Customer risk applies to the risk related to a customer relationship. General risks related to loss of customer revenue are marketing risks, market risks or revenue risks.Next: Marketing Risks
The risk that a customer will not pay you. This includes common risks such as customer insolvency.
The risk that customers will engage in fraudulent activities.
The risk that customers will return products and cancel services resulting in a loss at the level of the customer.
The risk of a dispute with a customer that drains resources or generates negative publicity.
Damage to your reputation caused by customers actions such as negative reviews.
The risk of overdependence on a single large customer.
Product Liability Risk
The risk of liability related to your products or services.
Operational risk such as the potential for overconsumption by a customer to crash a service.
The potential for a cybersecurity incident related to a customer.
The potential for customers to use your products and services in some unethical way to damage people and planet.
Compliance violations related to a customer. In the context of banking, the term customer risk relates to anti-money laundering compliance.