Marketers and their investors typically think of market size as three numbers; TAM (total addressable market), SAM (served available market) and target market. The TAM for makers of a new smartphone app might be the 1 billion total smartphone owners worldwide, but if the application is available only in English or works only on an iPhone, the SAM or potential market served is far smaller. And the target market might be Apple App Store customers, so your next step would be to estimate what percentage of those shoppers might actually buy. Each estimate further narrows the target market.”
The Startup Owner’s Manual – Steve Blank and Bob Dorf
Total Addressable Market (TAM)
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