 Salesforecasting means predicting the level of

sales in terms of units or amount for a given

period of time.
 Acc to Mathew:
“Sales forecast is an estimate of sales
of a company’s product that are expected to be
achieved during a given future period in a given place”
 It is an estimate of sales for a certain future period.
 It is expressed in monetary terms.
 Planning of other department is based on it
 Formulating suitable production plan
 Formulating suitable purchase plan
 To estimate financial requirements
 To frame appropriate price policy
 To exercise sales control
 To select distribution channel
 To estimate future profit of the organization.
 Economic condition
 Conditions within the company
 Level of competition
 Past sales
 Amount of promotion budget
 Deciding basic issues in forecasting
 Identifying the factors which affect future sales
 Selecting suitable method of sales forecasting
 Making preliminary sales forecast
 Making final sales forecast
 Making operational programme for achieving
estimated sales
 Evaluation & revision of sales forecasts
 Executive opinion method
 Experts opinion method
 Sales force opinion method
 Delphi method
 Users expectation method
 Past sales projection method
 Market test method
 Statistical methods