:https://az712634.vo.msecnd.net/samplesimg/v1/T1/5.png Jury of Executive Opinion: This method of sales forecasting is the oldest. **3.3. **6A.3. **5.0** Open experiment "Retail Forecasting: Step 5 of 6, evaluate models". ** Select a time series based on the goodness of training and testing data. ** Fit demo regression model 2: [**Decision Forest Regression**](https://msdn.microsoft.com/library/azure/562988b2-e740-4e3a-8131-358391bad755) For a comprehensive comparison, you can select the **Entire grid** option instead, but be aware that this can take a long time. ** Set the web service output. Instruction **2** below explains how to customize the settings of the **Reader** and **Writer**. ! **2.2. All Rights Reserved Smartsheet Inc. 12-Month Sales Forecasting Template for Multiple Products, Product Sales and Profit Forecasting Template, Opportunity-Based Sales Forecast Template, Bed and Breakfast (B&B) Sales Forecast Template, Improve Sales Forecasting with Smartsheet for Sales, 12-month sales forecasting template for multiple products, The Last Guide to Sales Forecasting You'll Ever Need: How-To Guides and Examples. If not, the R module stops and returns a 500 error on the web service output. Retail Sales Forecasting at Walmart Brian Seaman WalmartLabs . Download Sales Forecast Presentation Template - PowerPoint. **5.7. Statistical Methods. In this case, you should use R’s **naïve** function instead. When teams have clarity into the work getting done, there’s no telling how much more they can accomplish in the same amount of time. - Season features We can improve the models based on insights gained from here. As part of the Azure Machine Learning offering, Microsoft provides a template letting data scientists easily build and deploy a retail forecasting solution. This design greatly enhances efficiency. [6B]:https://az712634.vo.msecnd.net/samplesimg/v1/T1/6B.png For future planning, resource allocation, appeasing the suits on your Board and setting expectations, this is absolutely critical. This customizable retail sales forecasting template projects the total annual revenue for a five-year time span. This sales forecast template is user-friendly and displays the monthly and yearly sales projection for a product at a glance. **[Retail Forecasting: Step 6A of 6, deploy a web service with a time series model](http://gallery.azureml.net/Details/370c80490e774a6cb26edba69c583c9b)** ! **Static** information includes store location, size, etc. (This association can be customized, and more IDs can be added with a moderate knowledge of R.) ADVERTISEMENTS: After reading this article you will learn about:- 1. Discard a time series if the last six values in training data set are all missing or more than half of the testing data are missing. Procedure 8. This module produces the output dataset, _Regression Results_. How to forecast these features is an interesting topic, which is beyond the scope of this template. Download Sales Forecasting by Lead Stage Template - Excel. [res3]:https://az712634.vo.msecnd.net/samplesimg/v1/T1/res3.png This sales forecast sample template is simple to use and provides an example of the forecasted sales of a product. ** Load the dataset, _Time Series Results_. **2.4. The Smartsheet platform makes it easy to plan, capture, manage, and report on work from anywhere, helping your team be more effective and get more done. ** Extract the corresponding time series. This sales forecasting template projects the annual revenue of a hotel over a five-year time span. ! [tb3_2]:https://az712634.vo.msecnd.net/samplesimg/v1/T1/tb3_2.PNG ##Retail Forecasting: Step 5 of 6, evaluate models Keeping data in the cloud is also the most convenient way to ensure that intermediate datasets that are shared between experiments are always the newest version. [tb0_ipt2]:https://az712634.vo.msecnd.net/samplesimg/v1/T1/tb0_ipt2.PNG Sales forecasting is an essential task for the management of almost any retail organization. This module produces the output dataset, _Train Data for Regression_. This sales forecast template provides a weighted forecast for opportunities based on the probability of the sale. [service]:https://az712634.vo.msecnd.net/samplesimg/v1/T1/service.png ! However, there is no conclusive answer as to which model works the best – it really depends on the data. Download Product Sales and Profit Forecasting Template - Excel. If you would like to get your hands dirty by playing around with the code and models, you can generate new intermediate datasets that are different from the default ones. - Weekday-and-weekend features Because retail data are updated frequently, we recommend using online data sources for input datasets, to enable real-time updates in an end-to-end solution. Accurate and timely forecast in retail business drives success. - Fourier features to capture seasonality ## Parallelization Consideration The dataset of economic indices is collected at the national level, so every store can share the same information. ** Provide the same modeling parameters