There are six different methods in sales forecasting that are useful to the managers, starting with, sales force composite estimates, jury of expert opinion, the Delphi method, time series and econometric models, analogy methods, and the last is, point-of-sales based projections.
Sales force composite estimates uses personal observation from the local sales conducted by the force team who are educated in understanding how markets work; these people bring together a forecast useful enough to report to the manager. Since the manager has the biggest responsibility, it is important that he or she is well trained under host or home-country approaches for doing business because this individual holds the responsibility for “interpreting the predictions …show more content…
For instance, let’s believe Nike was not sold in Japan; however, the Japanese people were able to see Nike products through “advertisement” whether that advertisement was on Tiger Woods shirt, or someplace else; also they could have heard of its reputation through friends or family who actually were able to get a shirt or pair of Nike shoes; or lastly they could have experienced a Nike shoe by traveling abroad where they were able to shop at a Nike …show more content…
This is done by knowing the demographics which “are statistics that describe the population, such as age, gender, race, income, education, occupation, social class, life-cycle stage, and household size.” Psychographic segmentation focuses on how people behave and their psychological elements. There are also combinations of both segments demographic and psychographic that have risen which are global youth segment, global elite, and global gay and lesbian segment.
Benefit segmentation relates to why people buy things, what drives or motivates them. When a company can figure out the motivation, then they can comprise the right messages, and send advertisements to satisfy the consumers.
With usage and user segmentation the desire is to have consumers that are considered heavy users, however, companies cannot expect this type of usage when first being introduced into a country. When a country decides to expand into a new territory, there are two negative aspects to consider, first, a company would have to introduce a new product, and secondly, they would have to try and convince new faces to buy it; this can be very expensive, however, rewarding because “these companies also can reap huge rewards, especially if they are first in the
Sales force composite estimates uses personal observation from the local sales conducted by the force team who are educated in understanding how markets work; these people bring together a forecast useful enough to report to the manager. Since the manager has the biggest responsibility, it is important that he or she is well trained under host or home-country approaches for doing business because this individual holds the responsibility for “interpreting the predictions …show more content…
For instance, let’s believe Nike was not sold in Japan; however, the Japanese people were able to see Nike products through “advertisement” whether that advertisement was on Tiger Woods shirt, or someplace else; also they could have heard of its reputation through friends or family who actually were able to get a shirt or pair of Nike shoes; or lastly they could have experienced a Nike shoe by traveling abroad where they were able to shop at a Nike …show more content…
This is done by knowing the demographics which “are statistics that describe the population, such as age, gender, race, income, education, occupation, social class, life-cycle stage, and household size.” Psychographic segmentation focuses on how people behave and their psychological elements. There are also combinations of both segments demographic and psychographic that have risen which are global youth segment, global elite, and global gay and lesbian segment.
Benefit segmentation relates to why people buy things, what drives or motivates them. When a company can figure out the motivation, then they can comprise the right messages, and send advertisements to satisfy the consumers.
With usage and user segmentation the desire is to have consumers that are considered heavy users, however, companies cannot expect this type of usage when first being introduced into a country. When a country decides to expand into a new territory, there are two negative aspects to consider, first, a company would have to introduce a new product, and secondly, they would have to try and convince new faces to buy it; this can be very expensive, however, rewarding because “these companies also can reap huge rewards, especially if they are first in the