How to leverage the exponential smoothing formula for forecasting
When it comes to setting quotas, a lot of sales managers like to turn to a simple annual run rate. And while an ARR may be the quickest and easiest way to predict future sales results, we’ve seen that it’s far from the most precise metric. By contrast, the exponential smoothing formula lies on the complete opposite end of the spectrum. Although it’s one of the most complicated sales forecasting methods, it is also arguably the most accurate.