u003cstrongu003eDemand forecasting helps the business make informed supply decisions that estimate the total sales and revenue for a future period.u003c/strongu003e u003cbr/u003eu003cbr/u003eA huge part of a business’s operational strategy is based on demand forecasting. Through it, they can predict inventory turnover, profit margins, cash flow, product availability, and capital expenditure. u003cbr/u003eu003cbr/u003eDemand forecasting, for example, helps you to determine what products will have heavy traffic at a future date, like Christmas trees in the festive season.