Continuous Forecasts
Continuous Forecasts are iterative, regularly updated projections of future product and business metrics such as sales, user growth, feature adoption rates and revenue. These forecasts evolve with new data, insights, and changing market or product conditions.
Purpose
Continuous forecasts enable product teams to make informed decisions based on the most current data and projections. They serve several key purposes:
- To facilitate agile decision-making by providing up-to-date information on expected outcomes.
- To enable dynamic resource allocation based on the most current projections for demand, growth, and development needs.
- To identify potential risks and opportunities early, allowing for proactive adjustments to strategy.
- To improve stakeholder communication with transparent, evolving expectations of product and market performance.
Anti-patterns
- Over-reliance on Historical Data: Failing to account for new factors or changes in the market, resulting in inaccurate forecasts.
- Lack of Transparency: Not sharing forecasting assumptions and methodologies with stakeholders, leading to mistrust or misinterpretation of data.
- Ignoring Deviations: Failing to analyse and understand the reasons behind discrepancies between forecasts and actual outcomes.