Running a business requires you to spend a lot of time on the present. The reality is the future potential is equally as important as the past. Buyers measure that future potential in a metric called the total addressable market TAM. Total addressable market quantifies the total annual market demand for your solution in a dollar amount. Simply put, TAM is the total amount of revenue a business can generate selling its product to every prospect or customer that is addressable. Now addressable means that the solution is tailor made or has a use case for that particular type of business. After identifying the number of addressable customers, you just multiply your annual contract value by the number of customers. For example in the real world, if you develop and sell practice management software to legal firms to be used by lawyers and paralegals, your addressable customer base would include all attorneys and legal staff across the globe.
What is Total Addressable Market (TAM)?
Not everything you learn in college is in the classroom. College teaches you how to be responsible, financially independent… and how to do laundry without your parents. By the way, you should always wash your underwear before wearing the first time! When choosing your laundry detergent, you want something cheap but also good for you and the environment. Check out this list of the 5 best natural laundry detergents by Organic Authority.
Leave a comment
We just launched a brand new website with much cleaner and sleeker interface. The changes are based on what we learned from the in-depth interview of 20 of our supporters! Thank you so much for those of you who are willing to share insights with us. If you would like to participate our future interviews, please message us! After launching the new website, we headed to CES, the annual Consumer Electronics Show in Las Vegas, and got lots of valuable feedback from the attendees at our daily tasting events!
I'm so excited to share the makeover we tackled this weekend with removable wallpaper from Rocky Mountain Decals! Do you remember the mini-makeover we gave our daughters' room before Christmas? Here was the mood board I put together for inspiration.