Top-down forecasting estimates revenue or performance by starting with macro-level data such as market size, category growth, or company-level targets. From there, numbers are broken down into regions, teams, or channels to determine expected performance.
In B2B marketing and sales, this method helps set strategic goals based on broader commercial ambitions. It’s often used during annual planning to determine where investment, headcount, or capacity should be allocated across the go-to-market engine.
This approach relies on inputs such as market research, segmentation, and ICP definition to ensure high-level targets reflect real market conditions and can be validated through bottom-up forecasting.