By now, most of us have a better grasp on what artificial intelligence is, at least that it’s a disruptive technology that uses robotics to mirror human behavior. This idea alone is pretty profound, but AI plays a much bigger role in business than many of us can even imagine.
Have you ever interacted with someone while you were browsing a company’s website? Chances are you were talking to a chatbot. You probably didn’t even notice — and that’s what makes AI so great. Artificial intelligence handles customer inquiries faster and more efficiently, biometrics helps to validate consumer identities, and then machine learning can help support bigger initiatives, like sales forecasting.
Sales forecasting is especially important to business because it can boost sales by capitalizing on trends and helping you make more lucrative business decisions, like how much of a product you should sell, at what price point, and in which market. How does machine learning fit into this? Sales forecasting is dependent on your ability to gather information on resources, workforces, and cash flow to grow your business. Machine learning uses algorithms to learn from data to develop its knowledge about a subject, so using ML to store, process, and analyze data is how you can achieve your highest earning potential — but only when you use machine learning to its fullest potential.
Here are some things to keep in mind when using ML to sharpen your sales forecasting.
Combine Past and Present Data
What makes machine learning so impactful is that it collects data over weeks, months, and even years. The combination of past and present data is how you can understand trends, but it’s also how you can get a comprehensive look into your company — what’s working, and then also what areas may need a little more help. The more information you have access to, and the farther back it goes, the more accurate your predictions will be.
Optimize Your Marketing Campaigns
Updating your marketing strategy is important, but if you’re changing it too frequently, it makes it more difficult for your machine learning software to determine if it’s working or not. Over time, ML software can show your team what your most effective marketing campaigns have been, but it will also help identify what new campaigns have the highest potential of getting you sales.
Use Human Intelligence
Relying on innovative technology doesn’t diminish the importance of using your team’s knowledge to guide your sales efforts. ML software can collect, analyze, and store an incredible amount of data, but your team has access to information that your software doesn’t — like whether a particular sale was easy or whether it required some extra persuasion. As you think about how to engage customers and increase sales, remember: technology is a great support system, but it should never replace human intelligence.
Machine learning is an exciting advancement that has a lot of potential in business, especially when it comes to your sales forecasting. Follow these tips in order to achieve your highest earning potential.