Identifies how much of a company’s revenue is concentrated in its most valuable customers to highlight dependence on a small customer base and potential risks if these customers are lost.
Example: The revenue share of the top 10 is 40% for a company with $1M revenue from 100 customers sorted from most revenue to least where the top 10 customers contributed $400k total revenue. This indicates high concentration.
Leave A Comment
You must be logged in to post a comment.