TAM expansion

Extracted Attributes

• Definition

  A significant growth in the Total Addressable Market (TAM).

• Example (Zoom)

  Expanded TAM from $4 billion (business conferencing) to over $100 billion by including remote work, virtual events, telehealth, and online education.

• Industry Context

  Primarily discussed in the software and AI industries.

• Example (Shopify)

  Expanded TAM from $2 billion (e-commerce platforms) to $500-750 billion by targeting global e-commerce sales and serving underserved SMB markets.

• Mechanism (General)

  Exploring new markets (geographical areas, customer segments), diversifying offerings, enhancing user experience, or expanding target demographics.

• Mechanism (AI Context)

  AI drives the creation of new categories, such as AI Agents, which automate vast amounts of human labor.

• Potential Impact (General)

  Unlocking additional revenue streams, enhancing business resilience, and driving sustainable growth.

• Potential Impact (AI Context)

  Automating trillions of dollars in human labor.

Timeline

• The concept of TAM expansion, particularly in relation to AI's impact on the software and SaaS industries, was a key topic of debate during the All-In podcast episode titled 'DOGE kills its first bill, Zuck vs OpenAI, Google's AI comeback'. (Source: Related Documents)

  2023-XX-XX

LATAM Airlines Brasil

LATAM Airlines Brasil, formerly TAM Linhas Aéreas, is the Brazilian brand of LATAM Airlines Group operating international and domestic flights from hubs in Brasília, Fortaleza, and São Paulo. According to the National Civil Aviation Agency of Brazil (ANAC), between January and December 2023, LATAM had 37.8% of the domestic, and 18.2% of the international market share in terms of passenger-kilometers flown, making it the largest domestic and largest international airline in Brazil. TAM Linhas Aéreas was Brazil's and Latin America's largest airline before the takeover by Chilean airline LAN Airlines. Its headquarters were in São Paulo, operating scheduled services to destinations within Brazil, as well as international flights to Europe and other parts of North and South America. Shares in the company were traded on the São Paulo Exchange (BM&F Bovespa) and New York Stock Exchange as "TAM". Prior to the merger with LAN, the company closed its capital, transferring its shares to LATAM Airlines Group. In August 2015, it was announced that the two airlines would fully rebrand as LATAM, with one livery to be applied on all aircraft by 2018. The airline withdrew from the Star Alliance and joined Oneworld, effective from March 31, 2014. The carrier left Oneworld on May 1, 2020. The word "TAM" is an acronym for "Transportes Aéreos Marília", which dates back to the company's origins as a regional aviation company founded in Marília, in the state of São Paulo.

Web Search Results

• What Is TAM and How Can You Expand It To Grow Your ...

  Exploring new markets is a powerful strategy for expanding your TAM. By entering new geographical areas or targeting different customer segments, you can unlock additional revenue streams and reduce dependence on a single market. New markets can offer untapped demand, diverse customer bases, and opportunities for innovation. This expansion not only increases your TAM but also enhances your business’s resilience and growth potential​​​​. [...] Expanding your TAM is a strategic move that can significantly enhance your business’s growth potential. We've compiled five practical tips to help you navigate this process effectively. These strategies will guide you through increasing brand visibility, strengthening customer relationships, exploring new markets, learning from past mistakes, and diversifying your offerings. By implementing these tips, you can successfully broaden your market reach and drive sustainable growth. [...] Investing in expanding your TAM is a significant decision that can drive substantial growth for your business. Here are some signs that indicate it’s the right time to consider a TAM expansion strategy: Risks of Not Expanding TAM Related resource: Total Addressable Market: Lessons from Uber’s Initial Estimates ## 5 Tips For Successful TAM Expansion

• Total Addressable Market (TAM): The Complete Guide to ...

  TAM Expansion: From $4B (business conferencing) to $100B+ by including remote work, virtual events, telehealth, and online education. Key Strategy: Focused on ease of use rather than enterprise features, invested in scalable infrastructure. Results: Grew from 10M to 300M users in 2020, 326% revenue growth. Learning: External events (pandemic) can dramatically expand TAM. User experience unlocks new segments. ### Case Study 5: Shopify’s E-commerce Platform [...] The Challenge: Competing against Amazon required finding a differentiated position. TAM Evolution: From $2B (e-commerce platforms) to $500-750B by targeting global e-commerce sales rather than just platform tools. Key Strategy: Served underserved SMB market, expanded from simple stores to complete commerce ecosystem with payments, fulfillment, and enterprise solutions. Results: $5B+ ARR, powers 1.7M+ businesses across 175 countries. [...] Example Investor Narrative: “We’re addressing a $50 billion TAM in the enterprise software market. Our SAM of $10 billion represents companies with 100-5000 employees who need our solution. We’re targeting 2% market share within 5 years, representing $200 million in revenue.” ### Market Entry and Expansion TAM analysis informs go-to-market strategy and expansion decisions. Geographic Expansion Prioritize markets based on TAM analysis:

• What Is Total Addressable Market? (TAM) - Salesforce

  3. When it’s time, expand your TAM. Here’s an example: One of the world’s most well-known social media companies expanded its TAM after it had proven its model by capturing most of its initial target market. While it had previously allowed only college students in the U.S. and UK to join, it eliminated the account requirement of a school-issued email address and opened its network to any user older than 13 with an email address. [...] Let’s say a Manhattan pizzeria is looking to open multiple locations throughout New York City. To find this expanded TAM, the owner starts with population data. They learn that 1.7 million people live in the city, and research shows that New Yorkers eat an average of three pizzas per capita per year. The business charges an average of $20 per pie, so they use this calculation to find their TAM revenue: 1.7 million people x (3 pizzas x $20) = $102 million [...] (Back to top) Grow your opportunities with TAM insights ----------------------------------------- Once you know the TAM for any given product, you can better understand your current market position and identify areas for growth. Use sales planning software to create a realistic plan for capturing market share. As you pursue growth, be mindful of market trends and reevaluate your TAM as needed to ensure you don’t miss valuable opportunities to scale in new directions.

• Guide to TAM Analysis | LinkedIn Sales Solutions

  A TAM Analysis is used to identify potential markets and understand market size. TAM stands for “Total Addressable Market”, and seeks to measure the total potential value a business can attain by penetrating a given market. TAM Analysis is a powerful tool used to inform business strategy and identify areas for expansion.

• TAM, SAM & SOM: What are these metrics and why are they ...

  TAM is a crucial metric for investors, entrepreneurs, and businesses in evaluating the attractiveness and scalability of a market opportunity. It helps businesses understand the revenue potential of their product or service and the potential of a business. It can also guide strategic decision-making related to market entry and expansion, pricing strategies, product development, and the allocation of resources. ### How do you calculate TAM?