Recruiter's Glossary

Examples: Carried Interest • Pre-money Valuation • Deal Flow

SAM

Term from Venture Capital industry explained for recruiters

SAM, which stands for Serviceable Addressable Market, is a key concept used in business planning and investment analysis. It represents the portion of a market that a company can realistically target and serve with its products or services. Think of it as the realistic slice of the total market pie that a company could actually reach and sell to. It's smaller than the total market (TAM - Total Addressable Market) but more practical and useful for investors to evaluate business potential. This term is especially important in startup pitches and venture capital discussions when determining if an investment opportunity makes sense.

Examples in Resumes

Conducted detailed SAM analysis for technology startups in the healthcare sector

Developed investment strategies based on SAM and TAM calculations for venture opportunities

Led market research team in identifying SAM for early-stage companies

Typical job title: "Market Analysis Specialists"

Also try searching for:

Market Research Analyst Investment Analyst Business Development Manager Venture Capital Analyst Strategy Consultant Market Intelligence Specialist Investment Associate

Where to Find Market Analysis Specialists

Professional Networks

Industry Resources

Events & Conferences

• Venture Capital Events
• Market Research Events

Example Interview Questions

Senior Level Questions

Q: How do you validate SAM calculations for an early-stage startup in an emerging market?

Expected Answer: A strong answer should explain the process of combining market research, competitor analysis, and customer segmentation to arrive at realistic market size estimates. Should mention using both top-down and bottom-up approaches to validate numbers.

Q: How would you explain the difference between TAM, SAM, and SOM to a startup founder?

Expected Answer: Should provide clear, simple explanations using real-world examples. TAM is the entire possible market, SAM is the portion you could reasonably serve, and SOM (Serviceable Obtainable Market) is what you can capture in the near term.

Mid Level Questions

Q: What data sources do you use to calculate SAM?

Expected Answer: Should mention industry reports, government data, competitor analysis, customer surveys, and market research tools. Should explain how to combine multiple sources for accurate estimates.

Q: How do you account for market changes when calculating SAM?

Expected Answer: Should discuss monitoring market trends, considering economic factors, tracking competitor movements, and regularly updating calculations based on new information.

Junior Level Questions

Q: What is SAM and why is it important?

Expected Answer: Should explain that SAM is the portion of the market a company can realistically serve, and its importance in business planning and investment decisions.

Q: What factors affect SAM calculations?

Expected Answer: Should mention geographic reach, product capabilities, target customer segments, pricing, and competition as key factors in determining SAM.