SIC Code

What is SIC Code?

SIC Code (Standard Industrial Classification Code) is a four-digit numerical classification system developed by the U.S. government in 1937 to categorize businesses by their primary industry and economic activity. Each code represents a specific industry sector, from broad categories at the two-digit level down to highly specific sub-industries at the four-digit level, enabling standardized business classification across government statistics, regulatory compliance, and commercial databases.

The SIC system uses a hierarchical structure where each digit adds specificity. For example, SIC code "73" represents "Business Services" broadly, "737" narrows to "Computer Programming, Data Processing, and Other Computer Related Services," and "7372" specifies "Prepackaged Software"—the category encompassing most B2B SaaS companies. This progressive refinement enables both high-level industry analysis and precise targeting of specific business types depending on analytical or operational needs.

For B2B SaaS and GTM teams, SIC codes serve as foundational firmographic data for market segmentation, account targeting, and lead qualification. While largely superseded by the more detailed NAICS (North American Industry Classification System) for official government purposes since 1997, SIC codes remain widely used in commercial databases, CRM systems, and business intelligence platforms due to decades of historical data continuity and deep integration into existing technology stacks. Marketing teams use SIC codes to build target account lists, sales teams use them to prioritize prospects by industry fit, and operations teams leverage them for territory design and quota allocation based on total addressable market calculations within specific industry segments.

Key Takeaways

• Four-digit hierarchical structure: Each digit adds industry specificity, from broad sector (first two digits) to precise sub-industry (four digits)

• Government origin, commercial adoption: Created for federal statistics but now primarily used in business databases, CRM systems, and targeting platforms

• Older but still prevalent: Despite NAICS replacement in 1997, SIC codes persist in commercial use due to historical data continuity and system integration

• Essential for firmographic targeting: Enables precise industry-based segmentation for ABM, lead scoring, and market analysis in B2B contexts

• Limited by classification rigidity: Struggles to classify modern business models like SaaS or gig economy platforms that didn't exist when codes were designed

How It Works

SIC codes operate as a hierarchical classification taxonomy where each business receives one primary code representing its principal economic activity, with the code's structure revealing progressively more specific industry information as digits are added.

The classification structure begins with 10 broad industry divisions identified by the first digit (0-9): Division A (Agriculture, Forestry, Fishing), Division B (Mining), Division C (Construction), Division D (Manufacturing), Division E (Transportation, Communications, Electric, Gas, Sanitary Services), Division F (Wholesale Trade), Division G (Retail Trade), Division H (Finance, Insurance, Real Estate), Division I (Services), and Division J (Public Administration).

The first two digits define major industry groups within these divisions. For example, within Division I (Services), "73" represents "Business Services," "80" represents "Health Services," and "87" represents "Engineering, Accounting, Research, and Management Services." These two-digit groups provide useful high-level categorization for broad market segmentation.

The third digit identifies industry groups with more specificity. Within major group "73" (Business Services), "732" specifies "Consumer Credit Reporting, Collection Agencies," "735" denotes "Miscellaneous Equipment Rental and Leasing," and "737" indicates "Computer Programming, Data Processing, and Other Computer Related Services." This level often proves optimal for B2B targeting—specific enough for meaningful segmentation but not so narrow that target populations become too small.

The fourth digit provides the most granular classification at the industry level. Within group "737" (Computer Services), "7371" specifies "Computer Programming Services," "7372" indicates "Prepackaged Software," "7373" denotes "Computer Integrated Systems Design," and "7374" represents "Computer Processing and Data Preparation Services." This precision enables highly targeted prospecting for solutions serving specific sub-industries.

Assignment happens through self-classification on business registration documents, third-party data providers researching company activities, or CRM enrichment services that assign codes based on company descriptions and business activities. Since businesses can engage in multiple activities, they're assigned a primary SIC code representing their principal economic activity by revenue contribution.

In modern GTM operations, SIC codes typically enter systems through data enrichment processes. When a prospect enters your CRM through web form submission, enrichment services append firmographic data including SIC codes by matching company names and domains against commercial databases. This enrichment enables immediate segmentation and qualification based on industry criteria without manual research.

Key Features

• Hierarchical specificity: Progressive refinement from broad sectors (2 digits) to precise industries (4 digits) enables flexible segmentation

• Standardized classification: Universal coding system allows consistent industry categorization across databases, platforms, and organizations

• Historical continuity: Decades of usage creates extensive historical datasets enabling time-series industry analysis

• CRM integration: Native support in major CRM platforms (Salesforce, HubSpot) and enrichment services for automated firmographic data

• Complementary with NAICS: Often used alongside newer NAICS codes to maximize database coverage and historical continuity

Use Cases

Use Case 1: Ideal Customer Profile Definition and Account Targeting

B2B SaaS companies use SIC codes to define their Ideal Customer Profile with precision, then build target account lists matching these criteria. A cybersecurity platform analyzing its best customers discovers that 65% come from SIC codes 6021 (National Commercial Banks), 6311 (Life Insurance), 7372 (Prepackaged Software), and 8062 (General Medical and Surgical Hospitals)—industries with stringent security requirements and regulatory compliance needs. The marketing team builds an ABM target list of companies matching these SIC codes combined with other firmographic criteria like employee count and revenue. This industry-based segmentation ensures prospecting focuses on companies with high problem-to-solution fit, improving conversion rates and reducing wasted outreach to poor-fit industries.

