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Demand Forecast

A demand forecast estimates how much customers want to buy during a given period, assuming the product is fully available and visible.

Why It Matters

  • •Shows true demand, independent of stockouts.
  • •Prevents underestimating sales potential based on distorted history.
  • •Essential for planning inventory levels and avoiding missed revenue.

Connection to Capital

More accurate demand forecasts reduce unnecessary capital lock and help prevent stockouts that delay cash recovery.

Related Terms

Sales Forecast Seasonality Forecast Horizon

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