Author: divyaprasad

An Explanation with Examplesof Total Addressable Market Analysis This article is a continuation of our earlier article – What Is Total Addressable Market and How Does It Work? As you know, thetotal available marketdemonstrates the overall market opportunity that exists within the market for your product, service, or software.

No matter what kind of business you have- start-up, small-medium enterprise, or large enterprise. It is essential tounderstand and access your potential marketsizeandmajor players. TAM is a popular metric but often misunderstood.

How to not mess up with your TAM analysis?

Here are a few points listed below: As a form of Market sizing, is often misunderstood by many of the businesses. It is an exercise to shed light on your potential market, and stakeholders can invest funds into the company’s new product or services. With TAM, you gain insights on where is the possible opportunity? Where do your competitors stand in the market? Sales representatives need to avoid below blunders:

1. Don’t define the market size with the problem

For example- if there is an Opioid crisis in the USA and is a $100 billion problem, then it is the size of the problem and not the size of the market. You can’t define the size of the market with the size of the problem.

2. Market Approach:

It is a huge mistake to underestimate or overestimate the market size. For example, if a sales executive thinks, he will gain at least 2 to 5% of the market, which is a substantial total market slice for his product.Or itcanbemorethan 5% of the market sharealso. So, guesswork doesn’t work out.It is recommended toapply the Market approachas per our product.

There are three types of market approaches- Top-down (Using industry research and reports) – Bottom-up (Using data from early selling efforts) – Value theory (Using conjecture about buyer willingness to pay) Find more on the market approach . As a sales executive, ensure to use the approach that gives a fair idea about the potential opportunities in the market.You would either overestimate or underestimate the market with regards to the product or service.

3. Understanding the room in the market:

You must select the market that is suitable for your product. The market depends on what kind of product, service you want to sell to your ideal customers. So, for example, if there is a $500 billion market for the Automotive industry, then that’s the size of the automotive market and not yours. You are a manufacturer of the automatic car headligh tsensors for luxurious car models. Then your potential market could be $1 million.

4. Geographic Location:

Next, you need to concentrate on geographic location. Which is the ideal location to sell your product, service, or solution? Is it the USA, Global, or Asia? Carefully think about the location and then move ahead.

5. Coming to Pricing:

How do you know what is the price of your product? How do you work on the critical assumption? If your price calculation is wrong, then it’s sure that your TAM calculated is also inaccurate. For more information, check out the article on- How to calculate your product price? TAM is calculated based on Customers and Price.

When you talk about the customers, these are real people who are going to use your product. Be very careful about your genuine potential buyers.

Let’s list out parameters to calculate the TAM.

1. Country/Location: It is necessary to know where your ideal buyers are located- are they globally or in the United States, Asia, Europe, or anywhere. Defining the country or location parameters before you start with the TAM calculation will help you to study the market and locate your potential customers.

2. Industry: It is always better to define your industry. Or in other words, in which industry you wish to sell your product. For example – if you have software or plugin that simplifies and enables Core Banking Software. The preferable industry for your product to sell will be Banking. Parameters to calculate TAM

3. Company Size: The company size is defined on the bases of the number of employees and the average annual revenue. Size: Companies are classified into start-ups, small-medium enterprises, or large enterprises. Why does it matter? You gain knowledge whether your product is made for Start-ups or SME or enterprise-grade level. Additionally, you can understand where your competitors stand in the market. Without a solid grasp on company size, you will end anger the business through out the product’s life cycle. – Revenue: This is another critical parameter to consider at the time of calculating TAM. It gives an idea about what type of potential buyer you are looking for.

To define your product price, this step becomes too crucial. Here, as a sales rep, you should understand how big the company is with respect to the annual revenue generated. Let’s consider two scenarios: In scenario 1, if your product is suitable for start-ups or SMEs, then the product price is set depending on the usage. The usage will be less say-10 people of the company or up to 100 people. Here, your ideal buyers are the people who look for the agility, affordability, andquick ROI of your product.

In scenario 2, In a large enterprise, yourproduct or services should be according to enterprisestandards.Itshould be scalable & robust.It shouldbe compliant with stringententerprise policiescovering security, privacy,and breach norms. When you are fixing the price for your product, considering the above two scenarios becomes mandatory. Here, as a business owner, decide whetheryourproduct worth a 99 cent or $99 or more?

