Sales | Insight Maker

Bottom-Up Sales Forecasting for Startups

The purpose of this simulation is to demonstrate the implications of forecasting sales without consideration for how much it cost you to acquire a lead and how much you have available to spend. A common mistake in sales forecasting is to define your # of expected sales leads based on your total market size and your assumption regarding the % of that market you can reach.

This model demonstrates the forecasting impact to defining the # of expect leads based on how much it cost you to acquire a lead and how much you have available to spend.

Important Variables:

1. [UseLAC?] (set to 1 to use the lead acquisition cost to define your reachable market; use 0 to set the reachable market to equal the total available market size)

2. LAC (should equal what it cost you to acquire a lead)

3. SalesMarketingBudget : how much you have available to spend on customer acquisition

Other Variables:

4. Price : Avg spending amount per new customer

5. Total Available Market : Total available market size

6. Conversion Rate : the % of your target market that will become a lead

Clone of Bottom-up Sales Forecasting

Kerry

Bottom-Up Sales Forecasting for Startups

The purpose of this simulation is to demonstrate the implications of forecasting sales without consideration for how much it cost you to acquire a lead and how much you have available to spend. A common mistake in sales forecasting is to define your # of expected sales leads based on your total market size and your assumption regarding the % of that market you can reach.

This model demonstrates the forecasting impact to defining the # of expect leads based on how much it cost you to acquire a lead and how much you have available to spend.

Important Variables:

1. [UseLAC?] (set to 1 to use the lead acquisition cost to define your reachable market; use 0 to set the reachable market to equal the total available market size)

2. LAC (should equal what it cost you to acquire a lead)

3. SalesMarketingBudget : how much you have available to spend on customer acquisition

Other Variables:

4. Price : Avg spending amount per new customer

5. Total Available Market : Total available market size

6. Conversion Rate : the % of your target market that will become a lead

Clone of Bottom-up Sales Forecasting

Nilo Guimaraes

Bottom-Up Sales Forecasting for Startups

The purpose of this simulation is to demonstrate the implications of forecasting sales without consideration for how much it cost you to acquire a lead and how much you have available to spend. A common mistake in sales forecasting is to define your # of expected sales leads based on your total market size and your assumption regarding the % of that market you can reach.

This model demonstrates the forecasting impact to defining the # of expect leads based on how much it cost you to acquire a lead and how much you have available to spend.

Important Variables:

1. [UseLAC?] (set to 1 to use the lead acquisition cost to define your reachable market; use 0 to set the reachable market to equal the total available market size)

2. LAC (should equal what it cost you to acquire a lead)

3. SalesMarketingBudget : how much you have available to spend on customer acquisition

Other Variables:

4. Price : Avg spending amount per new customer

5. Total Available Market : Total available market size

6. Conversion Rate : the % of your target market that will become a lead

Clone of Bottom-up Sales Forecasting

Nilo Guimaraes

Showing the growth obstacles and opportunities.

Sales Increase

Denton Goodford

Bottom-Up Sales Forecasting for Startups

The purpose of this simulation is to demonstrate the implications of forecasting sales without consideration for how much it cost you to acquire a lead and how much you have available to spend. A common mistake in sales forecasting is to define your # of expected sales leads based on your total market size and your assumption regarding the % of that market you can reach.

This model demonstrates the forecasting impact to defining the # of expect leads based on how much it cost you to acquire a lead and how much you have available to spend.

Important Variables:

1. [UseLAC?] (set to 1 to use the lead acquisition cost to define your reachable market; use 0 to set the reachable market to equal the total available market size)

2. LAC (should equal what it cost you to acquire a lead)

3. SalesMarketingBudget : how much you have available to spend on customer acquisition

Other Variables:

4. Price : Avg spending amount per new customer

5. Total Available Market : Total available market size

6. Conversion Rate : the % of your target market that will become a lead

Clone of Bottom-up Sales Forecasting

Nilo Guimaraes

Leading 10 retailers' share of the apparel market in the UK 2008-2018 Leading retailers' share of the apparel market in the United Kingdom (UK) in 2008 and 2018 2008 2018* M&S 9.7 7.6 Primark 4.4 7 Next 6.7 6.6 Arcadia 5.3 3.8 Asda 3.5 3.5 TK Maxx 2.2 3.1 Tesco 2.5 2.9 JD Sports 1.1 2.7 Debenhams 3.3 2.7 Sports Direct 1.3 2.4

