Hi there,
I have been recently interviewed by Bain and they have asked me how many tourists there are in Paris in a year? How would you estimate it?
Thanks a lot!
Hi
There are a few ways to estimate the number of tourists in Paris. One quick way is highlighted below.
Take the total population of Paris - ~10M
Assume on average in any given day ~2.5% of the population are some form of tourists (this includes domestic, int'l, EU, business etc.) - so 250K people on any given day
Assume that on avg, a tourist stays in Paris for maybe 3 days (Some more and some less)
That means every 3 days there is a new set of 250K people coming into Paris. Which means in one year, 122 sets of 250K tourists visit Paris (365/3)
122*250K is ~30M tourists annually in Paris.
You can play with these assumptions to get a different number
Hope this helps,
Udayan
Hello,
You could approach the problem in 2 different ways:
I would follow the furst methid and then propose to do a sanity check of the result using the second one.
Does it make sense?
Best,
Luca
Is it possible to do the above process in 5 minutes (given this is a market sizing question in a case)?
Hello!
The most important thing in cases like this one is to be very structured and not loose your nerves. I would go with calculating the maximum hotel (hotels/appartments/places where turists stay) capacity and then calculate the % during the months (e.g., calculate 95% in June but only 80% in December)
Hope it helps.
Cheers,
Clara
