Archives for July 2012

How to make sure you never run out of clients

July 17, 2012 by
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In my practice, every time I closed a client file I reminded myself that I needed to replace it. My future income depended on it.

Early in my career, this made me nervous. I would look at the void in my file drawer where the active file had been and wonder what I could do to replace it.

At some point, I realized that every client can lead me to at least one new client, and if that’s true, I would never run out of clients.

It’s called, “the power of one”.

Every client can refer at least one new client. If not now, at some point in the future. The clients they can refer can do the same.

Of course this is not always true for every practice area. Not every client can refer, or will. But some clients will refer three clients, or ten clients.

Every client can do something to “replace themselves.” If they don’t know anyone they can refer, they know someone who does. Ask every client for the name of their insurance agent, CPA, or other professional. Ask for an introduction. Ask if you can use their name.

Every client can help you build your contact list. Ask every client to distribute your report, promote your seminar, or forward your email.

Growing your practice by leveraging your relationships with existing clients begins with the belief that what your clients pay you for the work you do is only part of your compensation. In addition to your fee, you expect them to refer at least one client or introduce you to at least one professional contact.

Some attorneys discuss this with new clients when they talk about fees. Some actually put this in their retainer agreement.

No matter what you say, or don’t say, one thing is clear: Attorneys who get more referrals expect their clients to refer.

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Filed Under: Client loyalty, Leverage, List building, Marketing legal services, Referral sources, Referrals Tagged With: ,

Has the “Law of Association” Been Repealed?

July 16, 2012 by
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W. Clement Stone said, “Be careful the environment you choose, for it will shape you; be careful the friends you choose, for you will become like them.”

Our parents, teachers, and spiritual leaders always cautioned us about our associations. If my parents didn’t approve of someone I was hanging around with, they didn’t hesitate to let me know.

Some say we become like the (5) people we associate with most. We are influenced by them. We adopt their habits, behaviors, and opinions.

It’s called “The Law of Association,” but perhaps the word “tendency” would be more accurate than “law”.

If you spend most of your time around people who smoke or drink or have poor eating habits, does that mean you will adopt those habits? You might. But then through your example, you might be the one who influences them to clean up their act.

If your friends are all negative people who complain all the time and see the dark side of everything, it doesn’t mean you will become a negative person. Environment is important but it’s not everything.

But while the people we associate with may not change us, the right ones can expose us to better ideas and better opportunities.

If you associate with successful professionals and business executives, for example, you can gain insights into how they think. You can study what they do. You can model their behavior and their language. By watching them and by seeking their advice, you can learn how to avoid mistakes and improve your outcomes.

Successful people can also open doors for you. They can introduce you to prospective clients and referrals sources, help promote your practice, or point you towards profitable investments.

Who you know, and who you spend time with, does make a difference.

As I mentioned in a previous post, you do have a choice. You can choose to associate with positive people who inspire you and help you grow, and you can disassociate from people who don’t.

But you may have some work to do, first.

People tend to seek out people who are like themselves. We prefer to be around people with similar habits, viewpoints, income levels, and hobbies. Birds of a feather do flock together. And therein lies the challenge.

If you want to associate with successful people who can provide you with better ideas and better opportunities, you have to earn the right to do so.

Why should they associate with YOU? What are you bringing to the table? What better ideas and better opportunities will you be able to share?

There’s another law at work here: The “Law of Attraction”. Like attracts like. Birds of a feather flock together because they are birds of a feather.

If you want to be around successful people, you have to attract them and to do that, you have to become them. You don’t necessarily have to have achieved what they have achieved, but you must have similar philosophies.

That’s why personal development is essential to success. That’s why Jim Rohn said, “Work harder on yourself than you do on your business.”

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Filed Under: Marketing legal services, Personal development, Relationship marketing Tagged With: , , , , , , , ,

You got into Harvard Law School? That’s funny!

July 13, 2012 by
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In the movie, “Legally Blonde,” Reese Witherspoon plays Elle Wood, a beautiful blonde who is dumped by her snobbish fiancé because he feels her lack of intelligence will hurt his career plans. Not ready to be dismissed so easily, Elle applies to and is accepted at Harvard Law, where she meets up with her ex- in the hallway on the first day of class.

