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| E1: Customers
Across Many Industries Enjoy Significant Benefits from ATP-funded
Technology(1),
(2)
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Broad-based
economic benefits are the ultimate goal under ATP's legislated mission.
These benefits occur through a number of avenues including:
- Products
entering the early part of the production chain enable many downstream
customers to benefit from the innovation.
Almost all products developed with ATP-funded technology (over 95%)
are sold to customers that use it in their own production process, either
in-house or integrated into a larger product, which is then sold to
their customers.
- Significant
Customer Base.
ATP project participants report an average of 250 customers for products
used in-house and an average of 15 customers for companies that integrate
the product produced by ATP-funded technology into their own product.
- Customers
in Multiple Industries.
Almost half of the companies report that at least some of their customers
are outside of their own industry.
Spillover benefits
accrue to the customers of the products developed with ATP-funded technology
as they use these products to improve their own production processes. A
significant portion of these customers of ATP-funded technology experience
higher productivity as a result of reduced costs, improved performance,
and enhanced quality
(3):
- 8 out of 10 companies
report that use of their product reduces the costs of their customer's
production; over half of the companies reporting reduced costs indicated
that the reduction was by a VERY significant amount.
- 8 out of 10 report
their customers enjoy improved performance through use of their product.·
7 out of 10 report improved product quality.
- 6 out of 10 report
all three attributes: reduced costs, improved performance and increased
quality.
____________________
1. Data collected for this fact sheet
came from two rounds of interviews. The interviews occurred approximately
two years after their ATP project ended. The first set of interviews
cover ATP projects that started after Oct. 1, 1993, and ended by December
31, 1997. The second set of interviews cover ATP projects that started
after Oct. 1, 1994, and ended by December 31, 1998. The combined rounds
covered 178 companies representing 114 single applicant and 22 joint venture
projects. EAO collects data from companies who received an ATP award
at two, four and six years after ATP funding ends.
2.
These data are responses to questions specifically aimed at the most important
market activity that resulted from their ATP project. Therefore, the numbers
presented here understate the overall impact of the ATP project on the
customers of these firms.
3. This section refers to commercial products, not
processes, developed with ATP-funded technology. Specifically, how the
customers of these products use them as inputs in order to improve the
quality or reduce the cost of their final product.
Date created: September
3, 2002
Last updated:
June 23, 2003
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