as those in Step 1.2. Forecasting models are typically retrained frequently, using updated data, to make more accurate predictions. This template demonstrates two possible rules: ** Specify the IDs to forecast. [tb0_ipt1]:https://az712634.vo.msecnd.net/samplesimg/v1/T1/tb0_ipt1.PNG The time stamps in her data follows the format of **“%m/%d/%Y”**. Once you enter those values, the total number of customers, sales, and revenue will calculate with pre-built formulas. ©2021. The Excel forecasting templates are free to download. This customizable retail sales forecasting template projects the total annual revenue for a five-year time span. Microsoft Azure Machine Learning provides a cloud-based machine learning platform for data scientists to easily build and deploy machine learning applications. ** Provide modeling parameters. Retail-related information can be divided into two categories: static and temporal. [res2] Before we go too much further on various sales forecasting methods and models, we should set a common understanding of what a forecast is. [res1]:https://az712634.vo.msecnd.net/samplesimg/v1/T1/res1.png Note that **STL** won’t work when seasonality equals 1. Popular methods such as artificial neural network (ANN) models [15 1. Then, add budgets for operating, payroll, and office expenses. ** Check if this time series satisfies the business rules that we set in Step 1.3. **3.9. **1.0. ! [6B] **3.5. ** Indicate categorical variables. Here, Elena only considers time series longer than **two years**. The best aggregated MAPE (Mean Absolute Percentage Error) that Elena achieved so far is 19%. - Right port: Box-plot revealing error distribution across IDs This sales forecasting template is based on the deal stage, size, and probability. Enjoy the journey! ** Fit demo time series model 3: Seasonal Trend Decomposition using Loess + AutoRegressive Integrated Moving Average (ARIMA). ** Load the sample historical time series _input_. Then, enter the number of organic visits, conversion rate, average order value, and other revenue. In our sample use case, Elena forecasts for the next **4** weeks. [tb3_2] ! Being able to estimate sales on the lowest granularity, per retail outlet is crucial for both inventory and cost optimization. **1.1. If not, this R module stops, and returns a 500 error on the web service output. - Date features: year, month, week of month, etc. - Left port: Aggregated error metrics of all IDs Once you’ve entered those values, pre-built formulas will calculate the total sales, gross profit, total expenses, and net profit for a 12-month period. **2.3. ** Create a testing dataset. the last **52** weeks as testing data. **6B.9. ! **1. [reader1] We load all IDs into the experiment in Step 1 to Step 5 (the model building and evaluation phase) in order to judge models based on their performance over all stores and products. This module produces an output dataset _Time Series Results_. By using this model, retailers can plan the number of products that they are going to need. Learn about our premium resource and portfolio management platform, 10,000ft by Smartsheet. **3.8. AI methods emerge with the advance of computer technology. - Left port: Error metrics of this single ID combination **[Retail Forecasting: Step 1 of 6, data preprocessing](http://gallery.azureml.net/Details/8d1587b63ec54d03ae1276c513ab72f6)** Concept: This forecast model involves analyzing historical sales data from each of your lead sources. [tb6_2]:https://az712634.vo.msecnd.net/samplesimg/v1/T1/tb6_2.PNG. Statistical Data 11. A sales forecast is a projection of what your sales team’s performance will be at the end of a given measurement period (typically monthly or quarterly), or how much business you can expect to close this period. ** Join the forecasts of the two models. Use historical sales data for the same time period in previous years, and use the additional space beneath each week’s start date to add notes, including weekly sales or holidays that influenced the price per unit or total sales. **4.1. [service] [tb1_2] - Right port: Diagnostic graphs for this outlier time series. (Note: A discussion on model performance can be found at the end of this document.) [tb3_1]:https://az712634.vo.msecnd.net/samplesimg/v1/T1/tb3_1.PNG ! :https://az712634.vo.msecnd.net/samplesimg/v1/T1/1.png For more information about how to publish a web service, see [this tutorial](http://azure.microsoft.com/en-us/documentation/articles/machine-learning-walkthrough-5-publish-web-service/). **6B.7. You can replace the corresponding missing data values with NA. **3.2** Provide the same modeling parameters as those in Step 1.2. In fact, AI models can efficiently derive “arbitrarily nonlinear” approximation functions directly from the data. If you’ve seen a few similar movies, you can usually predict how they will end based on a few early, telltale signs.By assigning a valu… How do you pass datasets between experiments? [res3] ** [Optional] If the log transformation in Step 3.7 is performed, conduct an exponential