Account level demand estimation and intelligence framework

In the context of business-to-business (B2B) commerce, one of the most significant strategic activity for marketing and sales teams is to accurately estimate a company´s demand for IT products that can be fulfilled by HP. This metric is known as Account level Total Addressable Market (A-TAM) within the HP community. Accurate A-TAM estimates are vital for developing superior marketing strategies, optimizing allocation of sales and marketing resources and thereby driving revenue growth. We have developed a robust procedure to estimate A-TAM using a nonlinear optimization model along with reconciliation with market size and validated input from the field. The estimates are computed for the entire spectrum of HP products and services encompassing company hierarchy from individual accounts, sites and divisions to global entities. Additionally, A-TAM has been combined with transaction level data to identify the characteristics of customers which show tendency for increased spending over the years and use those characteristics to pin point customers likely to show similar behavior. The potential for increment in revenue is also quantified by analytically determining the factors which drive the revenue and use those for prediction.