Total Addressable Market (TAM)
The total revenue opportunity available if a product achieved 100% market share among all potential buyers. TAM sets the ceiling for a business and frames the size of the opportunity.
Related terms
Go-To-Market (GTM) Strategy
The plan for how a company reaches its target customers and delivers its value proposition to win market share. A GTM strategy defines the target market, positioning, channels, pricing, and sales motion.
Demand Generation
Marketing focused on creating awareness and interest in a category or product to build future buying intent. Demand gen plays a longer game than lead gen, shaping the market before prospects are ready to buy.
Lead Generation
The process of capturing contact information from potential buyers so they can be nurtured and sold to. Lead gen converts existing interest into known, contactable prospects.
Demand Capture
Tactics that capture buyers who are already searching for a solution, such as paid search and review-site presence. Demand capture harvests existing intent, complementing demand creation.
Serviceable Addressable Market (SAM)
The portion of the TAM that a company can realistically serve given its product, geography, and business model. SAM narrows the opportunity to the segment a company actually targets.
Serviceable Obtainable Market (SOM)
The share of the SAM a company can realistically capture in the near term given competition and capacity. SOM grounds growth targets in what is achievable rather than theoretical.
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