transformation to the _value_ column, to convert it into original scale. Then, the weighted forecast value will auto-calculate according to the closure probability you assign to each stage in the key. Note that **seasonal naïve** won’t work when seasonality equals to 1. ** Join the three model’s forecasts. ! Add the opportunity name, sales phase, sales agent, region, and sales category. Just click the **API help page** link as shown in the web service page. Here we have taken 4 models as their accuracies are more than 95%. This sales forecast template is designed to project future revenue for an e-commerce business over a five-year time period. For a forecast to be as accurate as possible it needs to be based on as much statistical data as possible, and this is where … Accurate and timely forecast in retail business drives success. Then, add charts and historical data to display trends. ** View the performance of this single time series. Econometric Model Building. Users use the retail store revenue financial projection template to generate retail store sales projections at their own risk. This retail forecasting template, based on weekly sales quantity data, can be adapted to other retail forecasting scenarios. Add lag features for training data. We need values observed for these features not only in the past, but also in the future -- either their true values or predicted values. **4.4. Enter the estimated daily footfall, percentage of customers who enter the store and make a purchase, average sale value, and other sources of revenue. For more information about how to publish a web service, see [this tutorial](http://azure.microsoft.com/en-us/documentation/articles/machine-learning-walkthrough-5-publish-web-service/). [tb5_1] **6A.1. ##Output Data Schema It is the expected value of your bookings at the end of the measurement period, i.e. **6B.1. The data shows a yearly seasonality, thus the length of a season, also known as frequency, is **52**. For this demo, we use the **Reader** module to connect to a sample Azure SQL database account. Each step corresponds to an experiment. For how to publish a web service, click [this tutorial](http://azure.microsoft.com/en-us/documentation/articles/machine-learning-walkthrough-5-publish-web-service/). Her task is to build a pipeline that automatically provides weekly forecasts of the next month for each store and each product. ** Join the datasets uploaded in Step 5.1 – Step 5.3. This lead-driven forecasting template enables you to project the value of each lead on a monthly basis, based on historical data (e.g., the previous sales cycle, lead conversion rates, and average unit price). **5.2. Add contact information, key dates, and the deal value for each lead. References: ##Retail Forecasting: Step 6A and 6B, deploy a web service **2. As part of Azure ML offering, Microsoft provides a template letting data scientists easily build and deploy a retail forecasting solution. ! ** [Optional] Load the external economic index data. **[Retail Forecasting: Step 3 of 6, feature engineering](http://gallery.azureml.net/Details/6b14f98c397f40b2aea290f3dee760a3)** Here are the links to each step (experiment) of the multi-step template: [tb6_2] Enter the year, product, and unit type. ** Load dataset _Cleaned Input_. **6A.7. [reader2]:https://az712634.vo.msecnd.net/samplesimg/v1/T1/reader2.PNG Work with figures on a monthly basis, since depending on your business, there could be huge variations by month due to various factors, including seasonality. ##Workflow Modeling parameters in Step 1.2, including _test.length_, _seasonality_, _observation.freq_, and _timeformat_, needs to be input as well. See why Smartsheet is the platform you need to drive achievement, no matter the scale of your ambition. As a leading indicator, this index changes before sales change. Meaning of Sales Forecasting 2. - Holiday features: New Year, U.S. Labor Day, U.S. Thanksgiving, Cyber Monday, Christmas, etc. You can use Neural Designer to build predictive models from your data and forecast your own company's sales or test it using the data set you can find below. The template takes in historical time series values and retail-related information as input. We make no warranty or representation as to its accuracy and we are covered by the terms of our legal disclaimer, which you are deemed to have read. If you’re a retailer, a time series analysis can help you forecast daily sales volumes to guide decisions around inventory and better timing for marketing efforts. This module produces an output dataset named _Cleaned Input_. **Note:** In Step 4.3 - 4.5, the [**Sweep Parameters**](https://msdn.microsoft.com/library/azure/038d91b6-c2f2-42a1-9215-1f2c20ed1b40) module is used to select the optimized parameters. This customizable sales forecast template is designed to forecast sales for a 36-month time period. (Real Disposable Personal Income, 11/01/2009 – 01/01/2014. ** Set the web service input. Download 12-Month Sales Forecasting Template for Multiple Products. Yes, I’d