GreenFig Education Series Sneak Peek Week 4: Smarter Business Decisions
Introduction to GreenFig Education Series
As part of GreenFig’s mission to enable lifelong learning and to accelerate skill development for high demand jobs with our microdegrees in applied business science, we are offering you a sneak peek into the GreenFig experience with our four week Education Series.
We provide highlights from the Digital Marketing Science classes taught by Tracy Eiler, CMO of InsideView. She is a marketing pioneer who is passionate about shaping the next generation of marketers. She was recently named a B2B Demand Marketing Game Changer and is ranked among the Top 30 Most Influential Women in B2B Marketing Technology.
Ms. Eiler moonlights as a GreenFig instructor, teaching the same cutting-edge topics she’s advancing at InsideView, including how to align sales and marketing, define the total addressable market, and determine ideal customer profiles.
We are excited to offer our blog readers a taste of the job-ready skills our students are gaining this fall to prepare themselves for high-trajectory careers in the digital economy.
Putting it together: Turn Total Addressable Market into Closed Deals
This is the fourth and final post in a four-part series explaining the concept of total addressable market and providing tips to help you begin identifying, gathering data on, and targeting your company’s TAM. Do not forget to read part one’s overview of total addressable market, part two’s tips on defining your ideal customer profile, and part three’s tips for turning TAM into your target list.
Why are these concepts – the notion of distilling your target market down to the granular level and putting them into practice – critical to growing your B2B business? The answer is simple: ROI. Companies who focus their efforts on these initiatives experience a better return on their marketing dollar investment.
Put Sales and Marketing to Work by Turning Total Addressable Market into Targets
As you look to expand and grow, total addressable market (TAM) is also used to gauge the size of new markets to enter, to justify or expand investments in a current market, or to research new product opportunities. In every case, having an accurate view of your TAM is critical to making the best business decisions. Being able to visualize your market is a bonus that helps with defining and assigning territories, allocating field resources, and focusing marketing efforts.
A good example comes from HgCapital, a private equity investor based in London and Munich, who says that “being able to tell a clear story of what truly defines a company’s addressable market is a great starting point for thinking creatively about where to invest for growth”.
If, for example, your average contract value is expected to be $25,000 and the total number of potential customers in a market is 1,237, then simply multiplying those two values puts the potential market opportunity at roughly $31 million. If your TAM is inaccurate, even by a small margin, you might make the wrong go/no-go decision. Again, having a “clear story” of the TAM is critical to good decision-making, at every level, from an individual marketing campaign to a strategic business-changing initiative.
If you missed the previous installments in this series, you can find them here:
Part 1 Maximize Growth by Targeting Your Total Addressable Market
Part 2 Ideal Customer Profile Brings Total Addressable Market into Focus
Part 3 Put Sales and Marketing to Work by Turning Total Addressable Market into a Targetable List
Blog written by Jyothsna Durgados
See Tracy in Action
GreenFig students not only learn these business-critical concepts but execute them as well. Our course curriculum includes an Apprentorship, providing each student the opportunity to run a real-world marketing campaign for a real-world company. Upon graduation, GreenFig students are then prepared with the skills and experience to make an immediate impact at work.
Find out how quickly you can gain the skills needed to thrive in the digital economy. Drop us a line.