Hi there,

How “typical” candidates do market sizing? Competely different to the real world (and why they often fail interviews)

How “optimal” candidates do market sizing? Very similar to an actual project. (and why they often pass market sizing in interviews)

Remember that the entire interview process is designed to mimic the real world. That's the entire point!

However, unfortunately most candidates just memorize stuff. They follow steps but they don't learn how to think and approach problems like a real consultant. Once they do, they drastically increase their chances of success.

Remember, market sizing is not about randomly picking numbers and buckets. There is a logical process to it!

(edited)

Hi there,

complementing Allen - I would say the logic building blocks in real cases are similar vs interview 

e.g. I had to size the solar pv, energy efficiency market evolution at 5 years for specific residential and industrial segments 

We built a semi-sophisticated excel model but basically my team

1) estimated “smart”drivers and proxies for market size evolution based on reports, business sense, client knowledge, bcg knowledge

→ you will size most of the time obscure sub-segments of market where no deterministic data points are available 

2) triangulated / pressure-tested outcomes

in summary a more in depth exercise vs an interview but built on EXACTLY the same conceptual tools and reasoning (hence the relevance of asking mkt sizing questions during interview :)  )

Hi there!

Actually, the process is similar. 

What differs is how you go about validating the assumptions, i.e., going out and getting the actual data to plug in to your approach. 

You can either collect actual data and run analyses on it, or you could also interview experts and ask for their input. 

Best,
Cristian

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Practicing for interviews? Check out my latest case based on a first-round MBB interview >>> SoyTechnologies  

As a general tip, you might as well start these questions with, “I know it depends, but…”

I have always been shocked how similar the “market sizing” process is to what one does during interviews.  Often applied when trying to estimate savings from different initiatives.  Identify the drivers, estimate the values, communicate. 

Sometimes you need to triangulate assumptions with other knowledgeable sources, but they're basically going to do the same thing also! 

Best,

Allen

Hi there,

the main difference between a case interview and real life market sizing exercises 

(1) You have more time and data sources available to get better estimates

(2) You are able to test multiple approaches/structures to get to the market size

(3) You are better able to triangulate/reality check outcomes

What is very similar is the fact that a structured approach is used, as in case interviews.

Cheers

Andreas