4. Hiring Area:In this parameter, you can understand what kind of positions are open within the potential company. For example- if ACME Corp. company is looking out to fulfill the accounts payable position and you have a software or product that can automate the same task. The company can be your potential lead. In the same manner, you can look for the hiring areas within aparticular domainor company. Hiring Areas Parameter

5. Technology: Technology parameter plays a significant role. Here, as a sales representative, you are looking for leads in a specific technology domain. These leads require a technology-based product or service. Let’s take an example of the technology filter. You have a product or software, especially for data security and data breach. So, potential customersmightbe companies using Cloud Networking, Cloud Connectivity, Cloud Protocol, etc. Technology Parameter

6. Operating Systems: Moving ahead in the parameter filters, Operating Systems are a crucial factor in deriving your Total Addressable Market (TAM). Applying this filter helps you understand the demand for the type of operating systems used by potential leads. For instance, if you offer software or plugins that operate on cross-platform environments, Apple iOS, or Linux, your potential customers will be individuals or businesses utilizing these operating systems. To ensure smooth functionality on macOS, consider addressing any issues related to macOS updates like macOS Sequoia issues, which can impact user experience and adoption.

7. Programming Languages: A programming language is the last but not the least parameter to calculate your TAM. This parameter helps you to understand potential companies using whichtype ofprogramming language. With the same example, you have software or framework to accelerate development on Java or Python, so the potential customers will be companies usingthese programming languagesor doing software development using the same. Programming Languages Parameter After applying specific filters, your sales reps will have a detailed Total Addressable Market analysis report.

Total Addressable Market analysis report for the selected industries In the above image, a sales executive can see the market intheUSA for the Industries you have selected. Comparison for company size and revenue opportunity Additionally, you can compare company size and revenue opportunities that you can grab.

Wrapping up Working on the total addressable market correctly; it will allow investors and entrepreneurs to get an understanding of thepotentialmarketand plot a landscapeofthe competitive market dynamics. With Total Addressable Market analysis, you can: – Tackle the enormous market. Furthermore, you can dive deep into the niche marketwith regards to your product, service or solution – Identify major players of the market – Analyze the entire marketin a few clicks with a simplified way When you leverage technology-based tools, itwill help you to analyze the potential market.

Here are a few benefits that you can have: – More accurate market sizing than manual work, saving precious time and resource effort – Market insights ona varietyof vital signals including competitors too – It helps to make more informed decisions, increased operational efficiency With a good knowledge of TAM, canhelpstart-ups, SMEs, and large enterprisesdevelop accurate sales pitches. They can bring up confidence in investors and stakeholders for the product and services to be launched in the market.

https://tam.clodura.ai/ allows your sales and marketing team to identify your potential buyer, prioritize the right market, and find leads that generate revenue faster. Learn how we can help you to identify your market with the robust AI-enabled suite by defining your TotalAddressableMarketand effectuate more revenue!

Email marketing is one of the most popular and affordable marketing techniques that are extensively deployed by businesses to reach out to new prospects. It allows you to reach thousands of potential customers with just a click of a button. As a result, email marketing has surpassed even SEO (along with social media) when it comes to profitability with about 75% of the companies reporting an excellent ROI from their email campaigns in 2016. There are many disadvantages of email marketing tools like spam, and undelivered emails. But this does not mean that email marketing is easy to execute. Complications can arise, especially when you fall into the trap of deploying countless email campaign tools. Here are the many disadvantages of email marketing tools that hinder the performance of your email campaigns –

1) Spamming – Why do Emails Reach the Spam Folder?

Emails that are sent out in bulk with the help of marketing tools often end up in the spam folder. This happens because the email service providers always try to cut down on the number of unwanted emails that a person is receiving. You should consider email spamming as a serious issue since you may be subject to penalties of up to $16,000 in accordance with the CAN-SPAM Act. Email marketing tools often give an indication to the service provider that the same email is sent to a large number of people. This ends up triggering the spam filters if they are not sure that you have taken due permission from the email recipient.

2) Unsubscribe Option – Why the ‘Unsubscription Count’ Matters

Marketing tools often provide readers with an option to unsubscribe from the mailing lists. While this is a good value to provide to your readers at times, it can also end up biting you in the face in case you are experimenting with different engagement options or end up making an unintended mistake. For example, let’s say you want to wish your readers a happy new year in their native languages. You divide the email list based on the language parameter and send out the emails accordingly, only to realize later that you have sent the wrong email to the wrong recipients. How do you think the Unsubscribe button will perform in this case? There is a lot of noise in a modern-day inbox and your readers might think that they have subscribed to a list that they did not intend to! Hence, an exodus may follow.

