Essay - Sales Forecast Subject: Sales Forecast Memo as the Denim Marketplace...


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Sales Forecast

Subject: Sales ***** Memo

As the denim marketplace continues to show moderate unit and financial growth year over year, and as dem***** for Blue's denim products shows wide seasonal variation, having a solid forec*****st to plan both advertising budgets and production from are critical.

Using a 2 ye*****r weighted average forecasting technique where the first of the two years is weighted with.9 ***** the second with.1, a global market size of $37B ***** forecasted. This translates into 742M units worldwide, with an upper r*****ge of 777M units globally based on the forecast. Producti***** is set at 45M units, with a potenti*****l uplift to 54M units possible.

Secondly, projecting sales based on advert*****ing budget spend has been completed, using the ad budget as the independent variable in regression analysis. The correlation coefficient of sales with the advertis*****g budget is.96, which is very strong statistically, and shows that the advertising budget needs to be at le*****t matching $162M if the company is to attain its primary sales objective.

Expected sales for ***** year ***** $2.4M which ***** the ***** coefficients completed in the analysis would lead to a $***** advertis*****g budget. Setting the advertising budget of $169M is perfectly aligned with the correlation coefficient ***** *****. The strength of this correlation is statistically significant ***** supports previous analyses into the impact of ***** *****ing on

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