There are two types of demand: market demand and
company demand. To estimate current demand, companies
attempt to determine total market potential,
area market potential, industry sales, and market
share. To estimate future demand, companies survey
buyers’ intentions, solicit their sales force’s input,
gather expert opinions, analyze past sales, or engage
in market testing. Mathematical models, advanced
statistical techniques, and computerized data collection
procedures are essential to all types of demand
and sales forecasting.