Machine learning has revolutionized demand forecasting for retailers by allowing for more accurate predictions based on vast amounts of data. By analyzing historical sales data, consumer behavior, and external factors, machine learning algorithms can identify patterns and trends that humans may overlook. This leads to better inventory management, reduced costs, and increased sales by ensuring that products are available when customers want them. Retailers can also personalize marketing efforts based on forecasted demand, ultimately enhancing the overall customer experience and optimizing supply chain operations.