Hi,

1. I would make an assumption that your target audience is similar to the mall audience
2. Calculate mall traffic (Households) and calculate kids
3. Make an assumption on what % can afford (salary distribution) and would willing to take the classes (use a proxy, e.g. % of the general population who know Eng or personal example of your friends)

Best

Hi A,

According to me the tuition class's location in shopping mall in central part of Beijing only can be used to assume that it is a central and convenient location where parents can drive their kids without having to worry about things like parking problems, how to kill spare time etc. It will only add to the convenience factor or will reduce the chance of parents saying NO due to inconvenient location. Parents will normally receive/and will respond to marketing about the tuition from typical kids activity marketing source e.g. print/non-print media, parents group, schools etc.

For Sizing I will take 2 pronged approach of demand and supply:

On the demand side:

1. Given the very young age of the kids and hence travel issues, I will assume that parents from same or surrounding pin codes (locations) will only be the target

2. Out of no. of kids from those areas, I will keep on deriving focused numbers by applying the filters of a. need of ESL b.access/convenient of mall/batches c. affordability of parents etc.

3. One kind also triangulate this number using data from other tuition class branches that talks about a. number of enquiries/number of kids targeted by marketing b.typical inquiry to conversion ratio etc.

Supply side:

1. 2hr*2 = every batch takes 4hours. Given the kids age, batches cannot be earlier than 10am or later than 8pm. So we have 10hrs every day, which is 10h*6=60hrs every week (considering one weekly holiday). In a nutshell, if I consider 1 batch as a unit. At a time classroom that fits one batch can 60/4=15 batches or 150 students.

2. The number range arriving from Demand side now can be divided by 150 to arrive at size of the tuition class.

If the interviewer does not give you any data, probably he means to see your ability to make sensible assumptions. Otherwise the way this question is setup, if the company has 10 branches already, they would have fair idea about approximate numbers for most of these parameters and interviewer should evaluate you on your ability to structure the answer (instead of the ability to make assumptions).

Hope this helps.

Do like the answer if it helps you and feel free to message me in case you need any clarifications/further help!

Cheers,GB