PlayStation Vita is a handheld game console developed and released by Sony Computer Entertainment. It is the successor to the PlayStation Portable as part of the PlayStation brand of gaming devices. It was released in Japan on December 17, 2011, with releases in North America, Europe, and other worldwide regions starting on February 22, 2012. It primarily competed with the Nintendo 3DS as part of the eighth generation of video game consoles.
The Wii U is a home video game console developed by Nintendo, and the successor to the Wii. The console was released in November 2012 and was the first eighth-generation video game console, as it competed with Microsoft's Xbox One and Sony's PlayStation 4.
The Nintendo Switch is a video game console developed by Nintendo and was released on March 3, 2017. It is a hybrid console that can be used in both stationary and portable settings. In the home console mode, the main unit is inserted onto a docking station to connect to a television screen or monitor. Alternatively, for portable use, it can be removed from the dock and operated similarly to a tablet computer through its LCD touchscreen. It can also be placed in a standalone tabletop mode visible to several players. Its wireless Joy-Con controllers, which include standard buttons and directional analog sticks for user input, motion sensing, and high-definition tactile feedback, can attach to both sides of the console to support handheld-style play. They can also connect to a Grip accessory to provide a traditional home console gamepad form, or be used individually in the hand like the Wii Remote and Nunchuk, supporting local multiplayer modes. The Nintendo Switch's software supports online gaming through standard Internet connectivity, as well as local wireless ad hoc connectivity with other Switch consoles. Nintendo Switch games and software are available on both physical flash-based ROM cartridges and digital distribution via Nintendo eShop; the system does not use region locking. As an eighth-generation console, the Nintendo Switch competes with Microsoft's Xbox One and Sony's PlayStation 4.