Trade Promotion Forecasting

Forecasting the impact or “lift” of promotions relative to baseline remains one of the most challenging problems in demand-driven planning. Promotions can be enormously costly, estimated at as much as 12-15% of gross revenues for some businesses.  Forecasting promotions are time consuming and difficult because a large number of variables with complex interactions are buried in huge amounts of data with a high degree of noise. Even with substantial expertise, it’s usually not possible to understand the correlations among the variables involved.

We use powerful machine learning technology (Artificial Intelligense) that makes good promotion forecasting reachable for the first time. We have seen examples of a 20% reduction in forecast error, 30% reduction in lost sales and 30% reduction in obsolescence.

To know more about this area please contact Magnus Edberg, Sales Director Optilon at:
+46 (0)709-379 281, magnus.edberg@optilon.se