While marketing, promotions, and merchandising can affect future sales, consumer behavior is also driven by factors such as wages, cost of fuel, consumer sentiment, and many more.
CPG companies realize that without expanding their analysis, the true consumer story will be incomplete and can have detrimental effects. The Institute of Business Forecasting and Planning says that SKU level sales forecasts are off by a staggering 37% on average, resulting in excess safety stock, poorly timed promotions, or market share loss. Companies that do incorporate external data effectively will have a significant advantage, discovering economic or consumer headwinds/tailwinds months before competitors.
This illustrated playbook describes the 5 critical steps to incorporate the latest in predictive analytics and syndicated data to predict consumer purchase behavior with remarkable accuracy.
See below for excerpts from this download.