Investors
FastCharge Energy
What are we thinking about in the EVSE space, and how do our "mental exercises" shape the investment opportunities with our startup? Great question.
First, this is not a call for investments, as that is done through the proper and legal channels. So what is this? An explanation of how we think about ourselves.
Furthermore, what are we measuring?
Market Penetration
Market penetration refers to the percentage of the total addressable market that a company has captured with its products or services. In the EVSE market, tracking market penetration can help companies:
- Assess their current market share and identify growth opportunities in underserved segments or regions.[1]
- Benchmark their performance against competitors and adjust pricing, product offerings, or marketing strategies accordingly.[2]
- Identify saturation levels in certain markets and prioritize expansion into new geographic areas or customer segments.[3]
Total Addressable Market (TAM)
Understanding the TAM for EVSE provides a broad view of the overall market potential, which can inform strategies such as:
- Long-term goal setting and growth projections for the business.[1]
- Identifying new market segments to target, such as fleets, public charging, or specific vehicle types.[2][3]
- Attracting investors by demonstrating the scale of the opportunity in the EVSE space.[1]
Serviceable Addressable Market (SAM)
Analyzing the SAM helps EVSE providers focus on the specific market segments they can realistically serve, guiding strategies like:
- Defining the core target customer base (residential, commercial, public, etc.) and tailoring product offerings, pricing, and marketing efforts accordingly.[1][3]
- Assessing geographic coverage and prioritizing expansion into new regions based on market potential and existing capabilities.[2]
- Aligning product roadmaps and R&D investments with the charging level requirements (Level 1, Level 2, DC fast charging) of the serviceable market.[3]
Serviceable Obtainable Market (SOM)
The SOM represents the near-term market share and revenue targets an EVSE company can realistically achieve, informing strategies such as:
- Setting achievable sales goals and forecasting demand for production and inventory planning.[1][3]
- Allocating marketing and sales resources effectively to capture the obtainable market share.[2]
- Identifying competitive advantages and positioning products/services to outperform rivals in the target segments.[1][3]
By continuously monitoring and updating these metrics, EVSE providers can align their business strategies with evolving market dynamics, customer needs, and competitive landscapes, enabling more informed decision-making and effective resource allocation.[1][2][3]
Citations (via perplexity.ai):
[1] https://blog.serchen.com/tam-sam-som/
[2] https://www.similarweb.com/blog/research/market-research/market-sizing/
[3] https://www.seerinteractive.com/insights/marketing-sizing-with-tam-sam-som
[4] https://startupnv.org/tam-sam-som-example/
[5] https://www.linkedin.com/pulse/electric-bus-market-share-project-economics-pricing-analysis-sharma?trk=article-ssr-frontend-pulse_more-articles_related-content-card
—
