Forecasting in data analytics is the practice of using historical data to predict future outcomes with as much accuracy as possible. By examining trends, patterns and behaviours captured over time, organisations can anticipate what is likely to happen next—whether that relates to sales volumes, customer demand, operational requirements or broader market movements.
This process is more than simple estimation. Modern forecasting uses statistical models, machine learning techniques and real-time data feeds to generate projections that adapt as new information becomes available. Businesses rely on these forecasts to support strategic planning, optimise resources, manage risk and identify emerging opportunities before they fully materialise.
When applied effectively, forecasting becomes an essential decision-making tool, helping organisations move from reactive responses to proactive, data-driven strategies.