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Retail & Allocation lesson

A new product, no history

So borrow the sales of the earbuds they replace, the like item. The buyer expects the new ones to sell 20% more.

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About 5–10 minutes · no sign-up needed

The idea

So borrow the sales of the earbuds they replace, the like item. The buyer expects the new ones to sell 20% more:

Formulas

Like item sales × ( 1 + Uplift )
Forecast × Weeks

Key points

Like itemA product already selling that's close to the new one: same type, similar price.
ForecastToronto: 40 × (1 + 0.2) = 48 a week.
Launch unitsToronto: 48 × 3 weeks = 144.

No history? A store can borrow from one of the same grade.

Practice

Try each one in your head first, then open the answer.

1. Calgary sold 15 a week of the old earbuds, and the new ones should sell 20% more. What is Calgary's weekly forecast, in units?
15 × (1 + 0.2) = 18 units a week
2. In D4, work out Montreal's launch units: 3 weeks of its forecast.
=C4*3
3. Tap the store with no like-item history.
Ottawa opened after the old earbuds sold out, so it has no history.
4. Ottawa has no like-item history. It's a grade B store, the same as Vancouver. What should it get on launch day?
About what Vancouver gets: 90 units

Learn it by doing. This lesson is a short hands-on level on Bampaa: see it work, then build and write it yourself, with instant feedback.

Try this lesson free →
About 5–10 minutes · no sign-up needed