Market Sizing: Corporate wellness subscriptions in Japan

Consulting
medium25 min0 submissions
Morgan Stanley
Scenario

Cobalt Robotics is considering launching corporate wellness subscriptions in Japan and needs a defensible estimate of the annual market before committing to a business plan.

There is no reliable published market research for this category in Japan. You have roughly 202 million people in the addressable region, a broadly typical income distribution for the geography, and no proprietary data.

The investment committee does not expect precision. It expects a number it can interrogate, with every assumption visible and challengeable.

Supporting data
noteNo published market data. Estimate from first principles.

context

product
corporate wellness subscriptions
geography
Japan
addressable population millions
202
Your task

Estimate the annual market size for corporate wellness subscriptions in Japan. Provide:

  1. Analysis — your structure, assumptions and arithmetic.
  2. Risks — which assumptions your answer is most sensitive to.
  3. Recommendation — your estimate, as a range, and how you would validate it.

State every assumption. Round aggressively — precision here is false comfort.

Ready to move forward? Up next: Market Sizing: Point-of-sale terminals in USNext question
How you'll be graded

100 points, 60% to pass.

  • structure30
  • arithmetic20
  • assumptions30
  • sense check20
Hint
Reveal suggested structure

Bottom-up is usually more defensible:

Population → filter to the relevant buying unit (households, businesses, vehicles) → penetration rate → purchase frequency or replacement cycle → average price → annual market value.

Then cross-check top-down: total category spend in the geography × the share this product could represent.

If the two land within a factor of two, the estimate is usable. If not, one assumption is wrong — find it.