Sizing the Market Opportunity

marketing insights and resources

The US Market Opportunity

2700 businesses, <2500 employees

$4.8T in revenue, 31M employees

25K businesses, >2500 & < 250 employees

$2.0T in revenue, 15M employees

4.2M businesses, < 250 employees

$4.7T in revenue, 41M employees

Enterprises

W
he
re

Mid Market

SMB

is

yo
u

rb

ea
ch

he
a

d?

Addressable, Served & Target Market

Total
available
market

Served
market

$123 billion tourism

industry inside the US

$1 billion English travel

guides sold annually

Target
market

$210 million 20-35 year

old travelers

A city

(Initial test market)

Sizing the Market Opportunity

Data center market estimated total revenue opportunity:
5749 Companies | $761,670,748

Average Deal: $533,568 | 100,000 sq ft to 239,000 sq ft

$102M
FORTUNE 1000
Potential Revenue:
$305,661,628

Average Deal: $424,788 | 50,000 sq ft to 100,000 sq ft

$63M

Average Deal: $253,680 | 25,000 sq ft to 50,000 sq ft

$61M

Average Deal: $134,400

$394M

10,000 sq ft to 25,000 sq ft

MID-MARKET
Potential Revenue:
$456,009,120
$140,868,000

Average Deal: $63,000

5,000 sq ft to 10,000 sq ft
Deal Size is software only, 20% discount applied.

The Technology Adoption Curve

Years

1-2

2.3%
Innovators

3-5

6-10

10-15

13.6%

34%

34%

Early
adopters

Early
majority

Late
majority

15-20

16%
Laggards

Note: On average, a company will need at least 6-10 years in a market to establish
market category dominance

Penetrating the Market

Total
Opportunity

Estimate of the Total Market Opportunity Available Data Centers

% of total
Sq. ft of
market
total market
opp
opp
available
available

Revenue $s
that total market
opp represents

Software Deal Size

Estimat
e FYXX

Avg deal
size (list)

Avg
discount

Avg deal
size
(disc)

Revenue

57

$1,680,000

35%

$1,092,000

$2,184,000

41

$515,000

20%

$412,000

$2,472,000

73

10

63

$302,000

15%

$256,700

$2,567,000

$103,383,922

789

781

$147,000

10%

$132,300

$1,323,000

2,174,513

$21,592,313

419

413

$55,000

5%

$52,250

$209,000

37,101,138

$ 219,637,041

1,384

29

1,355

# Sq. ft.
of DC

Market est.
of the total
# of cos

Over 100K

192

30%

17,194,959

$61,807,200

58

50-100K

149

30%

3,215,099

$16,768,400

45

25-50K

241

30%

2,534,404

$16,085,207

10-25K

2,931

27%

11,982,163

5-10K

2,236

19%

Total

8,556

# of Cos

Cos that Revised # of

already
opportunity
purchased
(# of cos)

$8,755,000

Projected Revenue
Q2

Q3

Q4

Q1

Total

Revenue

$3.938 MM

$4.329 MM

$4.462 MM

$4.908 MM

$17.637 MM

New product

$1.948 MM

$1.971 MM

$2.018 MM

$2.220 MM

$8.157 MM

New service

$1.390 MM

$1.732 MM

$1.752 MM

$1.927 MM

$6.801 MM

Maintenance

$0.817 MM

$0.861 MM

$0.932 MM

$1.025 MM

$3.635 MM

New prod. + serv.

$3.338 MM

$3.703 MM

$3.770 MM

$4.147 MM

$14.958 MM

$4.006 MM

$4.444 MM

$4.524 MM

$4.976 MM

$17.950 MM

Product (%)

58%

53%

54%

54%

55%

Service (%)

42%

47%

46%

46%

45%

Sales Quota

$4.006 MM

$4.444 MM

$4.524 MM

$4.976 MM

$17.950 MM

New product

$2.338 MM

$2.365 MM

$2.422 MM

$2.664 MM

$9.788 MM

New service

$1.668 MM

$2.078 MM

$2.102 MM

$2.313 MM

$8.161 MM

Data center (60%)

$1.403 MM

$1.419 MM

$1.453 MM

$1.598 MM

$5.873 MM

Workplace (40%)

$0.935 MM

$0.946 MM

$0.969 MM

$1.066 MM

$3.915 MM

Target (+20%)

Software by market

Next Steps

Go-to-Market planning templates for demand creation, demand management,

website planning, social media, messaging & positioning, go-to-market strategy
plan, go-to-market foundational building blocks, call guide for inside sales,
strategic account plan template and investor presentation are located at

fourquadrant.com