Retail Technology Glossary

A forecast refers to an estimation or prediction of future events or outcomes based on available data, trends, and analysis. It involves using historical information, statistical models, and other relevant factors to project or anticipate future conditions, such as sales, demand, market trends, or financial performance. Forecasts are utilized in various fields, including business, economics, weather, and sports, among others, to make informed decisions and plans. By examining past patterns and applying statistical techniques, forecasts provide insights into potential future scenarios, enabling businesses and individuals to allocate resources, set goals, and make strategic decisions. The accuracy of a forecast depends on the quality of data, the validity of assumptions, and the precision of the forecasting techniques employed.

Forecasting plays a crucial role in planning, risk management, and performance evaluation, allowing organizations to navigate uncertainties and seize opportunities proactively.