There are two choises: Revenue or Quantity. If you want use both, add separate forecast types for each one. Choose fields you want to display in the related opportunities list on the Forecast tab for the forecast type. If your forecast data source is opportunities or product families, the Amount field appears by default.
Full Answer
What is a forecast in Salesforce?
In Salesforce, a forecast is based on the gross rollup of a set of opportunities. You can think of a forecast as a rollup of currency or quantity against a set of dimensions: owner, time, forecast categories, product family, and territory. You can also collaborate on forecasts with all the necessary people.
How do you forecast sales revenue?
We’re glad you asked. Customer relationship management (CRM) is the best way to forecast sales revenue. A CRM solution helps you find new customers, win their business, and keep them happy. Salesforce is the #1 CRM, giving sales leaders a real-time view into their entire team’s forecast.
How does the Salesforce VP of Finance forecast revenue?
The sales team updates their opportunities in Salesforce. The result is a bottom-up forecast of booked revenue for each month or quarter, based on deals expected to close successfully. The VP of Finance takes this data and exports it into a spreadsheet.
How do I track revenue recognition in Salesforce?
There are two options for tracking revenue recognition in Salesforce. First, use the Salesforce standard product schedule function. Second, use the GSP Product Revenue Schedule app. This blog post explains more about both options:
Can Salesforce be used for forecasting?
Customizable forecasting in Salesforce is an accurate, flexible tool that has helped countless organizations accurately predict revenue from sales. Customizable forecasting also enables you to get a sneak peek of the products or services you are likely to sell.
How do you forecast revenue for a new product?
10 steps for forecasting demand and revenues for new productsStep 1: Make it a collaborative effort. ... Step 2: Identify and agree upon the assumptions. ... Step 3: Build granular models. ... Step 4: Use flexible time periods. ... Step 5: Generate a range of forecasts. ... Step 6: Deliver the outputs that users need quickly.More items...
How do I set up forecasting in Salesforce?
How to setup Forecasting in SalesforceFrom Setup, click Manage Users → Users.For each user you want to enable, click Edit.Under General Information, select Allow Forecasting.Click Save.
How do I create a collaborative forecasting in Salesforce?
To enable Collaborative Forecasts, use the Forecasts Settings page in Setup. Then specify how Salesforce calculates your forecasts and what to show users on the Forecasts page. Use forecast types to specify how Salesforce calculates forecasts.
What are the three types of forecasting?
There are three basic types—qualitative techniques, time series analysis and projection, and causal models.
Which technique of forecasting is used to forecast demand especially for new products?
Judgmental forecasting is usually the only available method for new product forecasting, as historical data are unavailable. The approaches we have already outlined (Delphi, forecasting by analogy and scenario forecasting) are all applicable when forecasting the demand for a new product.
What are forecast types Salesforce?
The forecasts on the forecasts page are totals and subtotals of the opportunities in the four forecast categories: Pipeline, Best Case, Commit, and Closed. Depending on how Salesforce is set up, these forecasts can reflect opportunities from one or multiple forecast categories.
How do I set up a forecast manager in Salesforce?
Click View Hierarchy next to your active territory model. Click Edit next to the territory you want to assign a forecast manager. In the Forecast Manager field, enter the user you want to assign as the forecast manager. Save your changes.
How do I view forecasting in Salesforce?
Find the adjusted forecast that you want to view or edit....To view the adjustment details, do one of the following.In Lightning Experience, click .In the Salesforce mobile app, tap the forecast.In Salesforce Classic, hover over the forecast.
What is the difference between customizable and collaborative forecasting?
The longer answer is that Collaborative forecasting offers custom currency fields, adjusted amounts and a custom field forecast that Customizable does not – instead of keeping two features that serve the same purpose, it's no surprise that Salesforce announced that Customizable Forecasting will be retired for all ...
What is Salesforce collaborative forecasting?
Predict and plan the sales cycle from pipeline to closed sales, and manage sales expectations throughout your sales organization with Collaborative Forecasts. A forecast is an expression of expected sales revenue based on the gross rollup of a set of opportunities.
How do you enable collaborative forecasting?
Enable Users in Collaborative ForecastsFrom Setup, in the Quick Find box, enter Users , and then select Users.For each user that you want to enable, click Edit.Under General Information, select Allow Forecasting.Save your changes.
Why is forecasting important?
Sometimes companies don’t use the data that can be invaluable in planning the operations of the company, says Wey. Forecasting helps businesses know what the sales team will deliver, what is needed for supply chain, and how to account for it in the finance department.
Do forecasters use crystal balls?
Some forecasters have jokingly said they use a crystal ball to do their forecasts. Mike Wey of Salesforce explained at Dreamforce 2015 that many businesses have ample data to create an accurate forecast, but don’t have the reporting tools necessary.
Can Salesforce forecasting be split?
Salesforce forecasting can also sort by product family to show details. Often, sales are not easy to attribute to just one rep. Salesforce business forecasting software allows revenue split and overlay split, allowing quota attainment visibility to be seen by all reps and managers involved in the sale.
Creating Product Schedules
Standard schedules. The salesperson adds the opportunity products. Then revisits each product in turn to create the schedules.
Close Date Changes
Standard schedules. The salesperson visits each product to adjust the schedule when the close date on the opportunity changes.
Fine-tune Product Schedules
Standard schedules. No method to adjust schedules for each opportunity.
Track Actuals Versus Product Schedules
Standard schedules. No method to compare the forecast revenue with actual income after winning the opportunity.
How many forecast types can you have in Salesforce?
You can have up to four forecast types active at a time. This table lists the options for creating forecast types. Depending on how you’veset up Salesforce, not every option is available.
What is forecast hierarchy?
The forecasts hierarchy is a nested, expandable list of forecast users that determines how forecasts roll up within your company andwho can view and adjust them. The role-based forecasts hierarchy is generated from your user role hierarchy and specifies which usersare forecast managers in the role-based forecasts hierarchy. Let’s say that you’ve enabled Collaborative Forecasts for the following users.
What is a single category rollup?
With single category rollups, each total and subtotal represents opportunities from only one of the forecast categories. With this typeof rollup, if forecast users want to see the total that they’re going to bring for the month or quarter, they add the Best Case, Commit, andClosed forecasts together.
What is a collaborative forecast?
Using Collaborative Forecasts, sales teams canproject and plan their sales cycles from pipeline to closed sales so that they can manage expectations.
Can you enable territory forecasts?
If you use Enterprise Territory Management, you can enable territory forecasts. Territory forecasts are available in Lightning Experiencefor your active territory model only. When territory forecasts are enabled, the forecasts page shows the user the following.
