tag:blogger.com,1999:blog-5181322057797440465.post4232978787759925859..comments2014-06-12T16:56:58.584+02:00Comments on Tam Sam Som Market Evaluations - Easily Explained: TAM SAM SOM - Easily explainedCarsten Schadehttps://plus.google.com/100397480690990891222noreply@blogger.comBlogger7125tag:blogger.com,1999:blog-5181322057797440465.post-48143446892890285522013-01-16T09:42:41.845+01:002013-01-16T09:42:41.845+01:00"TAM SAM SOM" is a nice trick for market..."TAM SAM SOM" is a nice trick for market analysis this gives fast result but calculating over it ma be difficult means getting exact figure about market. <a href="http://www.bharatbook.com/market-research-reports/consumer-electronics-market-research-report/led-lamps-used-in-explosion-proof-lighting-global-market-forecast-and-analysis-2012-2019.html" rel="nofollow">LED Lamps Global Mrket Forecast.</a> Ross Taylorhttp://www.blogger.com/profile/16975162102390768326noreply@blogger.comtag:blogger.com,1999:blog-5181322057797440465.post-50796927826932557332012-06-24T21:23:42.657+02:002012-06-24T21:23:42.657+02:00Hi, thanks for this, you have explained this in su...Hi, thanks for this, you have explained this in such a way that I am sure my 4 year old nephew would understand.I am a complete computer geek myself on the verge of approaching various venture capitalists and all this information needs to be in my initial presentation, the funny part is I have the information but had know Idea this is what they were asking for.Peter Bothahttp://www.blogger.com/profile/13674237598870596324noreply@blogger.comtag:blogger.com,1999:blog-5181322057797440465.post-6512948837382519192010-08-31T15:26:29.154+02:002010-08-31T15:26:29.154+02:00Can you recommend any good books on the subject?Can you recommend any good books on the subject?Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-5181322057797440465.post-36824308575864193462010-05-18T04:33:16.706+02:002010-05-18T04:33:16.706+02:00How do i calculate SAM for the semiconductor indus...How do i calculate SAM for the semiconductor industry in Indiasb4141http://www.blogger.com/profile/12676295218248968012noreply@blogger.comtag:blogger.com,1999:blog-5181322057797440465.post-42625609241205670732010-01-19T16:58:55.846+01:002010-01-19T16:58:55.846+01:00Customer Question:
Hi Carsten,
Thanks for an amaz...Customer Question:<br />Hi Carsten,<br /><br />Thanks for an amazing blog about the TAM/SAM/SOM. I can't believe how much little info there is on the web about this.<br /><br />I'm trying to determine the TAM SAM SOM for a new search engine which has a mobile aspect. It's really confusing because what we're offering specifically is not being offered so what can a person take into consideration in such a scenario?<br /><br />Also you calculate TAM/SAM/SOM in units as in potential units sold. What about $ amounts? Is that ok...or in my case is it Search engine users?<br /><br />Regards,<br />Mr..... <br /><br /><br />Answer to Questions:<br />Hallo Mr. ...!<br /> <br />To answer your questions:<br /> <br />1) When you are talking about a search engine to be used by mobile devices > All mobile internet users are your TAM.<br />2) Your SAM will be reduced if you only develop software for Windows Mobile users. <br />Thus the customers for the Iphone and Symbian are excluded in your SAM. <br /> <br />3) For the SOM, you cannot reach all the customers, so you need to be realistic and first figure out your target groups that you can really reach > Like early adopters or business travelers for whom your product has specific value. <br /> <br />For the $ amount you need to take the volume/units and just put a price onto it. <br /> <br />Hope this explanation helps! <br /> <br />Regards,<br />CarstenCarsten Schadehttp://www.blogger.com/profile/03048025895248095239noreply@blogger.comtag:blogger.com,1999:blog-5181322057797440465.post-64409046682064484092009-06-09T16:41:06.402+02:002009-06-09T16:41:06.402+02:00Extra Question from Nathan!
Thanks again for your...Extra Question from Nathan!<br /><br />Thanks again for your input. I am almost there. One last round if I may. Let’s use a real example. 200M touchscreen phones worldwide. The average price is 100$. So the touchscreen phone TAM is $20B. Now, I have a high end solution that can serve 100% of these touchscreen phones. So, the SAM in units is 200M touchscreen phones. But, my price is $150. This would put the SAM at 200M * $150 = 30B.<br /><br />I think the features, region etc… would be taken into account in the SOM calculation.<br />Thanks again. Nathan<br /><br /><br />Answer to Nathan:<br />Hello Nathan!<br /><br />The first thought with your TAM of $ 20Billion is correct. But, because not all the customers will buy high end products, therefore you don’t serve 100% of the market. If 20% of all customers buy a high end product at $ 150 your SAM is: 200 Million pieces x 20% x $ 150= <br />$ 6 Billion SAM.<br /><br />Because not all high end customers buy YOUR product, you can expect to achieve a market share of ca. 50% of the high end market share.<br />In this case your SOM will be 50% of $ 6 Billion. Your SOM is $ 3 Billion!Carsten Schadehttp://www.blogger.com/profile/03048025895248095239noreply@blogger.comtag:blogger.com,1999:blog-5181322057797440465.post-50668585637973836812009-06-08T17:38:38.672+02:002009-06-08T17:38:38.672+02:00Question from Nathan:
How would you calculate $ TA...Question from Nathan:<br />How would you calculate $ TAM?<br /><br />Would you use the industry avg unit price, or would you use your avg unit price?<br />In the case of the iPhone, using the industry average would be misleading because the iphone allowed for the average unit price to increase therefore enlarging the TAM. However, if your solution is 2X the unit price then TAM based on your unit price does not make sense either.<br /><br />Curious…<br />Nathan<br /><br /><br />Answer to Nathan:<br />Hello Nathan!<br /><br />1) It does not make sense to calculate the TAM from the Iphone for 1 specific product. The I-Phone is not a market, it is a product. Here you need to calculate the Smart phone market where there is more competition.<br /><br />2) The Tam is the total amount of money people spend on Smart phones in units sold or $ money, so you would calculate from the industry weighted average unit price.<br /><br />3) If you want to calculate the money, just mulitply the number of units by the average price.<br /><br />4) If you are the producer of the I-phone, you can calculate the SAM. Because you have 1 product to service the total smart phone market.<br /><br />Hope this explanation helps!<br /><br />Kind regards,<br /><br />Carsten SchadeCarsten Schadehttp://www.blogger.com/profile/03048025895248095239noreply@blogger.com