He is surprised to see her and reminds her that their relationships is over. When he realizes she’s not visiting, she is a student, he is incredulous. “You got into Harvard Law?!”

Whereupon, Witherspoon delivers a line that still has me chuckling more than ten years after I first heard it: “What? Like it’s hard?”

Now if you don’t find that funny, you either don’t have a sense of humor or you went to Harvard. Wait, that’s redundant.

What? You’re still not laughing? You must be a tax lawyer.

Okay, I do have a point: We all need to laugh more. It’s good for our health and good for our business.

People like people who make them laugh. They like people who are fun to be around. They like people who smile and enjoy life.

Yes, what we do is often terribly serious. But not everything and not all the time.

I’m not suggesting you learn to tell jokes. Actually, that’s not a bad idea. I’d love to take a stand up comedy class. People always tell me I’m funny. I remind them that looks aren’t everything.

Hello, is this on?!

Anyway, we all need to lighten up and have some fun. Even when times are tough. Especially when times are tough.

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Filed Under: Communication, Just for fun, Personal development, Public Speaking Tagged With: , , , , , , , , , , , , , , , , , , ,

The easiest way to increase law firm profits

July 12, 2012 by
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In medicine, The Hippocratic Oath includes the Latin phrase, Primum non nocere, meaning, “First, do no harm.” Attorneys need a similar pledge, not just to protect our clients, but to protect our bottom line.

According to a study from The George Washington University (ppt–not worth downloading, IMHO), the cost of a dissatisfied customer is staggering:

  • The average business does not hear from 96% of unhappy customers
  • For every complaint received, there are 24 people with unvoiced problems; six are serious
  • 90% who are dissatisfied with the service won’t return
  • The average customer with a complaint will tell 9-10 people; 13% will tell more than 20 people

Other studies confirm numbers like these. The bottom line: losing one client could cost you a lot more than you earn from one new client.

Therefore, the easiest (and smartest) way to increase your profits is to stop losing clients.

There is some good news from the study:

  • Of those who complain, 50-70% will do business with you again if the complaint is resolved. 95% will return if it is resolved quickly

Therefore, you must encourage your clients to let you know when they aren’t happy so you can fix the problem quickly and can take steps to make sure the problem won’t occur with other clients.

Remember, most unhappy clients don’t complain. They just leave–and tell others that you are a Bozo.

Here’s how you can solicit this extremely valuable feedback from your clients:

  • Include feedback forms in your “New Client Kit”
  • Post surveys on your web site
  • Tell clients (repeatedly) that if they ever have an issue of any kind, you want them to call you personally (and give them your cell phone number or direct line)
  • Put a “Suggestion Box” link on your web site. Allow people to contribute (or complain) anonymously. Promote this box via your newsletter and blog
  • Put stories in your newsletter about suggestions you received and implemented.
  • Interview clients at the end of the case. Ask them, (1) What did we do well? and (2) What could we do better?
  • Thank everyone for their ideas and feedback, publicly if possible

In other words, if you want feedback, create an environment where feedback is encouraged, appreciated, and most of all, acted upon.

Often, perhaps most of the time, unhappy clients aren’t unhappy because the attorney did something wrong, they are unhappy because of poor communication:

  • Something wasn’t explained properly.
  • The attorney didn’t keep the client informed.
  • The client’s phone calls weren’t returned.

If you ever drop the ball in any of these areas, don’t worry, these are easy to fix. If any of your clients were unhappy with their previous attorney for any of these reasons, celebrate. This is a tremendous opportunity for you to convert them into raving fans.

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Filed Under: Client loyalty, Client relations, Communication, Increase your income, Law office management Tagged With: , , , , , , , , , , ,

Take inventory of your marketing to save time, save money, and improve results

July 11, 2012 by
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Taking inventory of your marketing can help you gain clarity about where you are and make it easier to get to where you want to go.

Here’s how to do it:

Pick a period of time in the past. Six or 12 months will do. Write down how many new clients you took in during that period, who they are, and the amount of income those clients have or will generate for you.

