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Business
SAM (Serviceable Available Market)
The portion of TAM that your product or service can realistically serve given your current business model and capabilities. In finance, it guides investors on what is realistically addressable in the near term.
SAM is the practical slice of the market you can capture. It grounds ambition in operational reality.If TAM is the ocean, SAM is the bay where your boat can actually reach with the gear you have.
Real world: Of the $10B TAM for fitness apps, your startup can realistically target $2B in urban markets with your current platform.
💡 Know your reachable market to focus resources effectively and avoid overestimating your opportunity.