Long-Range Forecasts

Case Study: Cross category and multi-market strategic planning

Challenge

A client required a reliable set of long-range forecasts for non-alcoholic beverages for its annual strategic planning process, across 6 categories in 12 European countries.

 

Solution

  • A number of data sources were reviewed, for both category and market driver data, and the most reliable were selected
  • After further data validation and alignment, we used multivariate regression analysis to create forecasts for consumption (volume & value)
  • Several market driver (input) variables were used in the analysis, and tested by country/category
  • The forecasts were sense-checked by an industry expert throughout the process

 

Outcome

The Benefits:

  • Provided the client with a robust set of long-term forecasts against which they could set their 3 year business plans
  • Enabled the client to understand better the key market drivers for their categories, and how these varied by country
  • Identified country/category growth opportunities
  • Highlighted areas of risk, where the outlook was negative or highly uncertain