In this ATAR forecast example, we will consider a small business. In this example, there is a coffee shop in a local area. Their new product is a service – they plan to … Read more...
As you will see when you use the free Excel template for your ATAR forecasts, there are several financial metrics automatically produced at the bottom of the spreadsheet.
As you can see, these financial metrics include:… Read more...
The ATAR forecasting model is primarily designed to forecast sales and profit contribution of new products following its initial years of release/launch.
In most cases, in addition to achieving their strategic goals, firms will … Read more...
The core component of the ATAR model is designed to generate the estimation of the proportion of the target market to become ongoing loyal or occasional customers = the brand’s customer base.
Once we … Read more...
Nothing destroys the credibility of a business report faster than inaccurate or wildly optimistic financial forecasts. I have seen students provide financial forecasts of a product line extension that would generate billions in dollars within a couple of years. And … Read more...
Possibly one of the more troublesome issues to consider when using the ATAR model for forecasting new products is how the four basic components – awareness, trial, availability and repeat/rebuy – impact each other.… Read more...
Product cannibalization is when the firm’s new product “wins” a proportion of its sales (market share) from the firm’s other existing products – that is, the new product “eats away” the market share of … Read more...
There are numerous factors that will impact the percentage of consumers that trial a product, which marketers can influence and drive. Some of the factors to take into account include:
Because of the nature of the structure of the ATAR forecasting model, the marketing department will become accountable for delivering the various ATAR components if the new product is approved for development and launch.
This means, therefore, if you have … Read more...
As you will see when you use the free Excel template for your ATAR forecasts, there are several financial metrics automatically produced at the bottom of the spreadsheet.
As you can see, … Read more...
