How Does Trend Forecasting Work?

Generally speaking, fashion forecasting involves predicting patterns, prints, colors, fabrics, graphics, textures, accessories, and beauty looks that will dominate the runways and major department stores.

Brands will even send designers out to buy competitors’ pieces so that they can copy a popular pattern.

What does trend forecasting apply?

A trend forecaster is responsible for identifying new trends and predicting how those trends will shape a certain industry. Usually based at a trend forecasting agency such as WGSN, trend forecasters are responsible for analyzing consumer data and coming up with recommendations based those insights.

Why is trend forecasting important?

The Future of Fashion Forecasting. Forecasting is used in almost every area of business today. Accurate analysis of consumer trends is vital in informing brand direction and development, in the creation of relevant products and services and ultimately in ensuring their success.

How much do trend forecasters make?

Fashion forecaster salaries are among the highest in the industry, even for beginner’s. They earn around $50,000 on the low end and $100,000 or more on the high end. Salaries are even higher if they work for an independent firm. Independent firms can charge $150,000 or more for a single project.

What creates a trend?

A trend is a type of activity that is changing consistently over time. A trend usually involves an increasing number of people doing something increasingly often (or fewer people doing something less often).

What are the three types of forecasting?

Three General Types. Once the manager and the forecaster have formulated their problem, the forecaster will be in a position to choose a method. There are three basic types—qualitative techniques, time series analysis and projection, and causal models.

What does trend forecasting mean?

Trend forecasting is the art and science of predicting the future direction of something. This can be done with analysis of existing data to try to spot the emergence of a trend. It is also common for trend forecasting to be based on the ideas and actions of influential individuals or companies in a particular space.

What are the benefits of forecasting?

Facilitating Managerial Decisions:

Forecasting helps management to take correct decisions. By providing a logical basis for planning and determining in advance the nature of future business operations, it facilitates correct managerial decisions about material, personnel, sales and other requirements.

What is the difference between trend analysis and forecasting?

Trend forecasting is a complicated but useful way to look at past sales or market growth, determine possible trends from that data and use the information to extrapolate what could happen in the future. Marketing experts typically use trend forecasting to help determine potential future sales growth.

What are the techniques of forecasting?

Examples of qualitative forecasting methods are informed opinion and judgment, the Delphi method, market research, and historical life-cycle analogy. Quantitative forecasting models are used to forecast future data as a function of past data.