Business
Market Sizing Framework Generator
Enter your market and the segment you will target first, and the tool returns a TAM/SAM/SOM framework: total addressable market as customer count times average annual spend, serviceable available market narrowed to your segment by geography and fit, and serviceable obtainable market as a realistic near-term share. Each layer includes prompts for the assumption behind it and the data source to validate it. Founders use it when writing a pitch deck or business plan, and product teams to evaluate whether a market is worth entering. Showing your working — customer count, average spend, share assumption — is what makes a market size credible to investors. Replace the placeholders with real numbers and cite your sources.
How to use
- Choose your options above
- Click Generate
- Copy your result
Detailed instructions
- Enter your market and the segment you will target first.
- Click Generate to produce the TAM, SAM, and SOM framework.
- Replace the placeholders with real numbers and sources.
- Check your SOM is a defensible fraction of the SAM.
Use Cases
- •Sizing a market for a pitch deck or business plan
- •Deciding whether a market is worth entering
- •Showing investors a credible, sourced market size
- •Structuring a bottom-up revenue estimate
- •Teaching the TAM, SAM, and SOM model
Tips
- →Build figures bottom-up: customers times average annual spend.
- →State every assumption and cite a source for each number.
- →Keep the SOM realistic — investors discount inflated claims.
- →Update the numbers as you gather real customer data.
FAQ
What do TAM, SAM, and SOM mean?
TAM is the total market if every possible customer bought from you. SAM is the portion you can serve given your product, segment, and geography. SOM is what you can realistically capture in the next few years against competition. Each is a narrower slice of the one above.
How do I avoid an inflated market size?
Build the figures bottom-up: customer count times average annual spend. State every assumption and source rather than pulling a top-down analyst headline. A sourced, bottom-up number is far more credible and harder for an investor to dismiss.
Why does SOM matter most to investors?
A huge TAM means little if you can only win a sliver. SOM shows you understand the realistic, near-term opportunity and have a grounded plan to capture it, which is more persuasive than an enormous but unattainable total market.
How does the segment input affect the output?
The segment you enter anchors the SAM layer — the framework explicitly narrows from the full TAM to that segment by geography, product fit, and addressability. A precise segment like 'independent restaurants in Germany' produces a far more defensible SAM than a broad one like 'food businesses'.
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