Market Sizing - Number of Business and First class seats

Existing Plane Market (Upkeep)

• Estimate # of flights taken globally
  • Domestic vs. International
• Extrapolate to # of planes
  • Domestic (medium size) vs International (large)
• Estimate # of 1st/Business seats per plane
  • Domestic (almost 0 1st and 5-10 Biz), International (more)
• Divide by 5 to get replacement rate

New Plane Market (Initial Install)

• Lifecycle of a plane
• 1 divide by lifecycle = x% of planes need to be replaced each year
• Apply to # planes from above
• Apply across biz/domestic numbers from #s above

And voila!

Hello!

First of all, the case would always have a little bit more info (e.g., 

• Who is your client
• What they want to achieve -maximize profits? maxime plane occupancy? etc.-
• some basic data on the population

)

Once we have that, the approach would be clear. 

For instance, if they want to maximize revenue, this would be more an optimization problem to be solved with an easy excel than a consulting case. 

Hope it helps!

Cheers,

Clara