Market Sizing

Question 1

US Population

Answer 1

320 million

Question 2

Global Population

Answer 2

8 billion

Question 3

Life expectancy of an American

Answer 3

80 years. Assume even distribution of ages

Question 4

US Households (number)

Answer 4

100 million (3.2 people per household)

Question 5

US Population - Generations

Answer 5

4 million people per year of birth (320 million / 4 generations / 20 years per generation)
80 year life expectancy

Question 6

Population Questions

How many cups of coffee are consumed in the US per day?

Answer 6

1. Break pop’n down by generation
2. Estimate cups of coffee per generation
3. Draw the Chart to organize thoughts
4. Light / medium / heavy drinkers

Question 7

Household questions

How many TVs are there in the US?

Answer 7

1. Draw/design a chart to help you as you go along
2. Households by income levels
3. Number of households per income level; number of TVs per household per income level
4. How many TVs not in households (bars, schools, hotels, restaurants, etc.)

Question 8

Household questions

How many garden hoses are sold in the US per year?

Answer 8

Break into rural / urban.
X are apartments or condos.
Out of the urban houses, 2 hoses (backyard and front yard)
Replaced every 3 years so divide by 3

Question 9

Worldwide market-sizing question

Answer 9

Don’t start with 8 billion. Start with one country and extrapolate out

Find the US market (wearables by generation) and make an assumption of their % of the global market

Question 10

5 C’s

Answer 10

Client, Company, Channels, Cost, Competition

Question 11

Breakeven Point in Units

Answer 11

Point at which fixed costs = profit per unit * number of units
= Fixed costs / Profit per unit

Question 12

Breakeven point in price

Answer 12

Fixed costs / number of units + unit variable costs