Serviceable Available Market (SAM) is the portion of the total addressable market (TAM) that a company can realistically serve with its products or services.
SAM analysis is used in market research, go-to-market strategies, and business expansion planning.
Overestimating SAM can lead to unrealistic business projections and inefficient resource allocation. Companies need accurate market research to define their true serviceable market.
Understanding SAM helps businesses focus on realistic revenue opportunities and optimize market entry strategies.