In this short add-on to the Idea Maker Course, we tackle a few basics of estimating and speaking about the size of your opportunity.
We help you become a little more sophisticated in doing that for the purposes of designing your idea – so you know what you might be dealing with under different circumstances. We keep you realistic, while keeping it simple. We keep you from saying things that give you away to someone with more experience.
And we give you practical examples and a worksheet to accelerate your work.
Don’t miss why this matters
How big is the opportunity you’re designing?
1) Find the size of an industry or market described in the news, or in a report, or in a roadmap.
2) Multiply that number by some small percentage to make it seem achievable.
3) Make yourself feel good because even that percentage is big.
4) Share it with others.
So many people do this. We like to do it too because it makes us feel good!
But it’s not enough. And it doesn’t describe the size of your opportunity.
As described in this add-on, there are some simple concepts and approaches that can keep you on track: Industry vs. market, Total Market (TM) vs. Potential Market (PM) vs. Reachable Market (RM), and top-down vs. bottom-up forecasting among them. It also helps to relate the intuitive basics we cover here to common terms you might run into – such as the so-called TAM, SAM, and SOM. All of this so you’re being realistic and so you’re up to speed.
Get the basics down
Click through the lessons below when you’re ready to estimate the size of your opportunity.