Can anyone help me with sales forecasting?

Can you help answer this question:
"Evaluate the importance of sales forecasting to the effectiveness of a company’s marketing planning"

Any suggestions welcome

Both comments and pings are currently closed.

2 Responses to “Can anyone help me with sales forecasting?”

  1. Biz Advisor says:

    Marketing planning will take into account market segmentation, target marketing, competitive analysis and strategy, the product (features, benefits, positioning, strategies, etc.), the price, the promotion (personal selling, advertising, direct marketing, etc.), and the place or distribution strategies.

    These two ‘events’ (sales forecasting and marketing planning) are interdependent. Sales forecasting must utilize the marketing planning inputs (product, price, promotion and place) and predict sales during a specified period (month, quarter, year, number of years). Marketing planning must consider the sales forecast – how much product is expected to be sold, is there a seasonality to the sales of the product, what impact will competition and price have on sales, what impact will distribution have on sales, etc.

    Sales forecasting uses a number of assumptions (connection to economy, inflation, exchange rate, etc.) that are external to the company but that should be considered in trying to achieve the sales forecast and in planning a marketing approach that will be effective.

  2. manx girl Isle of Man. says:

    Firstly your forecasting and everybody Else’s forecasting gives the company a rough all round forecast of what the sales will be for the next quarter or year or whatever.

    It is the hardest thing to do especiallywith the credit crunch and people only buying what is necessary,

    I suppose the importance is that the company can make sure said stock is in and ready to go, they can budget when they buy for special rates etc. A proportion of the Profits will solely be used for marketing so I guess this also gives the marketing guy his budget as a proportion so he knows where and what he can spend, . Every Bank when you start off a new business wants forecasts which sometimes amuses me it;s usually an unknown entity for the first year of trading.

    I guess thats what it might mean, everything about the company and budget allocations for car expenses, new vehicles, new office computers all have to come out of the budget, which is ultimately set by the Sales Team, who are then given higher Targets so they get pushed that extra mile.

    I have no idea if this has helped you at all!

    The worst thing that can happen is the budgets be way under (sales lower) when those upstairs have expected higher results

Powered by WordPress | Designed by: free css template | Thanks to hostgator coupon and web hosting reviews