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Estimate the annual size of sport shoes in India

Updated: Nov 18, 2022

Mobiprep has created step by step solution to estimation questions for all product management and consulting interview questions to help you with the mastering placement interviews. So let’s get started with the estimation questions.

Our team has curated a list of the most important product management frameworks asked in interviews such as Google, Deloitte, McKinsey, Microsoft, EY, ZS and many more. The frameworks are created from the best practices adopted by previous year candidates.

In this estimation question we have analysed the market size of the annual size of sport shoes in India. Check out the step-by-step answer created by Mobiprep experts.


Estimation Question Step-1: Segmentation

Population of India = 140 crores

Segmentation of usage of sports shoes

Demographic segmentation of India

Age wise usage of sports shoes

Estimation Question Step-2: Solution

Weighted average = 10% + 20% + 12% + 8% + 10% = 50% (approx)

Gender wise usage of sports shoes

Weighted mean of all percentage = 80% x 50% x 55%

= 20% (approx)

Therefore, total number of sport shoes = 20% x 140 crores = 28 crores

Life of a sport shoes is assumed to be 10 months.

So, = 28 crores x 12/10 = 33.6 crores

Segmentation of market distribution of sports shoes

So, weighted average price of market = 0.60x500 + 0.30x1500 + 0.10x3000

= Rs. 1000 (approx)

Therefore, total revenue generated by = 33.6 crores x 1000 = 33600 crores or 336 billion sport shoes anually (approx)

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