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What do you understand by sales forecast in marketing?
Sales forecasting is the prediction of a company about its future sales. This is done usually in the next budgetary year. Accurate forecasting helps a company to make well informed business related decisions. For established companies, it is very easy to forecast their sales based on the past records but for new companies, it is not that easy as they have to base their forecast on less verified information like market research and competition analysis to forecast future business. Some of the basic tips that you need to follow are:
- Develop a unit sales projection.
- Use past data if you have it.
- Use factors for a new product.
- Break the purchase down into factors.
- Be sure to project prices.
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