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Market size estimate for a small racquet sport

Question

Estimate how big the US market is for a minor racquet sport such as squash or racquetball.

Short answer

A few hundred million dollars a year is a sensible order of magnitude. Estimate participants (say 1%1\% of 330330 million, about 33 million players, many of them casual), then annual spend per player on equipment, balls, court fees and club dues (perhaps 100100–300300 dollars), giving roughly 300300–900900 million dollars. Segment by casual versus committed players and state which revenue streams you are counting.

Adapted from Crack, Heard on the Street, Q5.5.15, p.55; question and answer rewritten by SelfMadeQuant.com.

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