Estimation question
Estimate the delta in the sale of hair trimmers/clippers during the COVID-19 lockdown.
- Philips
- Estimation
- Hard
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What this question tests
Estimation reasoning about a behavioral shift caused by a specific real world event, requiring a before-and-after comparison with clear logic.
How to approach it
- State the hypothesis directly: lockdowns closed barbershops and salons, likely increasing demand for at-home hair trimmers and clippers.
- Break the estimate into a funnel: baseline pre-COVID monthly trimmer sales, times an assumed multiplier for the surge during lockdown months.
- State assumptions explicitly, for example baseline monthly sales in a market, and a surge multiplier, perhaps 2x to 4x, reasoning that barbershop closures pushed a large share of regular haircuts to at-home solutions.
- Consider offsetting factors: some people simply let hair grow rather than buying a trimmer, which would reduce the multiplier from an extreme high estimate.
- Calculate a delta (increase in units or revenue) and sanity check it against the fact that this was a widely reported, real consumer trend during 2020 lockdowns.
- Segment by whether this was a one-time spike (early lockdown panic buying) versus a sustained shift, since the delta likely tapered as salons reopened.
What a strong answer includes
- States the surge multiplier as an explicit, reasoned assumption rather than an arbitrary number pulled from nowhere.
- Accounts for an offsetting behavior, people simply growing their hair out instead of buying a trimmer, showing balanced reasoning.
- Distinguishes a temporary spike from a sustained shift, correctly reasoning that the delta likely shrank once salons reopened.
Common mistakes
- Giving one flat multiplier for the entire lockdown period without considering it likely tapered over time.
- Ignoring substitute behaviors, like growing hair out, that would reduce the actual delta.
Likely follow-up questions
- How would this estimate differ across regions with different lockdown lengths?
- How would you validate this estimate using actual retail sales data if you had access?
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Learn the skill behind it
Chapters of the AI PM course that teach what this question tests.
- Chapter 2: Data fluency: SQL, logs, and reading the truth yourself
- Chapter 9: Prove it paid off: outcomes, economics, and pricing
- Chapter 14: Get the job: the AI PM interview loop