3) Name Stamp – Why Email Marketing Tools Hinder Branding?

Have you ever noticed some emails having a perpetual stamp at the footer that gives you the name of a marketing tool? For example, email marketing tools like Mailtrack add a stamp at the end like “Sent with Mailtrack”. That often proves to be a turnoff for some readers who might become wary of the fact that you are tracking how and when they read your emails (as that is what Mailtrack does). Some might even consider this a breach of privacy! Therefore, your email marketing efforts can end up backfiring with the marketing tools attracting all the unwanted attention instead of your email body. Whatever be the case, the practice also interferes with your branding efforts since it becomes blatant that you are dependent on third-party apps for your in-house requirements.

4) Lack of Personalization – Why Email Personalization Matters?

The usual email marketing tools are only capable of sending out bulk emails to a bucketload of addresses. This often works by trying to write an attractive email headline and praying to God that people click on it. As one might guess, this is not the most optimum method to go about. Personalization is the best thing to ever happen in the email marketing industry and you would be leaving money on the table if you are not making use of it. Email personalization is crucial since it requires you to know everything about the prospects and address the issues that they are facing in the emails. On the other hand, personalization also helps you to segregate the email list on the basis of the recipients’ demography and the time of the day. Hence, this has a direct impact on your ROI since more number of people end up reading your emails as well as engaging with them.

5) Same Time Stamp – What is an Email Time Stamp?

An email time stamp shows the time at which the email was received according to the timezone of the email recipient. Email marketing tools often send the emails in a hurry from the server so all emails end up having the same timestamp, regardless of the time zones the recipients may be in. This can often create a lot of confusion, especially when you are sifting through a chain of emails to determine the time at which they were sent or received.

6) Same Subject Lines

We have already seen how marketing tools lack the quality of personalizing the emails according to the recipient. A huge aspect of it is the email subject lines. The email subject is the first node of interaction with a prospective client since it is the first thing that the recipient notices in the inbox. Bulk emails cater to the data set of email addresses as a whole. Hence, the endgame here is to make as many people as possible click on the headline and read the email. So the email headlines come out to be something like –

• Discover 7 essential tools to streamline your marketing efforts, including a GIF compressor to optimize your visual content. (educational)
• The Winners of the Facebook Contest are Here! (announcement)
• Please Me Before it’s Too Late! Touchscreen Phones at Heavy Discounts! (humor)
• Why is Your Child More Digital Than Bill Gates (intrigue)

While this is not necessarily a bad way to go about, you can boost your revenues by multiple folds with personalized emails. What if we told you that personalized emails are known to boost transactions by 6 times as compared to bulk emails? Take a look at these subject lines –

• Hurry! Free Shipping for a Limited Period! (sent after a customer leaves the website without buying)
• An Item in Your Cart is About to Sell Out! (sent after customer fails to check out cart)
• Happy Birthday! Here’s a Gift for From all of Us at BlaBla (promotional offer sent to the customer on his/her birthday)

These headlines may look analogous to the usual ones, but they are more relevant to the recipients since the emails are being sent after careful consideration and analysis. Email marketing will always be at the crux of modern-day digital marketing. Hence, it is important that we do everything in our power to extract the best possible ROI out of it. Which marketing tool do you use? Share your views with us in the comments below!

Whatever business you may be in, the importance of email marketing cannot be understated. This is due to the fact that whatever brings money into your pocket can never be termed as a failure. Statistics state that an email campaign provides the highest ROI out of all available marketing channels.

When we compare email marketing with social media, numbers suggest that the organic reach of Facebook has been trimmed down by the advent of upgraded algorithms to only 2-6% of your page’s followers. The scenario is even worse for Twitter where only 2% of your followers may see your tweets.

On the other hand, emails have an average open rate of 21.73% with an average CTR of 3.57%. Hence, marketers who understand the potential of email marketing often reap huge benefits.

If you have been planning to run an email campaign but are lacking the required direction, here are some steps that will guide you along the way:

1) Dynamic Universe – What is it and How to Build a List for an Email campaign?

The Dynamic Universe of your company are the prospective customers in your industry that you can reach out to and try to convert. These are the ones that can be provided direct value through your products and services.

