How can staircase analysis improve the accuracy of sales forecasting?

The accuracy of a sales forecast can be improved when those forecasts and objectives are decomposed into the components that influence future sales volume.One useful tool is staircase analysis.Staircase analysis estimates market potential,actual market,brand awareness,brand image,purchase rate,share of wallet,the repurchase rate,and the cross-buying rate.After having accurate estimates of these factors,a company can more precisely forecast its future sales by predicting the change in market potential,in the actual market,in the brand awareness,purchase rate,repurchase rate,and so on.