So far, so good.

Next, look at the names of each of those new clients and write down where they came from. You need to know whether they were referrals (including self-referrals, aka repeat clients), or they came from some other source.

You can break this down any way that makes sense for your practice, but I suggest something like the following:

  1. Referrals from clients (including self-referrals)
  2. Referrals from professionals, others; networking
  3. Online (Blogging, SEO, social media, webinars, articles, etc.)
  4. Paid advertising (PPC, direct mail, display, radio, directory, ezine, banners, self-hosted seminars, etc.; if you do a lot of adverting, you should break this up into different categories)
  5. Other (Public speaking, publicity, writing (i.e., trade pubs), etc.)

Okay, now you know where the business is coming from. What now?

Here are my thoughts on how you can use this information:

  • Most of your clients should come from referrals. If they don’t, ask yourself why and what you can do about it
  • If you’re not getting business from some of your marketing activities, or they are too expensive relative to the business they bring you, consider eliminating those activities.  For example, if blogging and social media take up a lot of your time but you’re not getting the clients from it, why do it? Use that time for something that is producing.
  • There will be some cross-over or ambiguities. For example, blogging may not be producing a lot of traffic, inquiries, and new clients for you but it still has value as authoritative content you can show to prospects who come to you via referrals, or to add value for your clients.
  • If something is working for you, do more of it. You can find more time for networking, for example, by reducing or eliminating some or all of the time you spend on (whatever is not working). If advertising in trade publications regularly brings in new clients, increase your media buys in trade publications.
  • Before you cut anything, consider the “back end”. For example, you may be breaking even on advertising (or even losing money) but if you are able to get referrals from the new clients that are produced by that advertising, you’re still earning a profit.
  • If you aren’t in the habit of recording where your clients come from, you need to start. Instruct whoever answers the phone to ask everyone, “Where did you hear about us?” and add a line to your new client intake form.
  • Track these numbers going forward so that you can periodically take inventory and see where you are.

A friend of mine says, “You have to inspect what you expect”. He also says, “You have to slow down to speed up.” Take his advice. Once or twice a year, shut off the phones and email and take inventory. It will help you save time, save money, and improve your results.

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Filed Under: Advertising, Blogging, Increase your income, Law office management, Leverage, Marketing legal services, Networking, Productivity, Public Speaking, Referrals, Social media marketing, Time Management Tagged With: , , ,

Put your contact list on a diet

July 10, 2012 by
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I’ve written before about the value of creating a “Focus 30” list–a list of your most important clients, best referral sources, and other people to whom you want to give your time and attention.

Keeping that list in front of you will remind you to call, write, and engage with the people who contribute most to your success.

I didn’t say so then, but I should mention that you can include on your Focus 30 list people who are important to you outside of your professional life. Friends, spiritual leaders, and others you influence you in positive ways also deserve your attention.

If your Focus 30 list is the cream of the crop, the tip of the top, there are undoubtedly people in your life who are just the opposite.

You know the ones I mean.

  • People you don’t like
  • People who waste your time
  • People who are abusive to you and others
  • Takers/users

You get the idea.

Your relationship with these people does not serve you. You should take steps to either reduce the amount of time you spend with them or completely eliminate them from your life.

Of course some people (i.e., clients, close relatives) you may have to put up with to some extent. But this should be a conscious choice you make, not something you do merely out of habit or a sense of duty.

The easiest way to put your contact list on a diet is to go through the list, one name at a time, and rate each person. If you don’t recognize a name, or you don’t communicate with that person often enough to matter, you can skip them. For everyone else, assign a number based on how you feel about them:

1 = Positive
2 = Neutral
3 = Negative

That’s a lot quicker and eaiser than trying to figure out why you don’t like someone. Trust your gut.

If you’re not sure about someone, give them a 2.

Anyway, don’t agonize over anyone and don’t spend a lot of time on this.

When you’re done, go back through the list. 1’s and 2’s are okay. (You may see some 1’s you want to add to your Focus 30 list).

You need to do something about the 3’s.

