Serviceable Addressable Market (SAM)
The portion of TAM you can realistically serve with your current product and business model.
Definition
SAM narrows your TAM to the segment you can actually target based on your product capabilities, geography, pricing, and go-to-market approach. It removes the parts of the market you can't reach or don't serve well. SAM is a more honest number than TAM and shows investors you understand your real opportunity.
Why it matters for founders
SAM shows strategic focus. Claiming you'll capture a $50B TAM with no constraints signals you haven't thought deeply about your market. SAM demonstrates you know who your real customer is.
Example
An AI writing tool's TAM is all content creation ($20B). SAM is English-speaking SaaS companies with content marketing teams ($2B). SOM is mid-market SaaS in the US reachable through SEO and partnerships ($200M).
How Foundra helps
Foundra's Target Customer Profile card helps you define your SAM by narrowing down who you're really building for and why.
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