Evaluate Your Account-Based Landscape How Are TAM And ICP Different? As described above, your TAM is the total number of accounts that could buy your product or service ever. But, just because a company could buy your product doesn’t mean you should invest valuable time and resources in marketing to them. Your resources are scarce. Even if you sell a SaaS tool, there is a cost in people and resources for every customer you bring on. Someone has to help manage your customers, create new features to keep them happy, and you need support staff to manage those people. So even if your product could potentially serve an infinite number of people, that doesn’t mean you have the resources at your disposal to handle that volume of output. The point is that you should view your product as a scarce resource, no matter how much availability there actually is. This is where your ICP comes into play. Whereas a TAM is more of a fuzzy, idealistic number of accounts, ICP is the realistic number of accounts that you should focus on. These are the accounts that are easiest to convert into opportunities, have the shortest sales cycles, and become the happiest customers. Keep in mind that you probably won’t target every company that fits your ICP at the same time. It would be great if you could, but most companies don’t have the resources to target the entirety of their ICP all at once. And if you define your ICP and find that you do actually have the budget and bandwidth to target the entire list of accounts, you were probably too restrictive in defining it! Let’s look at a couple of examples. The Complete Guide to Effective ABM Targeting 8

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