Preliminary modelling of UK retail market. Linking GDP, consumer confidence and retail sales

wolfram alpha:

UK GDP per year =£2.08 trillion

UK GDP per week £38461538461

UK GDP per capita =£31177 per year (exchange rate dependent)

UK GDP per capita = £598.78 per capita per week

average UK salary = £29,009 per year

£557 = average wage per capita per week

Approx 2.5% increase in GDP per year

Retail sales strongly cyclical with 12 month period

27.2 million households

household spending info:

https://thistimeitisdifferent.com/here-are-uk-household-spending-insights

disposable income per household = £29,400 median

for clothing 0.042*[disposableincome]

for £ use 0.106*[disposableincome] for supermarket

0.071*[disposableincome] for deptstore

Clone of Model of UK Retail

David Horgan

An attempt to model sales in a services company

First model

Charles Fry

Two loop structure which reflects the reinforcing effects of profits/investment, as well as profits/employee retention.

Clone of Business Growth and Stability

An Jab

Free to air TV channels mostly receive income from sales of advertising. Advertising inventory gains value from TV channel ratings, that are created by high quality content. High quality content is created with investments and content promotion increases content awareness, thus increases TV channel appeal.
Advertising and promotion inventories share same space that is left after program is set up.
More over marketing has targets to increase TV channel appeal.

Sales department has targets to increase sales.

To make things more complicated program promos can be sold to have promotions.

What interactions arise in this situation?

What effects what?

Where do we have management point?

Situation and questions gave impulse for following CLD.

TV channel marketing/sales dilemma

Julius Neviera

Bottom-Up Sales Forecasting for Startups

The purpose of this simulation is to demonstrate the implications of forecasting sales without consideration for how much it cost you to acquire a lead and how much you have available to spend. A common mistake in sales forecasting is to define your # of expected sales leads based on your total market size and your assumption regarding the % of that market you can reach.

This model demonstrates the forecasting impact to defining the # of expect leads based on how much it cost you to acquire a lead and how much you have available to spend.

Important Variables:

1. [UseLAC?] (set to 1 to use the lead acquisition cost to define your reachable market; use 0 to set the reachable market to equal the total available market size)

2. LAC (should equal what it cost you to acquire a lead)

3. SalesMarketingBudget : how much you have available to spend on customer acquisition

Other Variables:

4. Price : Avg spending amount per new customer

5. Total Available Market : Total available market size

6. Conversion Rate : the % of your target market that will become a lead

Clone of Clone of Bottom-up Sales Forecasting

Bill French

Assignment 7 - Problem 1

Shawn Mitchell

Bottom-Up Sales Forecasting for Startups

The purpose of this simulation is to demonstrate the implications of forecasting sales without consideration for how much it cost you to acquire a lead and how much you have available to spend. A common mistake in sales forecasting is to define your # of expected sales leads based on your total market size and your assumption regarding the % of that market you can reach.

This model demonstrates the forecasting impact to defining the # of expect leads based on how much it cost you to acquire a lead and how much you have available to spend.

Important Variables:

1. [UseLAC?] (set to 1 to use the lead acquisition cost to define your reachable market; use 0 to set the reachable market to equal the total available market size)

2. LAC (should equal what it cost you to acquire a lead)

3. SalesMarketingBudget : how much you have available to spend on customer acquisition

Other Variables:

4. Price : Avg spending amount per new customer

5. Total Available Market : Total available market size

6. Conversion Rate : the % of your target market that will become a lead

Clone of Bottom-up Sales Forecasting

Ryan D. Hatch

Bottom-Up Sales Forecasting for Startups

The purpose of this simulation is to demonstrate the implications of forecasting sales without consideration for how much it cost you to acquire a lead and how much you have available to spend. A common mistake in sales forecasting is to define your # of expected sales leads based on your total market size and your assumption regarding the % of that market you can reach.

This model demonstrates the forecasting impact to defining the # of expect leads based on how much it cost you to acquire a lead and how much you have available to spend.

