PPEXONIX

TAM SAM SOM Calculator

Size your market bottom-up: count the customers who could buy, multiply by what each pays per year, then narrow to the segment you can serve and the share you can realistically win.

Your numbers

RESULT
TAM — total addressable market
$1.2B
SAM — serviceable addressable market
$240M
SOM — serviceable obtainable market
$12M
Customers needed for SOM
50,000
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The formula, in plain English

  • TAM = Total potential customers × Annual value per customer
  • SAM = TAM × Serviceable share %
  • SOM = SAM × Obtainable share % (3–5 years)

Frequently asked questions

Top-down or bottom-up market sizing?

Investors trust bottom-up (customers × price) far more than top-down industry reports, because it shows you understand who buys and at what price.

How big should TAM be for VC?

Venture investors usually want a TAM above $1B so that a big outcome is possible, though a fast-growing smaller market can work.

What SOM is realistic?

Typically 1–10% of SAM within 3–5 years, backed by your go-to-market plan and current traction.

Results are estimates for planning and education — not financial, legal or tax advice.

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