MARKETING FOR SMALL FIRMS ©2005
By
Cheryl Leone, Catalyst Group Inc. and
Ken Hardison, Senior Partner
Hardison & Leone, L.L.P.
INTRODUCTION
Competition among lawyers has grown
over the past ten years at a more rapid
pace than ever before. The old days of
doing a good job for a client are not a
guarantee of future business. The days of
generation after generation of the same
family using the same law firm is fast
fading. This is due partly to the fact
that we have a more mobile society,
smarter more sophisticated consumer.
Clients are much smart and more savvy and
know where to go to find out information.
The lawyer of today has to think like the
lawyer of tomorrow!
The day of the solo general
practitioner is slowly dying. More and
more, the practice of law has become so
complicated and changing on such a rapid
pace that it is nearly impossible for one
attorney to be competent in all the
different areas of law.
In order for an attorney to survive and
grow in today's environment he must make a
conscious decision that he has to market
himself or his practice.
Three Phases of Marketing
In order to be successful in marketing
your law firm, there are three major
phases that you must go through. They are:
- Planning
- Launching
- Maintaining
The first phase of planning involves
several factors. As discussed earlier, you
must have a specific, clear, and concise
idea for a strategic plan on what you want
to accomplish and how you are going to
accomplish this plan. You must ask
yourself several questions: who, what, and
how.
First, who are you trying to market to?
For example, in a personal injury
practice, we have found that the people
most apt to hire a personal injury
attorney are between the ages of 18 and
45. They are usually blue-collar workers
on the lower socioeconomic class and have
less education. We have also found that
women call an attorney more often than a
man for injuries even if it is the man
(husband or boyfriend) who is hurt. If
your market was estate planning then you
would. of course, be hitting a completely
different type of demographic and would be
looking for upper-income people between
the ages of 40 and 60. In your planning
mode, you would also decide what is the
most cost-effective advertising to attract
this demographic. For example, we know
that older people read newspapers
consistently more than the younger
generation whereas the younger generation
seems to listen to the radio and watch TV.
Also, the younger generation seems to be
more amenable to the internet and website
advertising.
The second phase is launching. After
you have developed a strategic plan on who
you want to reach and how you are going to
reach them, then you must execute the
plan. Launching requires actually rolling
up your sleeves and getting down to the
nitty gritty of purchasing and placing ads
and so forth.
The third phase, which we think is one
of the most important, is the maintaining.
You cannot run an ad or any kind of
advertising one time or over several weeks
and expect it to give you an immediate
return. You must have patience and
maintain your plan and carry through with
it until your marketing reaches your
targeted audience at least 21 times. Most
business nationally allocate 3% of their
past year's revenues for marketing. I
believe for lawyers this is not
sufficient. However, whatever your budget,
the main thing is to make sure it is
cost-effective.
TRAITS FOR SUCCESSFUL MARKETING
We have found that there are four main
traits for successful marketing that a law
firm and their principals must adhere to.
They are:
- Patience
- Aggressiveness
- Imagination
- Sensitivity
Patience is probably the most important
trait for successful marketing. As
previously stated, you cannot expect
immediate gratification from your efforts
in marketing…it takes time. There is a
general rule among marketing circles that
it takes 21 exposures to a person before
they become completely responsive to your
marketing vehicle. This, however, it not
always true for every type of marketing.
For instance, direct mail gets an
immediate response on way or the other.
Marketing through TV, radio, display ads,
newspapers take longer to see the full
effect of money spent on this media.
Aggressiveness does not mean that you
have to beat people over the head with
your ads or out spend everybody else in
your market. Aggressiveness means you must
be driven in your pursuit of marketing
potentially new clients and never give up
when there are dips in the return on your
investment.
Imagination is also important so that
you do not do what everyone else is doing.
You must stand out! When the first 800
numbers came out using call letters (ie,
1-800-INJURED), everyone thought it was
ridiculous. However, somebody's
imagination (by thinking outside the box)
paid off great dividends. Many law firms
are reluctant to pay the big licensing
fees to use these numbers on a daily basis
although it has been proven through
research that a lawyer will get 25% more
calls if he uses one of these types of 800
numbers in their ads. The question becomes
whether or not it is cost-effective.
Sensitivity means you must be sensitive
to your market place. What works in
Charlotte, North Carolina might not work
in Mayberry, NC. Results of a recent
national survey of why lawyers lose
clients gave the following reasons:
- 1% die
- 3% move
- 5% dislike the probable
outcome
- 24% have some dispute that does not
get adjusted
- 67% feel that they were treated
discourteously, indifferently, or were
not given good service
Thus, you must be sensitive to your
client's needs and wants. The above survey
results illustrate that good client
service and being sensitive to your
clients needs is one of the main ways to
keep clients and get referrals from prior
clients. It's been my experience that if
you do a good job and meet the needs of
your client even though the results are
not exactly what they anticipated or
wanted, they will refer new clients to you
because you care. It has often been said
that a satisfied client will tell 2 to 5
people; a dissatisfied client will tell
anywhere from 10 to 20 people.
Consistency is also an important trait
for successful marketing in a law firm. It
cannot be sporadic. Beginning something
and stopping after 30 days will cause you
to lose momentum. It is also a waste of
the money you spent the first 30 days
because it is better to spend the same
amount each week or month over a longer
period of time than to bunch it all
together in one short period.
WEAPONS FOR MARKETING YOUR LAW FIRM
- Good Client Service
- Cross Selling - Letters
- Return Phone Calls
- Client Surveys
- Clubs and Associations
- Niche
- Identity - what sets you apart from
other law firms.
- Accept Credit Cards
- Phones - hold background
message
- Create a Client Data Base - mailing
list
- Newsletters
- Education-Based Marketing /
Seminars
- Logo
- Stationery
- Business Cards
- Newspaper Clippings - send to
clients
- Thank You Notes for Referrals -
handwritten
- Birthday Cards for Clients
- Newspaper - Press Releases
- Newspaper - Classified Ads
- Invest in a Great Receptionist
- Email Newsletters
- Cable TV
- Radio/Talk Shows
- Yellow Pages
- Websites
- Calendar Magnets
- Christmas Cards
- Brochures with Testimonials
- Have Attorneys Publish Articles
SUMMARY
It is evident that you can do effective
marketing with very little cost. You can
initiate a small budget of $1000 per
month, or a budget as high as $100,000 per
month. It all depends on what you want to
accomplish and how much risk and
perseverance you have.
Marketing takes time and it takes
commitment. Otherwise you are throwing
your marketing dollars out the door. There
is a plan for every firm - you just need
to decide what makes sense for your firm
and then do it.
Unless today's lawyer thinks about
tomorrow, he or she will never prosper.
Continued new cases are the life blood of
any firm and can be generated in such a
manner as to make a "for profit"
firm a smart marketing firm.