Venture

Total Addressable Market (TAM)

Also known as: TAM

Total Addressable Market is the total annual revenue opportunity for a product category assuming one hundred per cent market share, before any consideration of competition or reachability.

Bottom-up TAM (number of potential customers multiplied by realistic annual contract value) is far more credible than top-down analyst-report figures.

SAM (serviceable addressable market) and SOM (serviceable obtainable market) narrow TAM to what a company can actually reach and win.