Top-down forecasting

Top-down forecasting,

Definition of Top-down forecasting:

  1. A demand estimation process whereby product demand predictions for a business are generated for the highest product group level first and are then projected downwards to lower levels. In a typically top-down forecasting scenario, a higher level demand prediction can eventually be applied to individual, lower level units responsible for stock keeping.

Meaning of Top-down forecasting & Top-down forecasting Definition