STL-DCSInformer-ETS: A Hybrid Model for Medium- and Long-Term Sales Forecasting of Fast-Moving Consumer Goods

Accurately forecasting sales for fast-moving consumer goods (FMCG) remains a significant challenge due to the volatile and multi-faceted nature of sales data. Existing methods often struggle to capture intricate patterns driven by seasonal trends, external factors, and consumer behavior, hindering e...

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Bibliographic Details
Main Authors: Yecheng Ma, Lili He, Junhong Zheng
Format: Article
Language:English
Published: MDPI AG 2025-02-01
Series:Applied Sciences
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Online Access:https://www.mdpi.com/2076-3417/15/3/1516
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Summary:Accurately forecasting sales for fast-moving consumer goods (FMCG) remains a significant challenge due to the volatile and multi-faceted nature of sales data. Existing methods often struggle to capture intricate patterns driven by seasonal trends, external factors, and consumer behavior, hindering effective inventory management and strategic decision-making. To overcome these challenges, we propose STL-DCSInformer-ETS, a hybrid model that integrates three complementary components: STL decomposition, an enhanced DCSInformer model, and the ETS model. The model uses monthly sales data from a FMCG company, with key features including sales volume, product prices, promotional activities, and regulatory factors such as holidays, geographical information, consumer behavior, product factors, etc. STL decomposition partitions time-series data into trend, seasonal, and residual components, reducing data complexity and enabling more targeted forecasting. The enhanced DCSInformer employs dilated causal convolution and a multi-scale feature extraction mechanism to capture long-term dependencies and short-term variations effectively. Meanwhile, the ETS model specializes in modeling seasonal patterns, further refining forecasting precision. To further improve predictive performance, the Random Forest-based Recursive Feature Elimination (RF-RFE) method is applied to optimize feature selection. RF-RFE identifies key predictive factors from multiple dimensions, such as time, geography, and economy, which significantly influence forecasting accuracy. Through numerical experiments, the method demonstrates excellent performance by achieving a 35.9% reduction in Mean Squared Error and a 21.4% decrease in Mean Absolute Percentage Error, significantly outperforming traditional methods. Furthermore, the model effectively captures both medium- and long-term sales trends while addressing short-term fluctuations, leading to more accurate forecasting and improved decision-making for fast-moving consumer goods. This research provides new theoretical insights into hybrid forecasting models and practical solutions for optimizing inventory management and strategic planning in the FMCG industry.
ISSN:2076-3417