TL;DR – Any investor that asks about market size…will not invest in your product
Yesterday’s B2B SaaS CEO Mastermind revealed an eye-opening insight.
The founder of a Series-B scaleup from New York shared this:
“One of the qualitative observations that I made, which to date has not proven wrong, is that if any investor asks you about market size, they will not invest in your product.
When an investor asks you about market size, they say, ‘I don’t believe the market is here.’ And when someone comes into it, from that point of view, it is tough to convince them otherwise.”
Here’s the thing
No matter how big you believe your Total Addressable Market (TAM) is – it’s not about the size of that market but your ability to win that market.
And that starts with your product.
How believable is the ability of your product to a) exceed expectations in solving a b) valuable and c) critical problem?
If an investor doesn’t get a clear ‘yes!’ on each of the three components, they instantly lose interest – and so should you. Because without that, it will be mission impossible to stand out, let alone win.
Question for you to reflect upon
If you’d meet an investor today – would they ask you about Market Size? What makes you convinced they won’t?
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