Most of the customers we talk to use spreadsheets to predict future sales based on moving averages of the past X amount of weeks. The main problem with this approach is it doesn't take into consideration enough variables including seasonal and annual trends. The best statistical approach (non AI / machine learning solution) for forecasting we believe is still the Holtz-Winter system also known as 'Triple Exponential Smoothing.' These algorithms can be used even without a ton of sales data to increase or accuracy by up to 50%!
Have a LOT of DATA and NEED a CUSTOM Solution?
For our larger clients with at least 3 years of sales data, we recommend using machine learning algorithms to predict. These algorithms used in conjunction with data clustering perform even better than the Holtz-Winter algorithms. We have several in-house experts on hand to get the right algorithm for your business, giving you the right dashboards at the right time.