Sales Forecasting: The Science and Art That Seems Simple but Is Not
Sales forecasting is often viewed as a basic task, but unless contracts are in hand, its difficulty always persists. The author observes that most practitioners often forecast based on rough estimates of 'slightly higher than last year' and hope for optimistic results. The article reflects on the balance between 'art' and 'science' in forecasting, prompting readers to think about their own forecasting methods.
Unless you hold a signed contract in your hand, sales forecasting has always been—and perhaps always will be—a tricky endeavor.
But should it really be this difficult?
To my frustration, among the many marketing and sales professionals I have encountered, most tend to make rough guesses—typically offering numbers only slightly higher than the previous year—and then secretly hope they have forecasted low, so that actual results can exceed expectations.
So, how do you navigate the balance between the "art" and "science" of sales forecasting?