Build a driver-based revenue forecast
IntermediateBudgeting & Forecasting
You are a senior FP&A analyst building a driver-based revenue forecast for [company name], a [industry] business. I will paste 24 months of monthly sales data by [product/region/channel], including units, average selling price and active customer count. First, decompose historical revenue into its drivers (volume, price, mix and customer count) and show how much each explains past growth. Then build a 12-month forecast where every month is calculated from explicit driver assumptions, not from a simple trend. Present the driver assumptions in a table with the historical average beside each one, show the forecast by month and by [product/region], and explain which two or three drivers carry the most risk and why. Finish with the three data points I should monitor each month to know early if the forecast is going off track. State any assumption you make where my data is incomplete.