The Digital Dominance Podcast

Guesstimates- Example 2 - Estimate Number of Hotels in Bangalore City


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🧠 Clarification First:

  • ​ Only considering hotels, excluding Airbnb/lodges
  • ​ City in focus: Bangalore



🗺️ Step 1: Estimate Area

  • ​ Total area of Bangalore ≈ 600 km²
  • ​ After removing lakes, forests, and parks, assume 50% usable land → 300 km²



🧩 Step 2: Zoning by Density


Divide usable land into 3 zones by density (normal distribution):

🔹 High density (25%) → 75 km²

🔹 Medium density (50%) → 150 km²

🔹 Low density (25%) → 75 km²



🏨 Step 3: Hotels per Zone


🔸 High Density → 5 hotels/km² → 375 hotels

🔸 Medium Density → 2.5 hotels/km² → 375 hotels

🔸 Low Density → 0.5 hotels/km² → ~35 hotels

➡️ Total Estimated Hotels: ~800



📊 Gut Check Using Demand

  • ​ Population ≈ 1.5 Crores
  • ​ Assume 1 in 1000 is a tourist → 15,000 tourists
  • ​ Average hotel has 20 rooms
  • ​ To host 15K people → Need ~750 hotels (15,000 / 20)

✔️ Matches well with the estimated 800 hotels



This structured guesstimate blends logical assumptions, population metrics, and land analysis to arrive at a solid ballpark figure.



#ProductManagement #Guesstimates #CaseInterview #ConsultingPrep #BusinessStrategy #ProblemSolving #PMInterview #Estimation #Analytics #BangaloreHotels #MarketSizing #HotelIndustry #ProductThinking #Frameworks

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The Digital Dominance PodcastBy Anoop Suresh