Presentation

on
Forecasting And Demand
Management

Made By :-
Shefali Gupta
Sonal Agarwal
What does
market demand
refers to ?
Market Demand refers to:-
Market demand For a product is the total volume that would be bought.

By a defined customer group.

In a defined geographical area.

In a defined time period.

In a defined marketing environment

Under a defined marketing program.

Which market to measure ?
Market ?

Potential market Available market Target market Penetrated market

 Estimating current
demand

Total Area Total

industry
Current market sales &
demand demand market share
What Do you
Mean By
Forecasting ?
Forecasting is the art of anticipating what buyer’s are likely to do under a given
set of conditions.
If the Forecast is Far off Company
Will Face The Problem Of :

Inadequate
Excess Inventory
inventory
Forecast are built on 3 information bases :-

Forecast
are
based on

What
What What
people
people say people do have done
Sales forecast are used by :-
Finance To raise the needed cash for investment
●

department & operations.

Manufacturing
To establish capacity & output level.
●

department

Purchase
To Acquire right amount of supplies.
●

Department

H.R.
To hire the needed number of workers.
●

Department
Actions taken by a company if not satisfied
by its current sales :-
Attract large percentage of buyers from target market.

Lower the qualification of potential buyer.

Expand its available market by opening distribution elsewhere.

By lowering the product’s price

Repositioning itself in the mind of its customers.