Much has been said about the size of your Total Addressable Market (TAM). However, it’s easy to get confused and overly complicated. For example, one might ask, “Is my TAM at launch, a few years after launch, once we’ve gone international, or added new products?”
I use a simple modification to TAM. I add, “At Launch”, or “+3 years”. It renders as “TAMAL” and “TAM+3”. Thus, at launch, when we have one to a few new products, haven’t added features to win a larger market, haven’t gone over seas, etc., we can easily remember and say that our TAMAL, our Total Addressable Market at Launch, is X units and/or Y dollars.
Try it. It’s easy to present and easier to estimate.