Client Pyramid

Tool

Summary

When building a base of clients it helps to rank them high-to-low by annual revenue generated and then to map out how ideally you would like to see the same in the future.

It is common to find that:

  • A disproportionate share of revenue comes from relatively few clients.
  • It is wise to target to increase the amount of revenue from the largest clients.
  • A good strategy is to seek to add one more large client (as opposed to a lot of small ones).
  • Tracking clients by revenue size brings focused attention on the right things for growth.
  • The initial question: “how many clients generate more than $1M/year?” ideally morphs over time into “how many clients generate more than $5M/year?”.

Intelligent Strategies. Successful Ventures.

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