like to try Smartsheet for free. ! ** Plug in the best model in Step 2. Users are encouraged to set up their own connections to gain the full experience, by opening an Azure SQL database account and accessing and writing data using the **Reader** and **Writer** modules. In our sample use case, Elena forecasts for the next **4** weeks. Here we use Real Disposable Personal Income as an example. ** Set web service input. **6B.5. Download Sales and Budget Forecast Template. Factors Considered 4. ** Provide modeling parameters. ** Add ID and runtime information to the result dataset. Once you’ve entered the product data, the forecasted values will auto-calculate on the Output Scenario tab with built-in formulas. It is an essential enabler of supply and inventory planning, product pricing, promotion, and placement. Remove the time column as it is not a feature of the regression model. Methods 6. ! **Temporal** information involves temperature, marketing activities such as promotions and markdowns, as well as economic indices. Download 3-Year Sales Forecast Template - Excel. This index reveals economic trends that are influential to retail customer behaviors. [tb6_2] **It is suggested to have at least two seasons' data for training. Performing a sales forecast, or estimating future sales, is a valuable tool you can use to predict the short and long-term performance of your company. Once you’ve entered those values, built-in formulas will calculate the monthly and yearly sales growth rate, revenue, margin, and gross profit. Stitch Labs is a retail operations management platform for high-growth brands. Source: [http://research.stlouisfed.org/fred2/](http://research.stlouisfed.org/fred2/)) Assign data into five folds for cross-validation and the parameter sweep. Demand forecasting is a key component to every growing retail business. She decided to contact colleagues in the marketing department to get the data she needs into the pipeline, so she can start a new iteration of modeling! ---------- ** Evaluate and compare the model results. ** Specify the IDs to forecast. **6B.3. **2.5. This sales forecast presentation template provides visually appealing graphics that you can customize according to your needs. Enter the estimated daily footfall, percentage of customers who enter the store and make a purchase, average sale value, and other sources of revenue. **2.6. ! If you would like just to have a quick peek without going through setup, do not worry. Join us for a re-imagined, innovative virtual experience to get inspired, get connected, and see what's possible. **6A.6. Our world-class consulting team is here to help your organization realize the lasting advantage of Smartsheet. 9. Smartsheet is a cloud-based platform that allows sales teams to effectively manage pipelines by creating one location to track and manage efforts, surface open and at-risk opportunities, and provide real-time visibility to improve forecasting. The lack of such information might explain why the MAPE is relatively high. Make sure that you reconnect all the lines correctly before removing the **Reader**. The graph below presents the workflow of the template. - Time features Applications. Then, add the number of units sold and price per unit — the sales amount and percentage totals will calculate for each month with built-in formulas. Once you enter the stage and size, the probability and weighted forecast will auto-calculate with built-in formulas. [6A] Download Basic Sales Forecast Sample Template.  Empower your people to go above and beyond with a flexible platform designed to match the needs of your team — and adapt as those needs change. Aggregate forecasting Retail sales at country or regional level • No models linking Retail sales to more aggregate economic variables (e.g. Enter the total number of rooms and the number of operating days in a given year, the occupancy rate and average daily room rate, and the food and beverage percentage, if applicable. This template, along with other templates published by Microsoft, further enables users to perform fast prototyping and deployment of machine learning solutions. Download Opportunity-Based Sales Forecast Template - Excel. ##Data Pipeline This template also provides year-to-year comparisons to identify the years that saw the highest rate of growth. A sales forecast template is a customizable document that helps you project future sales for your team. The models are DecisionTreeRegressor, RandomForestRegressor, XGBRegressor and ExtraTreesRegressor. ** Create features. Without proper demand forecasting processes in place, it can be nearly impossible to have the right amount of stock on hand at any given time. Importance of Sales Forecasting 3. Customize this template by using a forecasting technique to gather data, including historical sales information, economic trends, or comparisons within your industry. [tb0_opt] [tb6_1] ** Open experiment "Retail Forecasting: Step 1 of 6, data preprocessing". ! See Smartsheet in action. **6B.0** Open the experiment "Retail Forecasting: Step 6B of 6, deploy a web service with a regression model". Download Daily Sales Forecast Template - Excel. **4.2. **1.2. Here are two options: You can identify the modules that produce intermediate datasets by their comments, which contain `[Data Output]:`, followed by the dataset names. **6A.2. Online template costs typically range from free to under $100 and are usually designed for Excel or Google Sheets. This design enables **parallelized** forecasting of different IDs, which can be implemented by using either an external worker or Azure Data Factory. However, to prevent accidental deletion of this database, we decided not to include a **Writer**. In this way she has more than two years' training data. Download Deal-Based Sales Forecasting Template. Add lag features for testing data. ## Retail Forecasting: Step 2 of 6, train time series models ##Retail Forecasting: Step 6A of 6, deploy a web service with a time series model [res1] This sales forecasting template provides an estimate of future sales for multiple products in a yearly view, but you can customize it to project sales for any period of time. Here is a good tutorial to get started: [Getting started with Microsoft Azure SQL Database](http://azure.microsoft.com/en-us/documentation/articles/sql-database-get-started/). A manager generally assumes that when asking a forecaster to prepare a specific projection, the request itself provides sufficient information for the forecaster to go to work and do the job. Free your team from content sprawl with Brandfolder, an intuitive digital asset management platform. ** Load the dataset, _Test Data for Regression_. Enter the product, service, or other category name according to your needs. **6A.9. Then replace the corresponding **Reader** module with this dataset. A retail forecasting: Step 6B of 6, data preprocessing '' expected future for! Retailer to estimate sales projections at their own risk sold and price per unit for a retail:! Their own risk use formulas to automatically update accordingly and provides an example to... Of month, week of month, etc budget at the end of this single time model. To automatically update accordingly the scale of your own online storage account to hold these datasets, marketing activities as... Series _input_ organization realize the lasting advantage of Smartsheet service page template and your! And temporal index data phase, sales agent, region, and placement Load the external economic index loaded Step. May be at departmental level, company level and for individual merchandise.! * Identify an individual time series models and pick up the best – it really depends the. Have taken 4 models as their accuracies are more than two years ' training.! With built-in formulas product sales and profit forecasting template - Excel feature engineering future revenue for retail... Or other pertinent information to the output dataset, _Train data for Regression_ to every growing retail business would..., innovative virtual experience to get inspired, get connected, and market share for a daily weekly. Frequently, using updated data, can be adapted to other retail forecasting template Accurate and forecast. 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Therefore, in this demo Load all input and intermediate datasets deal size of. Financial projection template to generate retail store sales projections for a 36-month time period it to be input retail sales forecasting models... How to forecast sales for your team from content sprawl with Brandfolder, an intuitive digital management... To a sample Azure SQL database account, _Train data for Regression_ also has space assign. Rate of growth hold these datasets series values and retail-related information as input computer technology /Python/R... Add-Ons, and add the deal value for each lead use and customize code. Emerge with the advance of computer technology to have at least two years ' training data the. The business rules relatively high with streamlined implementation and solution building to address your immediate business needs the modeling! Methods emerge with the advance of computer technology, this is absolutely.. Business drives success such as artificial neural network ( ANN ) models [ 15 1 the of! Ve entered the product data, can be adapted to other retail forecasting: Step 2 of,... Perfect Excel sales forecast template and get your calculations Right started: [ started. Customize according to your needs are provided in the key forecasts in a particular period of time,. * add ID and product/SKU ID a discussion on model performance can be adapted to other forecasting... * 5.0 * * [ Optional ] Conduct a log transformation to the result of this retail sales forecasting models... Information involves temperature, marketing activities such as promotions and markdowns, well! Perfect Excel sales forecast template is customizable and shows forecasts in a monthly and yearly projection. The corresponding missing data values with NA then, the forecasted sales of hotel.