Some you’ll stop seeing and taking their calls. Cross them off your list. Eliminate them completely from your life.

Others, you’ll reduce the amount of time you give them. If they are a client worth keeping, give the task of dealing with them to someone who works for you. Get away from them as much as possible. If that won’t work, you’ll need to decide if the negative feelings you get from being around these people are worth the money they pay you.

Or, look at it this way: How much more would you earn by getting rid of your negative, anxiety-causing, slow-paying, trouble-making, pain-in-the-ass clients?

Now, as for your relatives. . .

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Filed Under: Career satisfaction, Client loyalty, Client relations, Dealing with stress, Personal development, success Tagged With: ,

What do you do when the case is over?

July 9, 2012 by
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Think of a file you closed in the last thirty days. The work was done, the client was paid or got their final papers, there’s no more work left to do.

What now? What’s your plan?

If you think in terms of “cases” or “files” or “work,” probably not much. You finished what you were hired to do and you were paid. Gotta go find someone else who needs you.

If you think in terms of “clients” and “repeat business” and “referrals,” you’re just getting started.

Your clients are worth far more to you than what they paid you to handle their case or file. Over time, they may be worth 50 times that amount. But if you leave it up to them to come back when they need you again, or refer someone who needs you, you’re making a big mistake.

It’s up to you to stay in touch with your clients, now, at the end of their case, and forever–until you retire or one of you dies.

It’s called “lifetime value,” and many attorneys never see it because once the work is done, so are they.

Call your client: “Do you have any questions?”

Mail to your client: “Thank you for the opportunity to serve you. Please fill out this survey and tell us how we did.”

Mail something every month: “Here’s something I thought you would like.”

Most of tomorrow’s business should come from the clients you have right now. Even if those clients never hire you again and never refer a single client, they can help you by sending traffic to your web site, promoting your seminar, or distributing your report or video.

So, when the case file is closed, open another file for the client. You have more work to do.

You need to stay in touch with your clients and let them know you appreciate them. Remind them about the (other) services you offer. Ask them what you can do to help them with anything of a legal nature, or anything else. And once in awhile, ask them to help you by liking your page or forwarding your email to someone they care about.

The work is not difficult and it pays extremely well.

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Filed Under: Client loyalty, Client relations, Marketing legal services, Referrals, Relationship marketing, Thank you letters, Web traffic Tagged With: , ,

How to be more productive by killing time

July 6, 2012 by
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Being more productive helps us earn more and work less (or waste less time). That’s why I use and write about the systems (e.g., GTD) and tools (e.g., Evernote) that improve productivity.

But I will be the first to admit that being productive is not the number one objective. It’s being happy.

We want to be more productive because doing so makes us feel good. Not just the results of being more productive but the feeling we get in the process of doing so. It feels good knowing that we are being effective (getting the right things done) and efficient (getting things done right).

But sometimes, “too much of a good thing is not a good thing”.

Most productivity experts advise us to make the best use of our time, all the time. If we’re at the doctor’s office and we have 15 minutes before our appointment, we should use that time to review a file or write notes for something we’re working on. On our way to and from court or an appointment we should make calls or dictate a letter or memo.

Don’t waste this time, they tell us. 15 minutes here, ten minutes there, and we could gain an additional hour or two of work time every day.

I don’t disagree with this. I do these things myself. But, as Leo Babauta’s thoughtful post, “Why Killing Time Isn’t a Sin,” reminds us, “life is for living, not productivity”.

If you would enjoy reading the biking or travel magazine for 15 minutes in the doctor’s office, go ahead and do it. If doing some work would be even more enjoyable, you can do that instead.

The point is, you have a choice. You don’t have to work all the time. Do it because you want to, not because you believe you must. Do it because of the pleasure it gives you, not because it’s on your list.

Do you ever “call in sick” and spend the day at the beach or the movies? Just because you want to? You should. Yes, the work will be there when you get back and yes, you will be a day behind. But you’ll be a day ahead on life.

We aspire to be productive because it makes us feel good. Why not start with feeling good. You’ll wind up being more productive.

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Filed Under: Career satisfaction, Productivity, