Why Now Is the Time to Hire LCG

Brand new research by BTI Consulting Group, a leader in legal industry research indicates that a startling “87% of law firms have at least one major client relationship at risk.” What’s even more unsettling is the finding that “few law firms are aware of their vulnerability – and even fewer are doing anything to change the landscape.”[1]

Another recent BTI Consulting Group study indicates that “[b]usiness development is one of the few marketing areas where law firm executives are more willing to increase spending.”  In fact, “[n]early 70 percent said they planned to provide more marketing coaching to lawyers.” [2]

So what does this mean?  Chances are likely that you firm is at risk of losing a big client, BUT the opportunity to win new business is also very high.  Given the fact that most firms are beefing up their marketing efforts, the need to get aggressive with a marketing program is more critical than ever for firms who want to remain competitive.

The combination of growing in-house law departments and the growing number of lawyers, among other things, has created a legal industry that is increasingly competitive.  Gone are the days when firms could rely on the talents and skills of a few rainmakers, and a hodgepodge combination of sporadic client seminars, newsletters and association memberships to develop consistent business.  Firms hoping to capitalize on the migration of legal business need to develop strategic plans that are implemented through focused and coordinated efforts of more firm members.

The migration of legal business is not only apparent in the 87% chance of losing or gaining a client, another BTI Consulting study found that there is a massive shift of big company legal business moving from big law firms to small and mid-size law firms.[3] According to the BTI study, large law firms went from a  64%  market share in 2007, to 36% in 2008, while small and mid-size firms when from 38% in 2007 to 64% in 2008.  In an effort to cut legal budgets through more flexible billing and staffing arrangements and to improve communications, large companies are choosing smaller law firms to do their legal work.  The shift is not only economical; it represents a cultural shift in the way executives look at law firms.  There is no longer pressure to stick with big firms on the assumption that they will provide superior service.  The decision to shift legal work to well selected smaller firms is now considered savvy and in vogue.

Business development activities appear to be the most effective marketing efforts in gaining market share.[4] Law firms that are able to create positive distinctive awareness in the minds of the decision makers are the ones that get the business.  Lineberger Consulting Group specializes in maximizing business development activities that are specifically designed to create that distinctive awareness necessary to grow and secure legal business and to drive positive revenue results.

Whether your law firm is currently enjoying comfortable revenues or is experiencing revenue fluctuation, Lineberger Consulting Group offers a cost effective means for building a program that will increase your odds of gaining new clients while holding on to your old ones.  Regardless of how you choose to market your firm, with statistics like these, can you afford to do nothing?


[1] Legal Trends, April 9, 2009, by Marcie Borgal Shunk, Principal, BTI Consulting Group 

[2] The Wall Street Journal, May 2009

[3] The Wall Street Journal, Midsize Law Firms Pick Up Clients as Companies Turn From Pricey Giants, July 2009.

[4] The Legal Intelligencer, Innovation Can Lead to More Business for Firms, by Stacy Clark, July, 2008

 

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