Sales wants another huge account to replace the one we lost. Should we prioritize that or smaller customers?

Question

Tyler Smith · Accepted Answer

Pursue replacement revenue without rebuilding the same concentration risk. Another large account can help recovery, but it should not become the entire recovery strategy.

Evaluate opportunities on contribution, payment timing, delivery fit, sales effort, and concentration after the win. A smaller customer is not automatically better if it is expensive to acquire and serve. A large customer is not automatically wrong if the economics and commitments are sound.

Build a portfolio plan rather than a single replacement target. Identify the customer types that fit your core capabilities and can be served repeatedly without excessive customization.

Use these questions to shape priorities:
- Which opportunities can produce collectible revenue soon enough to help?
- Which customers add profitable demand without overwhelming delivery?
- Are prospects exposed to the same market shock as the lost account?
- Would winning one deal make the company dependent on another buyer?

Put a specific diversification outcome into a Rock if it is a priority for the quarter. Support it with weekly Scorecard measures that show progress, not just activity. Qualified pipeline and customer concentration tell you more together than outreach volume alone.

Do not impose an arbitrary concentration limit without examining the business model. Set a deliberate boundary based on what the company could survive losing.

The goal is not simply to restore revenue. It is to make the next customer departure less dangerous.