Guesstimate Example | Type 1 | Placement Series

Hey! Welcome to the continuation of the Guesstimate masterclass!
In this video, I have covered one of the major types of guesstimate in detail for your understanding :)
Books you can use 📚
Case Interviews Cracked: amz.run/4Xd3
Guesstimation Book: amz.run/4Xd4
Resources 🔖
Soumya Gupta's guide: bit.ly/33rsOZp
Vault guide: bit.ly/2R7mcgj
KZbin videos 📹
IIM Lucknow Consulting Club: • Guesstimate: No. of wa...
MConsulting Prep: • Market-sizing & Guesst...

[@Nxrth2001]

A year later, but this is fantastic man. A really comprehensive guesstimate, covers all the facets. Feeling confident now

[@meenachauhan3703]

Your voice is well modulated and the content is so well explained. Impressive presentation !!

[@shubhamkaushik9589]

Thanks a lot 🙏🏼🙏🏼

[@trusttheprocess256]

You have excluded the life cycle of electric vehicles. There will be a fraction of buyers yearly who will be replacing their worn out electric vehicles which can be approximately = (No of electric vehicles in India)/(Avg life cycle of an electric vehicle)

[@himanshibisht8268]

It's soo much helpful and great ✨

[@anjaliraj4137]

Impactful presentation 😇👍

[@kanchanvyas5490]

The video is extremely helpful, please keep posting. I was getting scared initially but your video made things interesting and clear :)

[@shubhamkaushik9589]

Thanks for watching!

[@jayshreepoddar8228]

This was super helpful, waiting for the other 2!

[@shubhamkaushik9589]

Coming Saturday Morning!

[@himanshibisht8268]

Extraordinary 😇

[@anveshamishra6834]

Thank you so much for the absolutely detailed and organized content.

[@shubhamkaushik9589]

Thanks for watching!

[@shauryaselangia5725]

Coffee peevanu, Kaushik bhaiya ki video dekhanu, majja ni life! This stuff does help, please bring moree!!!

[@shubhamkaushik9589]

Haha super glad :) More on the way!

[@cafinal205]

could we get a quantified conclusive answer as well in your videos, it would help me to compare it with my guesstimate. my answer was around 2.5Lakh

[@pavanyeluri8728]

One thing we haven't considered is affordbility of vehicle in urban and rural areas. It could be used after urban,rural split to ensure not overestimating the automobile market overall.

[@gauransh2191]

2 quick questions please. 1- We only estimated the numbers of cars, shouldn't we calculate market size for two-wheelers too? 2- For the number sold, shouldn't it be the assumed % + a growth rate %, like we calculate as replacement sales+ fresh sales (due to growth rate)

[@shubhamkaushik9589]

I agree with point 1 - it just depends on your initial questions and this can be clarified with your interviewer, but good observation! As for point 2, my calculation has been: Assumed percentage x Growth rate as the final answer without considering replacement buying since electric vehicles aren't as established in the Indian market, and people legitimately looking to replace 4-5 year old electric vehicles wouldn't be as much. This however would totally apply correctly if it was "just automobiles"

[@gauransh2191]

@@shubhamkaushik9589 Great. Thanks Shubham. Wonderful content

[@AnmolGera2]

Super Helpful and Super Interesting. Guesstimates sure are fun!

[@shubhamkaushik9589]

Thanks a lot! And very rightly said!

[@madhavmishra5076]

Can you please give detailed calculation for these as we are totally new in this

[@sushmakumari974]

Sir can you prepare a video on how we can calculate the no. of delivery boys required for any particular outlet of Domino's.

[@arjunsethi2603]

Hi Shubham, do you think the supply-side approach could have been better? Because the demand side approach has flaws like it does not take into account that the whole population of India will not buy EVs in 2021.

[@AnkurAgarwalsir]

Very nicely explained

[@shubhamkaushik9589]

Thank you very much sir 😄

[@palipranjal5528]

Hey, why do we have to use the GDP growth rate at the end? Can the final answer not be the percent of EV out of total automobiles? Say 5 percent of the total automobiles?

[@gokulsubramani9251]

Hi Shubam. First of all thank you so much for the video. Multiplying with GDP growth rate is for predicting the trend in future years rit ? But the question is only for the year 2021.. Could you please explain this?

[@varunlunawat2001]

6:16 since any industry grows or downfall with a current percentage so multiplying the overall number will give us a future prediction as per the question(no. Of vehicle that will be sold)

[@nehamuralidharan1941]

Hi Shubham, I did not really understand why we are multiplying the GDP at the end. Would you be able to give a one liner on that?

[@savleenrajpal3413]

True

[@kartikthakur5561]

Hey, thanks for the video. Well explained. Didn't understand why a growth rate was multiplied?

[@shubhamkaushik9589]

Hey! Thanks for watching. Basically, when you are doing a market sizing guesstimate to arrive at the total market size, that would simply be the number of "X" at that time in that geography. We multiply this with a growth rate since that is an indicator of how the market will grew in the previous year, indicating sales for that year. Since the question was to figure out "X" sold in a year, this approach is followed. Do let me know if you have any doubts!

[@kartikthakur5561]

Thanks for your reply buddy. Correct me if I am wrong if I have misunderstood it, we multiply the growth rate to estimate the market size in a future year say 2022, 23 and so on. Right?

[@nitishrathi3600]

Hey Shubham...I tried searching for a rough percentage of lower, middle and upper class % in both rural and urban areas but couldn't find these % anywhere...can you share some rough numbers or a link where this information is available...these % numbers can come in handy for future calculations as well. Thanks!

[@shikharchauhan2215]

Urban(30% of 130 cr)~40 cr Higher class- 10% of 40 cr Middle - 70% of 40 cr Lower -20% of 40 cr Rural( 70% of 130 cr)~ 90 crore Higher class- 5% Middle- 60% Lower-35%

[@ifrahsyed5495]

Can anyone tell me what market size came out to b?

[@abulharis4958]

9-10 lakhs

[@librandu5795]

3-4 cars for upper class???? absurd estimation

[@pragati2685]

Pls bro don't use background music