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Glossary

Revenue Concentration

Revenue concentration is the share of a few large customers in the company’s total revenue. High concentration means losing one customer has a disproportionate effect on the business.

Also called تمرکز درآمد

A common metric is the share of the top ten customers in the revenue of one channel or the whole company. What is “normal” depends on the channel: high concentration is ordinary in wholesale; in retail it is a sign of weak coverage.

Revenue concentration is not a problem in itself; the problem is **not knowing** it. An organization that knows 80% of a channel’s revenue comes from ten customers can design a dedicated retention program.

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Where do we start?
Revenue Concentration · DIDRAH