Demand Forecasting refer to an estimate of FUTURE DEMAND for goods and services Assessment of future Demand SURVEY METHOD Opinion survey method Expert opinion Delphi Method Customer Interview Method STATISTICAL METHOD Time Series Analysis Correction Regression Sales man are asked to submit the detailed estimates and these estimates are consolidated, reviewed and adjusted by the companies This method Less costly

1. Demand forecasting
P.Pandidurai M.A., M.Phil.,
Assistant Professor
Prof.Dhanapalan college of arts and Science

2. Meaning
 Demand Forecasting refer to an estimate of
FUTURE DEMAND for goods and services
 Assessment of future Demand

3. Types of Forecasting Methods
SURVEY METHOD
a) Opinion survey method
b) Expert opinion
c) Delphi Method
d) Customer Interview Method
STATISTICAL METHOD
a) Time Series Analysis
b) Correction
c) Regression

4. Opinion survey method
 Sales man are asked to submit the detailed estimates and these estimates are
consolidated, reviewed and adjusted by the companies
 This method Less costly

5. Expert opinion Method
 experts are requested to provide their opinion about the product. Generally, in an
organization, sales representatives act as experts who can assess the demand for the
product in different areas, regions, or cities.

6. Delphi Method
Delphi Method Refers to a group decision-making technique of forecasting demand. In
this method, questions are individually asked from a group of experts to obtain their
opinions on demand for products in future. These questions are repeatedly asked until a
consensus is obtained.

7. Customer Interview Method
 In this Method, consumers are contacted personally to know the merits and demerits of
the product.

8. Time Series
 In this method, sales forecasts are made through analysis of past data taken from
previous year’s books of accounts. In case of new organizations, sales data is taken
from organizations already existing in the same industry. This method uses time-series
data on sales for forecasting the demand of a product.

10. Correlation
 Relationship between Two are more Variable its
called Correlation

11. Regression
 Regression Methods refer to the most popular method of demand forecasting. In
regression method, the demand function for a product is estimated where demand is
dependent variable and variables that determine the demand are independent variable.

12. Question time

13. Thank You