If you want to **forecast sales growth rate in Excel**, this article is for you. Here, we will demonstrate to you 6 simple, easy and effective methods to do the task effortlessly.

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## 6 Methods to Forecast Sales Growth Rate in Excel

The following** Product Sales** List table shows **Year** and **Sales** columns. We want to forecast the sales for the year 2022. We will use 6 different methods to do the task. Here, we used Excel 365. You can use any available Excel version.

### Method-1: Using FORECAST Function to Forecast Sales Growth Rate

Here, to calculate the sales for the year **2022**, we will use the** FORECAST** function.

➤ First of all, we will type the following formula in cell **F5**.

`=FORECAST(E5,C5:C12,B5:B12)`

Here,

The **FORECAST f**unction calculates or predicts a future value by using the existing values.

**E5** is the x for which we want to know the future value. Here, **E5** is the year **2022** and we want to forecast the sales for this year.

**C5:C12** is known y’s, which is known **Sales **in this case.

**B5:B12** is the known x’s, and in this case, they are known **Year**.

➤ After that, press **ENTER**.

Finally, we can see the **Forecasted Sale** for the year **2022** in cell **F5**.

**Read More:**** FORECAST Function in Excel (with other Forecasting Functions)**

### Method-2: Using TREND Function to Forecast Sales Growth Rate

In this method, we will use the **TREND **function to forecast the sales for the year **2022**.

➤ First of all, we will type the following formula in cell **F5**.

`=TREND(C5:C12,B5:B12,E5,)`

Here, the **TREND** function returns the value of a linear trend.

**C5:C12** is the known y’s, which is known **Sales**.

**B5:B12** is the known x’s, which is known **Year**.

**E5 **is the new x’s, here the new x is **2022** for which we want to know the sales.

➤ After that, press **ENTER**.

Finally, we can see the **Forecasted Sale **for year **2022** in cell **F5**.

**Read More:** **How to Forecast Sales in Excel (5 Easy Ways)**

### Methos-3: Using GROWTH Function

We can use the **GROWTH** function as well to forecast sales. In this section, we will use the **GROWTH** function to forecast sales for the year **2022**.

➤ First of all, we will type the following formula in cell **F5**.

`=GROWTH(C5:C12,B5:B12,E5)`

Here,

The **GROWTH** function predicts exponential growth by using existing data.

**C5:C12** is the known y’s, which is known **Sales**.

**B5:B12** is the known x’s, which is known **Year**.

**E5 **is the new x’s, here the new x is **2022** for which we want to know the sales.

➤ Afterwards, press **ENTER**.

Finally, we can see the **Forecasted Sale** for year **2022** in cell** F5**.

**Read More:** **How to Forecast Revenue in Excel (6 Simple Methods)**

### Method-4: Using Forecast Sheet

If we want to forecast in a quick and easy way, this is the best method. Moreover, we can forecast for as many years as we want in this method.

Here, we want to know the forecasted sales for the year 2022, 2023 and 2024 in the following **Product List** table.

➤ First of all, we will select the entire dataset of the **Year** and **Sales **columns > go to the **Data **tab > click on **Forecast** > select **Forecast Sheet**.

A **Create Forecast Worksheet **window will appear.

➤ After that, we will select a year in the **Forecast End** box, here we selected **2024**.

➤ Click on **Create**.

Afterwards, we can see the** Forecast Sales** for **2022**, **2023** and **2024**.

We can also see a chart has been created where we can see the sales for the year** 2022**, **2023 **and **2024**.

### Method-5: Forecast Sales Growth Rate Using Data Analysis Tool

Excel offers different analysis tools to do several tasks, forecasting is not an exception either. Here, we want to forecast the sales for the year **2022**. To do so, we will use the** Data Analysis **tool.

Here, first of all, we will add the **Data Analysis** tool in our Excel **Data** tab.

➤ First of all, we will go to the **File **tab in the ribbon.

➤ After that, select **Options**.

An **Excel Options** window will appear.

➤ Select **Add-ins** > in the **Manage** box select **Excel Add-ins** > click on** Go**.

➤ Afterwards, from the **Add-ins** window, select **Analysis Toolpak** > click on **OK**.

Now, if we go to the **Data** tab, we will see the **Data Analysis** tool.

Now, we will use the **Data Analysis** tool to forecast sales for the year **2022**.

➤ First of all, we will go to the** Data **tab > select **Data Analysis**.

A **Data Analysis** window will appear.

➤ We will select the **Analysis Tool** as **Exponential Smoothing** > click **OK**.

An **Exponential Smoothing** window will appear.

➤ After that, we will select the **Input Range** from cell **C5** to **C13** > give **Damping factor** as **0.5** > give **Output Range** from cell** E5** to **E13**.

Finally, we can see the sales for the year **2022** in the **Forecasted Sales** column.

**Read More:** **How to Forecast Sales Using Regression Analysis in Excel (3 Methods)**

### Method-6: Using Exponential Smoothing Formula

In this method, we will use an exponential smoothing formula to forecast the sales for the year **2022***.*

We take the smoothing constant as **0.5** and **Initial Forecast** as **$12270**.

➤ First of all, we will type the following formula in cell **E6**.

`=($C$15*C5)+(1-$C$15)*E5`

➤ After that, press **ENTER**.

Afterwards, we can see the result in cell **E6**.

➤ We will drag down the formula with the **Fill Handle** tool.

Finally, in cell **E13** we can see the **Forecasted Sales** for the year **2022**.

**Read More:** **Forecasting in Excel Using FORECAST Function & Auto Fill Handle Tool**

## Conclusion

Here, we tried to show you 6 methods to forecast sales growth rate in Excel. Thank you for reading this article, we hope this was helpful. If you have any queries or suggestions, feel free to know us in the comment section.

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