Someone one might like or be able to take as a date to a formal dance in college. I thought he might be a great potential formal date, but I heard he'd already asked another girl to go with him. I just think it would be easier if everyone still looking for a date to their formal just wore a nameplate reading "potential formal date."

To perform to the utmost of one's abilities; to find as much success as is possible for one. "Potential" is often modified by "full" or "true." I wish you would realize your true potential instead of wasting your talents in this dead-end job. I've decided to start training with the Olympic team so I can realize my full potential.