Trend analysis is the process of collecting a company’s past facts and figures and using them to predict future results. Sales trend analysis gives you the ability to present your data in a chart or a graph form and then add one or more trend lines to it to analyze how the data might appear in the future. Sales trend analysis calculates the percentage change for a business over a period of time of two years or more.
Sales trend analysis allows executives to calculate the percentage change between two different time periods.
It also lets companies:
- Calculate the amount of the increase or decrease for a certain time period.
- Estimate the percentage change by subtracting the earlier year percentage from the later year percentage.
- If the difference between the two time periods is negative, the change is a decrease and if the difference is positive, it is an increase.
- By dividing the change by the earlier year’s balance, the result is the percentage change.
Use this template to identify sales trends per product per quarter.
To calculate sales trend analysis, you should have enough facts and figures to cover a realistic period of time, such as two years or more. You should also have dependable intervals, such as weekly, monthly, or yearly entries. By inserting these into a sales trend analysis template, you can calculate the percentage change. If you’re lacking data for a certain period of time, you can intercalate a reasonable estimate based on the figures you do have.
Format: MS Excel | File size 36 Kb Download