I came across an interesting question regarding estimating the market size of the alumnum foil industry in the US. I was completely stumped on how to approach it and was wondering if the community could offer their insight?
Market size of aluminum foil?
I agree with Vlad point on B2B, and you should definitely mention packaging as its consumption is much larger than uses for domestic purposes (not even sure if there’s any other b2b industry that consumes more!)
First of all, I would check whether it's a b2b or b2c market or both.
If b2c - agree with the previous one
If b2b, than = meals per person * % meals out of home * % meals with foil / ±3 portions prepared on a single foil * size of the one foil to cook / foils in one package
+ I would at least mention other potential b2b usages of foil, e.g. packaging
For B2B I would actually clarify with the interviewer if she is referring to food grade aluminium foil only or industrial aluminium foil in general. If the latter, then - assuming you are no expert in aluminium foil market - I would start a discussion to understand what the market segments (e.g. heat shielding, medicine packaging, etc) are and once that is cleared I would take the standard market sizing approach and size each one of these based on assumptions.
Hope it helps,
For consumer segment:
Pop us * 1/people per HH * % use aluminium foil * # foil packs per quarter * 4 quarters * usd per pack
then add another 25% extrapolating for businesses
Related BootCamp article(s)
Your client, large automotive OEM WyCar, has developed its first fully electric vehicle (EV) and introduced it as a pilot on the Austrian market last year. However, sales have been far below the expected numbers. The management has engaged you to support them in understanding the reasons and advise ... Open whole case
You have inherited the “Old Winery” from your grandfather, a winery which has been family owned for five generations and can be dated back to the 16th century. Half of the eleven hectares are used to grow white grapes, the other half to grow red grapes. They are grown in the conventional way, i.e. ... Open whole case
Onlinestar, an online retailer of furniture and garden products (core business), has grown significantly in recent years as a result of an expansion of its product portfolio. The company mainly imports goods from Chinese manufacturers but also operates its own production of cat lavatories (special b ... Open whole case
Your customer is the market leader in the North American elevator service business. This is divided into the areas of elevator construction, elevator modernization and service. The customer has a particularly strong branch network in medium-sized cities and would now like to expand its business in ... Open whole case
Our client Pharma Finance just finalized its first investment round and received $ 40m to invest in the build-up of a pharmaceutical manufacturing company. The CEO is mainly interested in high margins and profitable markets, with a sustainable and green production. This is why he wants you to find o ... Open whole case