Revenue concentration risk
Revenue concentration risk is the exposure a business carries when a large share of its revenue depends on a small number of accounts, sellers, or relationships. The risk compounds when the two overlap: a top account managed by a top rep concentrates the revenue and the relationship in the same few hands. Concentrated revenue can look healthy in the forecast while a single departure or non-renewal stands between the business and its number.
Why it matters
Concentration on the seller side gets less attention than concentration on the account side, and it is the one revenue leaders can fix directly: make what the best sellers do repeatable across the team, and the number stops depending on any one of them.
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