Use Case 2: Lead Scoring and Qualification

Revenue operations teams incorporate SIC codes into lead scoring models to weight industry fit appropriately. A workflow automation platform assigns point values to leads based on SIC code alignment with best customer data: 20 points for high-fit industries (7372 - Prepackaged Software, 7373 - Computer Systems Design), 10 points for medium-fit industries (7389 - Business Services), 5 points for low-fit industries (5411 - Grocery Stores, 8211 - Elementary Schools), and 0 points for no-fit industries (0711 - Agriculture, 1521 - Residential Construction). When combined with behavioral signals and company size criteria, SIC-based firmographic scoring helps sales teams prioritize prospects most likely to convert, focusing limited resources on highest-probability opportunities.

Use Case 3: Market Sizing and Territory Design

Sales operations teams use SIC codes for total addressable market analysis and territory planning. When designing territories for a 50-person sales team, operations pulls company counts and revenue data by SIC code and geography from business databases. They discover 12,000 companies in target SIC codes across the U.S., with 3,500 in the Northeast, 2,800 in the Southeast, 3,200 in the Midwest, and 2,500 in the West. Revenue data shows these industries generate $450B annually in the target segments. This SIC-based analysis enables equitable territory assignment with each rep receiving approximately 240 target accounts with similar revenue potential, preventing territory imbalance that would create unfair quota disparities and rep churn.

Implementation Example

Here's a practical SIC code implementation framework for GTM teams:

Common B2B SaaS Target SIC Codes

SIC Code Lead Scoring Model

Implement this scoring framework in your CRM or marketing automation platform:

SIC Code-Based Firmographic Scoring
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Target Account List Building Workflow

Step-by-Step Process:

1. Analyze Current Customer Base
   - Export customer list from CRM
   - Enrich with SIC codes if missing
   - Identify SIC codes representing top 20% of customers by revenue/LTV
   - Calculate win rates by SIC code

2. Define Target SIC Codes
   - Primary targets: SIC codes with >30% win rate and >50 customers
   - Secondary targets: SIC codes with >20% win rate and >20 customers
   - Exclude: SIC codes with <10% win rate or poor product fit signals

3. Build TAM Database
   - Query business databases (ZoomInfo, Clearbit, Dun & Bradstreet) for companies matching:

   • Target SIC codes (primary and secondary)

   • Employee range (based on ICP analysis)

   • Revenue range (if available)

   • Geographic focus (if applicable)

   • Expected result: 5,000-15,000 target accounts

4. Segment and Prioritize
   - Tier 1: Primary SIC codes + ideal size + high-intent signals
   - Tier 2: Primary SIC codes + ideal size + no intent data
   - Tier 3: Secondary SIC codes + ideal size
   - Tier 4: Nurture segment for future consideration

5. Activate in GTM Systems
   - Import to CRM with SIC-based segmentation tags
   - Create ABM campaigns by SIC segment
   - Build SIC-specific content and messaging
   - Assign accounts to sales territories

SIC Code Data Enrichment Integration

# Example: Automated SIC Code Enrichment Workflow
# (Pseudocode for illustration)
<p>when new_lead_created:<br>if lead.sic_code is empty:<br># Call enrichment API<br>enrichment_data = clearbit.enrich(lead.company_domain)</p>
<pre><code>    lead.sic_code = enrichment_data.sic_code
    lead.sic_description = enrichment_data.sic_description
    lead.industry_category = map_sic_to_category(lead.sic_code)

    # Apply scoring
    lead.industry_fit_score = calculate_sic_score(lead.sic_code)

    # Trigger routing
    if lead.industry_fit_score &gt;= 20:
        route_to_sales_queue(&quot;high_priority&quot;)
    elif lead.industry_fit_score &gt;= 10:
        route_to_sales_queue(&quot;standard&quot;)
    else:
        route_to_marketing_nurture()
</code></pre>

Related Terms

• Firmographic Data: Broader category of company attributes including SIC codes, employee count, and revenue

• Ideal Customer Profile: Target customer definition often incorporating SIC codes as industry fit criteria

• Account Segmentation: Process of grouping accounts by characteristics including industry classification

• Lead Scoring: Qualification methodology that weights SIC codes as firmographic fit indicators

• B2B Data Enrichment: Process of appending SIC codes and other firmographic data to lead records

• Technographic Data: Complementary data type revealing technology usage alongside industry classification

• Target Account List: ABM account selection often filtered by SIC code criteria

Frequently Asked Questions

What is a SIC code?

Quick Answer: A SIC code (Standard Industrial Classification Code) is a four-digit number that classifies businesses by their primary industry and economic activity, used for market segmentation and targeting in B2B contexts.

