How to Filter Out Past Sales Spikes

In this tutorial, we'll explore how to effectively filter out past sales spikes that may be distorting your overall adjusted velocity.

Locate the Sales Spikes Tool:

Scroll down past calculation variables and the trend tool on your page to find the Sales Spikes tool.

Understanding Default Setting:

By default, the tool is turned off. This is intentional since day-to-day sales fluctuations are common for most sellers. However, you have the option to activate it based on your specific needs.

Activating the Sales Spikes Tool:

Click the toggle to turn on the Sales Spikes tool. When activated, the system identifies spikes where your sales velocity exceeds 150% of the average for the 30-day period surrounding that specific day.

Filtering Out Spikes:

Sales spikes are displayed in black with a strike-through. They are replaced by the gray number, indicating exclusion from your forecast.

Customizing Exclusions:

Review the identified spikes, and if any are part of your regular business operations (e.g., Prime Day promotions or holiday peaks), you can manually turn them back on to be included in your forecast.

Considerations for Usage:

• Use Cases: Commonly applied when running atypical promotions like one-off lightning deals or liquidation sales.
• Avoid Use When: Your product has minimal sales velocity fluctuations or when spikes are a natural part of your daily sales pattern.

Adjusting Settings:

Save your changes, and if satisfied with the exclusions, apply them to your forecast. Note how your adjusted velocity reflects the impact of the filtered sales spikes.

Conclusion:

By using the Sales Spikes tool, sellers can refine their sales forecasting by excluding unusual spikes, ensuring a more accurate representation of their product's performance, and preventing temporary promotions from skewing long-term projections.