Marketing a Law Firm Can be a Tricky Business Article

8/9/2010 11:18:00 AM

    Sales people haven't always had a positive image. Much of that could stem from how they are motivated to succeed, through payment structures which include bonuses or commissions based upon meeting (or exceeding) sales goals. Those goals tend to require a more assertive or overly aggressive behavior, all in the name of higher profits. Though the profession's reputation has improved, there are some industries that shy away from incorporating high pressure sales tactics. However, law firms need to embrace the idea that fundamental sales practices are needed to gain new clients. And those practices should be implemented as part of a firm wide marketing (aka business development) plan. This can be a challenging process due to the State Bar of Texas' ethics rules, which govern how attorneys market themselves in Texas and the need to avoid a negative perception brought on by aggressive ads or sales people. However, in order to be successful, all firms should implement a business development plan that incorporates a strategy on how to sell to potential clients.

    Hiring or consulting with a business development professional is a first step. However, a business development professional is only effective if a firm embraces successful marketing strategies and clearly defines what success is. A business development culture promotes thought leadership across the firm, where every attorney is focused not only on bringing in new clients, but also on clearly differentiating the firm in an increasingly competitive marketplace. The overall key to ensureing return on investment (ROI) on a business development plan is to develop and nurture a culture across all practice areas that work toward a common goal--shortening the client development (sales) cycle, building revenue and establishing long-term client relationships. There are three key steps in this process.

• Marketing: the goal is to inform prospects, cement firm brand identify, and up-sell current clients. Marketing supports a business development strategy by creating collateral such a firm brochures, seminar handouts, attorney bois and materials that support an RFP. A marketing professional coordinates other activities that essentially help get the word out--events, seminars, sponsorships, public relations (such as attorney article placements) and advertising.
• Lead Generation: It is common for law firms to assume that lead generation just happens--i.e., some choose to not assign resources or define a process. Although the industry has made strides in the last two decades, many firms assume it can just post signs, open its doors and clients materialize. But there are more progressive firms that have embraced an approach of building relationships through creating strategic partnerships. For example, the Fort Worth-based firm Shannon, Gracey, Ratliff & Miller, LLP has partnered with The Alternative Board, a peer boarding group that targets small to medium size business owners. Both the firm and the organization collaborate to provide informative monthly lunch-and-learn meetings and invite attendees that could benefit from both the firm and the organization. This marriage provides excellent synergies since neither is competing against the other; rather they have a similar prospective client base that they target simultaneously. There are a multitude of ways that a firm can handle lead generation; the truth is that bringing in new business is everyone's responsibility. All attorneys need to have a clear understanding of their target market and ideal client to ensure that leads (potential clients) are qualified. Perhaps most important, firms need to invest in a targeted marketing campaign to identify qualified prospects.
• Business Development: Business development is a full-time job and there are many responsibilities, including crafting a business development plan based upon the firm's current business plan, organizing and promoting seminars, pitching individual attorneys or entire practice areas to current clients or referral partners and positioning attorneys as experts in their respective fields. Too few firms, especially smaller ones with limited resources, dedicate the time that is required to ensure successful outcomes from the business development process.

All for One, One for All

Of course, providing quality service is paramount to establishing a strong reputation that will attract prospects and ensure ongoing client satisfaction. It is critical that law firms--regardless of size or structure--invest in a business development. Several factors, such as market conditions and increasing competition, can steadily and quickly erode a client base. Avoiding putting a business development process in place for fear of a negative perception can be detrimental to the future of a law firm. Take a team approach, develop a plan and ensure you have a process in place, and your business will grow without sacrificing your integrity or your professionalism.

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By Shelley K. Plemons

Fort Worth Business Press