SIC codes were created by the U.S. government in 1937 to standardize industry classification for statistical analysis. The code structure is hierarchical: the first two digits identify major industry groups, the third digit specifies industry subgroups, and the fourth digit defines specific industries. For example, SIC 7372 represents "Prepackaged Software"—where 73 indicates Business Services, 737 narrows to Computer Services, and 7372 specifies the software industry. While officially replaced by NAICS codes in 1997, SIC codes remain prevalent in commercial databases and CRM systems for firmographic targeting and lead qualification.

How do SIC codes differ from NAICS codes?

Quick Answer: SIC codes use 4 digits and were created in 1937, while NAICS codes use 6 digits and were introduced in 1997, providing more detailed industry classification for modern business models.

NAICS (North American Industry Classification System) replaced SIC codes for official government statistics in 1997, offering several improvements: 6-digit codes (versus 4-digit) provide finer granularity, classification better reflects modern industries like SaaS and e-commerce, codes are harmonized across the U.S., Canada, and Mexico, and the system receives regular updates to track evolving industries. However, SIC codes persist in commercial use due to decades of historical data, deep integration in existing databases and CRM systems, and simpler structure for basic segmentation needs. Many organizations use both systems—NAICS for detailed analysis and SIC for historical continuity and database compatibility. According to the U.S. Census Bureau, the transition to NAICS aimed to reflect the shift from goods-producing to service-providing economy that SIC codes struggled to classify accurately.

How do I find a company's SIC code?

Quick Answer: Find SIC codes through business databases (ZoomInfo, Dun & Bradstreet), the SEC's EDGAR database for public companies, or data enrichment services that append codes to CRM records automatically.

Multiple methods exist for SIC code lookup: for public companies, search the SEC's EDGAR database where codes appear in company filings, use commercial business databases like ZoomInfo, Clearbit, or Dun & Bradstreet that include SIC codes in company profiles, implement data enrichment integrations (HubSpot, Clearbit, ZoomInfo) that automatically append codes when new leads enter your CRM, or check company profiles on business information sites like Bloomberg or Hoovers. For your own company, your SIC code appears on IRS tax documents, business licenses, and incorporation paperwork. Data accuracy varies by source—enrichment services typically achieve 70-85% coverage with occasional misclassification requiring manual verification for critical use cases.

Which SIC codes should B2B SaaS companies target?

B2B SaaS target industries depend on product category, but commonly high-value SIC codes include 7372 (Prepackaged Software) for technology buyers who understand SaaS value, 7373 (Computer Systems Design) for integration-focused solutions, 8742 (Management Consulting) for knowledge worker productivity tools, 6021 (National Commercial Banks) for compliance-heavy industries, 6311 (Life Insurance) for data-intensive operations, and 8062 (Hospitals) for regulated healthcare applications. The optimal approach is analyzing your existing customer base by SIC code to identify patterns—look for industries with high win rates, short sales cycles, high contract values, low churn rates, and strong expansion revenue potential. This data-driven ICP definition guides target account list building and lead scoring model design.

Are SIC codes still relevant for modern B2B marketing?

Yes, despite official replacement by NAICS in 1997, SIC codes remain highly relevant in commercial B2B contexts due to widespread adoption in business databases, CRM platforms, and enrichment services. Most commercial data providers include both SIC and NAICS codes, with SIC often providing better historical continuity for time-series analysis. For GTM teams, the practical consideration is database coverage—if your enrichment service and target account sources use SIC codes, that's what you'll use for segmentation. Many organizations implement hybrid approaches using both classification systems to maximize targeting precision and database compatibility. The key is consistency within your organization's data architecture rather than abstract preference for one system over another.

Conclusion

SIC codes provide B2B SaaS and GTM teams with a standardized, hierarchical framework for industry classification that enables precise market segmentation, account targeting, and firmographic qualification. Despite their age and official replacement by NAICS codes, SIC codes' persistence in commercial databases, CRM systems, and enrichment platforms makes them practically indispensable for modern revenue operations.

Marketing teams leverage SIC codes to build target account lists that concentrate resources on high-fit industries, develop industry-specific messaging and content that resonates with sector-specific pain points, and measure campaign performance by industry segment to optimize budget allocation. Sales teams use SIC classification to prioritize prospects by industry fit, customize discovery questions and demos based on industry context, and achieve faster ramp times through industry-focused enablement. Operations teams incorporate SIC codes into lead scoring models, territory design, and total addressable market analysis, creating data-driven GTM structures that align resources with opportunity.

The future of industry classification lies in combining traditional taxonomies like SIC codes with dynamic signals including technographic data revealing actual technology usage, intent signals showing active market research, and behavioral data demonstrating engagement patterns. Organizations that master this integration—using SIC codes as stable foundational segmentation while layering real-time signals for precision timing—create competitive advantages through better targeting, stronger relevance, and more efficient resource allocation than competitors relying on static firmographic data alone.

Last Updated: January 18, 2026