SOM
Business & Finance abbreviation · Management & Strategy
| Stands for | Serviceable obtainable market |
|---|---|
| Categories | Business & Finance |
SOM stands for Serviceable obtainable market, a management & strategy abbreviation.
Share of the serviceable addressable market that a company can realistically capture in the near term, given competition, sales capacity and budget. It is the most conservative of the three market-sizing figures and often underpins revenue forecasts.
Example: Assuming a 5 percent share within three years, our SOM is about $90 million in annual revenue.
Usage notes
Sometimes expanded as "share of market." Investors often scrutinize SOM more closely than TAM because it reflects a concrete plan. A common sequence in pitch decks is TAM, then SAM, then SOM, each with its calculation shown.
Related abbreviations
More management & strategy abbreviations
- SBU – Strategic business unit
- SLA – Service-level agreement
- SLT – Senior leadership team
- SMART – Specific, measurable, achievable, relevant, time-bound
- SMB – Small and midsize business
- SME – Small and medium-sized enterprise
- SOP – Standard operating procedure
- SPC – Statistical process control
- SSC – Shared services center
- SWOT – Strengths, weaknesses, opportunities and threats
- TAM – Total addressable market
- TCO – Total cost of ownership