Important Variables:

1. [UseLAC?] (set to 1 to use the lead acquisition cost to define your reachable market; use 0 to set the reachable market to equal the total available market size)

2. LAC (should equal what it cost you to acquire a lead)

3. SalesMarketingBudget : how much you have available to spend on customer acquisition

Other Variables:

4. Price : Avg spending amount per new customer

5. Total Available Market : Total available market size

6. Conversion Rate : the % of your target market that will become a lead

Clone of Bottom-up Sales Forecasting

Ralph Hodgson

Dieses Modell soll aufzeigen, wie sich ein neues Produkt auf das Kundenverhalten auswirkt. Vorteil von Paketen für z.B. eine Bank ist es, dass die Kunden egal welche Produkte sie haben, immer gleich viel bezahlen und somit die Kosten einfacher Berechnet werden können.

Im Weiteren ist die Administration von einem standarisierten Paket einfacher und günstiger, als die Administration der einzelnen Produkte.

Im Modell kann berechnet werden, wie sich die Attraktivität des Paketes gegenüber den Einzelprodukten (in diesem einfachen Modell nur über den Preis definiert) auf das Wechselverhalten der Kunden auswirkt.

Aufgabe 3: Lancierung Produktpakete / Stock-Flow Modell / Jan Mathieu & Martin Bovet

mephew

Clone of Sales Increase

Denton Goodford

modelēšanas kursam

SIMPLE PRODUCTION

Peteris Bondars

Bottom-Up Sales Forecasting for Startups

The purpose of this simulation is to demonstrate the implications of forecasting sales without consideration for how much it cost you to acquire a lead and how much you have available to spend. A common mistake in sales forecasting is to define your # of expected sales leads based on your total market size and your assumption regarding the % of that market you can reach.

This model demonstrates the forecasting impact to defining the # of expect leads based on how much it cost you to acquire a lead and how much you have available to spend.

Important Variables:

1. [UseLAC?] (set to 1 to use the lead acquisition cost to define your reachable market; use 0 to set the reachable market to equal the total available market size)

2. LAC (should equal what it cost you to acquire a lead)

3. SalesMarketingBudget : how much you have available to spend on customer acquisition

Other Variables:

4. Price : Avg spending amount per new customer

5. Total Available Market : Total available market size

6. Conversion Rate : the % of your target market that will become a lead

Clone of Bottom-up Sales Forecasting

Muhammed Kucuk

Showing the growth obstacles and opportunities.

Clone of Sales Increase

Denton Goodford

sale effort loop

muhammadusama

Bottom-Up Sales Forecasting for Startups

The purpose of this simulation is to demonstrate the implications of forecasting sales without consideration for how much it cost you to acquire a lead and how much you have available to spend. A common mistake in sales forecasting is to define your # of expected sales leads based on your total market size and your assumption regarding the % of that market you can reach.

This model demonstrates the forecasting impact to defining the # of expect leads based on how much it cost you to acquire a lead and how much you have available to spend.

Important Variables:

1. [UseLAC?] (set to 1 to use the lead acquisition cost to define your reachable market; use 0 to set the reachable market to equal the total available market size)

2. LAC (should equal what it cost you to acquire a lead)

3. SalesMarketingBudget : how much you have available to spend on customer acquisition

Other Variables:

4. Price : Avg spending amount per new customer

5. Total Available Market : Total available market size

6. Conversion Rate : the % of your target market that will become a lead

Clone of Bottom-up Sales Forecasting

sub cribed

Bottom-Up Sales Forecasting for Startups

The purpose of this simulation is to demonstrate the implications of forecasting sales without consideration for how much it cost you to acquire a lead and how much you have available to spend. A common mistake in sales forecasting is to define your # of expected sales leads based on your total market size and your assumption regarding the % of that market you can reach.

This model demonstrates the forecasting impact to defining the # of expect leads based on how much it cost you to acquire a lead and how much you have available to spend.

Important Variables:

1. [UseLAC?] (set to 1 to use the lead acquisition cost to define your reachable market; use 0 to set the reachable market to equal the total available market size)

2. LAC (should equal what it cost you to acquire a lead)

3. SalesMarketingBudget : how much you have available to spend on customer acquisition

Other Variables:

4. Price : Avg spending amount per new customer

5. Total Available Market : Total available market size

6. Conversion Rate : the % of your target market that will become a lead

Clone of Bottom-up Sales Forecasting