Investor Readiness: TAM and GtM - with David Fogel
This is a session in the Investor Readiness Module. In this workshop we get technical. We should start with an overview of what is Total Addressable Market, and how does Go to Market strategy fit with it.
We answer these questions:
- How do you calculate a (credible) TAM? What is that bottom-up market sizing exercise?
- What metrics should you choose depending on your business model (SaaS, Marketplace, e-commerce) to base your TAM on?
- How about unit economics?
- How do you tell a coherent and compelling story through numbers?
- How do you conduct a cohort analysis?
- How do you estimate CAC:LTV? What is the "magic number"? What ratio of CAC:LTV is an attractive one?
- What is GtM? And how do you determine what works for your business? How do you segment your TAM to get to a GtM?
At the end of this session, start ups should be able to do two things: calculate their own TAM; and understand the underlying metrics to show growth within it. And be able to slice a market and justify a GtM strategy.
David Fogel's Bio: David is the co-founder of Alma Angels, (An inclusive community of angel investors backing ambitious female founders), and ADV a £150m investment firm investing in generation-defining start-ups across the UK. He has been investing in early-stage start-ups (Seed/A and B rounds) across Europe, SE Asia and Africa. David also led LP investments into top European seed funds. Among his investments are Wefarm, Lingumi, Baby2Body, Crypto Quantique and Urban as well as Seedcamp, Episode 1 and EF. Prior to founding ADV, David led the early-stage investment vehicle for Telefonica ($55bn Telco) in the UK, with a portfolio of more than 140 companies across different stages. Before that David was based in Germany and worked as an M&A advisor leading buy-side and sell-side projects across Europe, Asia and US. David started his investment career in Spain where he worked as an associate at a European early-stage VC and at a start-up accelerator. Back in Israel David co-founded a software development department which focused on bringing fast and innovative solutions for the financial and telecom industries. He grew the team to over 50 employees and by the time he left they have built 15 different products deployed across 70% of the industry.
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