Scooter Board Game Rental Service in Lisbon: case interview walkthrough

What this case tests

This case primarily tests your ability to estimate market demand and size for a new rental service. You will need to analyze various factors that influence consumer behavior in Lisbon, particularly among tourists and locals interested in board games. The case emphasizes quantitative reasoning, requiring you to make logical assumptions and validate them through calculations.

How to solve

To tackle this case, follow these steps:

• Define the target market: Identify who would rent board games in Lisbon. Consider tourists, families, and local game enthusiasts.
• Estimate the size of the market: Use population data and tourism statistics to gauge potential demand.
• Analyze competition: Research existing rental services and their offerings. Understand their pricing and customer base.
• Develop assumptions: Make educated guesses about rental frequency, average spend, and seasonality.
• Perform calculations: Use your assumptions to calculate potential revenue and market size.
• Stress-test your assumptions: Consider how changes in tourism or local interest could impact your estimates.

Quant checks to run

As you work through your calculations, ensure to:

• Validate your assumptions with real-world data where possible.
• Check for consistency in your estimates across different segments of the market.
• Revisit your calculations if they yield unrealistic figures.
• Compare your results against known benchmarks in similar markets.

Common mistakes

Candidates often make several common errors:

• Overestimating demand without sufficient data.
• Ignoring seasonal fluctuations in tourism.
• Failing to account for local competition.
• Not validating assumptions with logical reasoning.
• Miscalculating potential revenue based on flawed assumptions.

Practice drills

To enhance your skills, consider these practice drills:

• Conduct a mock market sizing for a different rental service.
• Analyze a case study of a successful board game rental service.
• Role-play with a partner to simulate the interview environment.
• Review past case interviews focusing on market sizing.
• Create a list of assumptions and test them against real data.
• Practice articulating your thought process clearly and concisely.
• Time yourself to improve your pacing during the interview.