Market potential is the upper limit of what could theoretically be achieved — the arithmetical answer to “How big is my market?” Market size, target market share and conversion assumptions combine into a realistic volume or revenue potential.
It makes sense to distinguish between TAM (total addressable market), SAM (serviceable addressable market) and SOM (serviceable obtainable market). TAM is the theoretical upper limit, SAM the segment reachable geographically and by product, SOM the share that can be captured under realistic competitive conditions.
For sales planning, only SOM is relevant — TAM is a pitch figure, SAM a strategic orientation. Anyone who builds sales targets on TAM or SAM is planning past the market. The calculator gives the lower threshold above which growth is arithmetically possible at all.