You can build an extensive list with the help of the following methods. It goes without saying that since we are explicitly talking about the dynamic universe, you will only entertain prospects that fall under its purview. Expending time on companies that do not fit the bill will only end up putting further strain on your operations.

a) Analyze Competitors: You can begin by analyzing your competitors and noting the kind of clients that they are tapping. Similar clients can be approached to explore synergies.

b) Leverage Web Analytics: Take a long look at the visitors that your website attracts and try to answer the following questions:

• Where do these visitors come from?
• What organic searches are they making on search engines to reach you?
• How are they interacting with your website? This will show you how serious they are about their prospects to find solutions.
• What kind of content are they consuming?
• Etc.

c) Use Social Media: Social media is indeed a powerful tool that can be used to find new prospects, especially on professional networks such as LinkedIn and Quora. Industry-specific networks on these websites are a great source of information about the pain points of your prospects and the kind of solutions that they are searching for. Thus, this gives relevant insights about the companies that can be approached in the process.

d) Attend Meetings/Seminars/Events: There is no better way to learn about your clientele than meeting them face to face. The bottom line is to have a hearty one on one session with prospects, pitch your services and get feedback. This forms another level of trust that can quickly fill your sales pipeline with leads.

2) Hot Leads: How to Find Companies that are Hot?

Once you have a list in place, the next step is to find the hot leads that have the most chance of converting. This can be done through BANT Analysis, which is a popular method of scoring leads based on insights like their budget, decision making the authority of your point of contact, the pain points of the company that is making it pursue a solution, and the timeline over which they are expecting a solution.

These insights help you better understand your prospects and rate them accordingly as cold, warm or hot. To do this, simply connect with companies in your dynamic universe and analyze their situation with the help of relevant questions.

For example, if you offer customized software solutions in the IT industry and your prospects are looking for the same, you can score the leads by asking the following questions:

1. What is your Budget for the required technology?
2. What is the priority of this project compared to other ongoing projects in your organization?
3. Who has the authority to make the purchase? Are multiple people involved?
4. Have you implemented any other tech/software in the past?
5. What technological challenges does your organization face usually?
6. What are your expectations from this project when it comes to ROI?
7. How soon do you want to see the solution in your office?
8. What is your expected timeline?

3) Decision Makers: Why is it Crucial to Find Emails of Decision Makers?

While it is important to maintain the quantity of your email list, the quality of the list is what matters most. It proves extremely difficult to convert a prospect if you cannot connect directly with the decision-maker.

Though, email addresses of other company contacts are just as useful. The best practice is to find as many emails as possible of your target company and try to connect with all of them. This will turn multiple eyeballs on you and increase your chances of connecting with the decision-maker.

So to sum it up, here is the usual algorithm that needs to be followed –

1. Research about the prospective company and identify the decision-maker
2. Try to find his/her email address. This can be done by surfing through their company website, Linkedin accounts, and other social media accounts.
3. If you are unable to do so, find emails of other employees and ask them to point you in the right direction.
4. Understand their requirements and pitch your services accordingly

4) Tracking Emails: How to Measure the Performance of your Email Campaign?

Thinking that your job ends as soon as you click the send button can kill your campaign. Sending out the emails is just the beginning. The real challenge lies in analyzing their performance and shifting gears accordingly.

You can begin this by tracking your emails. Insights like Open Rate and Click-through-Rate (CTR) should be looked into to understand what works and what doesn’t. Here are some of the main performance metrics that should be measured for every email campaign –

1. Open Rate – The percentage of prospects who actually click on your emails and read them. Thus, this tells you about the importance of email headlines.
2. Click-through-Rate (CTR) – The number of readers that click on the CTAs has given in the email.
3. Delivery Rate – This tells you about the number of prospects who are actually receiving your emails. Thus, tells you about the quality of your email list.
4. Forward Rate – As the name suggests, it measures how often your readers send your emails to someone else.

While it is important to keep an eye on these metrics, it is also crucial that you do it the right way. Using simple marketing tools may not be the best bet here since they often end up adding their info at the footer of the emails. This indicates to your readers that their moves are being tracked and this may have a negative effect on your engagement. Hence, email automation tools can be the best bet here.

On the other hand, it is also crucial to bypass the spam filters of email providers so as to maximize the reach of your email campaign. Here are some tips that will help you do so:

• Maintain the quality of the email content
• Design professional emails
• Avoid using too many Sales oriented language. For Example – “Buy Now”, “Click here to get a discount”, etc.
• Craft relevant subject lines
• Never use URLs as Link text
• Use a corporate email account to send the emails
• Use minimal and high-quality images
• Use a reputable email service provider
• Include a text version of your email

Email Marketing is truly a powerhouse when it comes to landing new customers. It can easily have long-lasting effects on your revenue if executed in the right sense.

