Bottom-up forecasting builds revenue or demand projections from the ground up, starting with individual campaign or account-level data and aggregating upwards to create an overall forecast. It’s a highly data-driven approach used by marketing and RevOps teams to model realistic growth scenarios.
This method differs from top-down forecasting, which relies on market share assumptions or executive targets. Bottom-up models incorporate conversion rates, average deal size, and pipeline velocity, producing projections rooted in actual performance metrics.
In B2B environments, bottom-up forecasting fosters accountability and cross-functional visibility. Basing goals on historical data and current pipeline trends enables more accurate budgeting and capacity planning across marketing and sales functions.