How to quickly calculate your total addressable market with Clearbit’s TAM Calculator
Clearbit’s free Total Addressable Market (TAM) Calculator lets you instantly check the size of a market opportunity by looking up how many companies in the world meet your criteria.
We’ve seen people use the tool in clever ways — to quickly validate a hypothesis and justify an experiment, to gut-check an ICP definition by counting how many companies fit, and to test new segmentations. It’s also a quick way to score a free shortlist of target accounts for sales.
Simply plug in attributes to describe the companies you’re after, such as “consumer goods startups in the US” or “B2B companies with more than 1,000 employees that use Marketo.” Clearbit will search its database of over 50 million companies and return the total number of businesses that match. You’ll also be able to download a sample CSV with 50 of those companies and their firmographic details.
Clearbit's TAM calculator is a fast, free way to get a count of companies without a market research firm.
How to calculate your Total Addressable Market quickly and easily
1. Enter company attributes that describe your target market
Visit the TAM Calculator and enter your annual contract value (ACV), which is used to calculate your total revenue potential.
Next, select the traits that describe the companies you’re going after. You can filter on up to 7 attributes and/or enter any keyword to search through more attributes:
- Business model
- Company types
- Technologies used
- Funding raised
- Keywords (search company descriptions, tags, technologies used, and more)
To learn more about what these attributes mean, check out Clearbit’s list of firmographic attributes and deep dive into all the possible values you can search for.
Let’s look at an example. Your company is thinking of moving upmarket. You currently sell to US biotech startups with fewer than 250 employees and your product requires a Salesforce integration. To calculate the revenue potential of going upmarket, you could plug in:
Biotechnology companies in the United States that use Salesforce and have 250-1,000 employees.
2. See your TAM results
Clearbit will search its database of 50M companies to find the companies that fit your search, and you’ll see your results in seconds.
The report will show:
- the total number of companies that fit — in this case, 165 biotech companies that meet your criteria
- your total market value — $2.48M, which the tool calculated by multiplying the total number of companies that fit your criteria by your ACV of $15k
- a list of some companies in the TAM, and a CSV download of 50 companies including their firmographic data
Easily refine your search by editing the filters and watching the numbers change. For example, you might add Canada and Mexico to your list of countries to see if international expansion offers enough upside.
3. Download a sample account list
Your dashboard shows a small preview of companies that fit your TAM criteria, but you can download the details on 50 of them.
They’ll come enriched with over 50 B2B attributes that show you who they are and how to reach them, including company description, phone/email, headquarters address, and technologies they use. (Explore a sample CSV here.)
This information comes from the most up-to-date company dataset in the world, generated from over 250 public and private data sources and verified by highly trained QA and machine learning.
4. Use the intel to validate ideas and shape your go-to-market plan
Your TAM calculator results can help you move forward on ideas or refine them further. For example:
- validate the size of an experiment for your exec team or include your # count and $ value numbers in a pitch deck to raise capital
- size the opportunity to move upmarket or expand to Europe (for example)
- quickly iterate on new segments to pursue, or split a large segment into two smaller ones while retaining meaningful market sizes
- gut-check your ideal customer profile definitions by seeing whether your ICP criteria returns the right logos
As for your CSV download, you can use it as a free target account list of 50 opportunities for sales. For example, you can sort by highest annual revenue and filter for employee count to help reps prioritize who to contact. Or, generate a quick invite list for a local event: search the dashboard for “fintech startups in Japan,” download the CSV, and invite the companies based in Tokyo.
The TAM calculator just surfaces companies, so if sales wants to know which contacts to reach out to, Clearbit Capture can find people in buyer roles at those accounts. And with the Clearbit platform, you automate your marketing outreach: use Clearbit Enrichment in your MAP to send personalized emails to your TAM, and send them at the right time by using Clearbit Reveal to see which companies in your TAM are active on your website.
For another free, quick-start tool, check out Clearbit’s free Weekly Visitor Report. This lets you specify companies in your which shows you how many companies are both showing purchase intent and are in your TAM.