Certified Professional Category Analyst (CPCA) 2026 – 400 Free Practice Questions to Pass the Exam

Not considering seasonality in product sales can lead to incorrect stock levels at retail locations, which is a significant issue for inventory management. When retailers fail to account for seasonal demand fluctuations, they may either overstock products that are less in demand during certain periods or understock items that experience a surge in popularity. This mismatch in inventory can result in products being unavailable when customers want to purchase them, leading to lost sales opportunities. Additionally, overstocking can lead to excess inventory costs and potential markdowns if products need to be sold at a discount to clear out space for new stock. By effectively analyzing and incorporating seasonality into sales forecasts, businesses can optimize their inventory levels, ensuring that they meet customer demand without incurring unnecessary costs.