Email marketing remains one of the primary methods to spread the word about your company’s products and services. When it comes to converting customers, emails are about 40 times more effective than social media platforms like Facebook and Twitter! As exemplified by the statistics below, the proliferation of smartphones in the lives of the masses today has only added to the increasing customer reach in the domain. There is much importance to Email marketing in Sales.

With the right strategy in place, emails possess the potential to profitably tap such niche markets which may not have even been in the blueprints of your marketing department. Let’s take a look at some effective email strategies which should be extensively implemented in every email campaign.

1. Email Personalization

Personalizing the emails with the help of the information available about the target customers goes a long way to boost the CTR of your email campaign. Prospects are more likely to click and read emails which they believe are tailored to be read by them.

2. Analytics

Using a dedicated method to track the analytics of your email campaign gives decision making a whole new perspective. The marketing team can better determine what’s working and what’s not. Emails can then be effectively tweaked to entice better responses from the readers.

3. Automation

One of the latest top strategies available to reach out to prospects today is using automation to drive the sales. Prolific automation platforms such as Clodura help companies to access an extensive database of email addresses and send out automated personalized emails to them based on high-level tracking information available about them.

4. Segmentation

One of the most overlooked strategies, segmentation is the process of dividing the email list into groups so as to facilitate the implementation of personalization in emails. The right kind of segmentation can have tremendous positive implications on the campaign’s revenue generation.

While there can be many such advance strategies to choose from, there are 3 basic strategies that cannot be overlooked at all costs – Time, Content and Subject Line.

Importance of Email Time

While one may do everything else right during a campaign, bad email timing can put the success of the whole campaign at risk as the email message may not reverberate well with the end users. One has to realize that there is a lot of noise in an office space as well as in the inbox of prospects. Hence, the campaign execution has to be near perfection to grab the attention of the readers.

As expected, email open rates take a dive on the weekends due to lack of office activities and preoccupation of prospects. On the other hand, mid-week (Tuesday, Wednesday, and Thursday) turns out to be the best time of the week to implement the campaigns, since that is the time of peak office activity throughout the week.

As depicted from the data, email open rates take a spike if they are sent out between 2-5 pm, and a significant plunge if sent out before 12 pm. The reason behind this just lies in the fact that prospects are more oriented towards executing pending tasks at the start of the workday rather than delving into new ones.

Thus, timing is a crucial variable to take into account while executing an email campaign to ensure its success.

Importance of Email Content

Always remember – Content is King. With so much information to consume over the Internet, the attention span of surfers is a continuous decline. A bland and dull email will quickly lose the reader’s attention before they even finish reading it. This often proves to be a severe blow to the CTR of the links in the email body.

Now the question arises – What constitutes a great email content regime?

Here are some attributes of emails that consist of impeccable content –

The good email content is free of grammatical and vocabulary errors. It should give present an opinion to the reader that English is the emailer’s first language.

Content should be targeted towards the needs of your readers. The focus should be on converting the prospects based on the information that is available about them. Keep in mind their age group, interests and past data about similar purchasing before penning down the email’s body. In other words, the content needs to be aligned with the goal of the campaign.

Breaking the routine of the email via graphic elements goes a long way to keep the readers engaged and increase the CTR of links. Though some email filters may end up blocking the images. Hence, it is important to include alternate text for every image.

Embedding a prominent call to action is the most important step while curating the email content. The CTAs should be clear and direct, instead of trying to entice clicks via clichéd phrases which often extend an image of spam.

Lastly, the email should have a footer with appropriate buttons such as social media directs, an option to unsubscribe as well as the postal address of the company’s office.

Importance of Email Subject Line

The subject line of the email is the first attribute of the email that your readers see in their inboxes. Hence, it becomes utmost important for the subject to be compelling enough to drive the email open rate. 33% of email recipients open to read them based on the subject line alone.

On the other hand, if the subject line is not handled professionally, it can also lead to negative publicity by making the emails look like spam. Look at the following alarming statistic.

Thus, a lot is riding on the email marketing strategy of your company. It is crucial to managing all aspects of the campaign to make it a success.

Now that you know the basics of email strategies let us delve into the topic deeper and cover many more interesting and important details that add to the success of a campaign in the second blog of the series – Email Marketing and its Importance – Part 2.

If you are looking to target more customers via personalized and targeted email strategies, check out Clodura today to revolutionize the way you perceive sales.

And don’t forget to share your views in the comment section below!