The TAM, SAM and SOM
It is really important to identify the market for our product, during midterm we already validated the problem that exist but the question now is do we really have the market? how big is our market is? or is there an opportunity with those numbers?
During this week the task is to really identify the size of our market, with this it is very important that we already know our customer segments because, with our customer segments we will be able to know who are our potential customers and how big they are in terms of numbers. During the weekly discussions, I learned that we need to asses the market, identify their population but we must also put in mind that general population is not a good idea to include or to put in our TAM or the Total Available Market. It is really important to really identify a specific characteristics of the potential customers to really know who they are.
In order to accomplish our weekly activity, since our products is an e commerce platform where it can be accessed with the use of a smartphone. Using the available data we make an assumption of the total population of adult in CDO since the product or the platform will be based in CDO, after calculating we already come up our TAM or the Total Available Market. The result is somewhat a huge number, with that, we need to trim down this data in order to get our SAM or the Serviceable Available Market. Since our concept is already existing and there are already many people using those products, we calculated the total population of adult smartphone user in CDO and afterwards we further trimmed down the data and lastly our SOM or the Served Obtainable Market is the total population of users of food delivery app in CDO.
The assessment of the team is that, with those numbers there is an opportunity and we can further grow those assumptions that we have in order to obtain more potential customers of the platform.