TAM

TAM is the total possible market; SAM is the serviceable market (your segment); SOM is what you can realistically capture in a defined period. TAM informs investor narrative; SAM informs strategy; SOM informs annual planning.

Number of target accounts × average ACV potential. The hard part is defining "target account". Too broad and the number is meaningless; too narrow and you understate opportunity. Most TAM calculations land between 5,000 and 200,000 accounts depending on category.

Multiplying account count by category-leader ACV instead of your actual ACV. TAM should reflect what YOU could capture. Otherwise the number is fantasy.

Annually at minimum. Categories grow, contract, or shift. TAM that hasn't been touched in 2 years is almost certainly wrong.

By giving you a queryable, filterable account database to define and count your TAM directly. Instead of estimating, you can say "there are 4,847 B2B SaaS companies in our ICP" with the underlying account list available for sales activation.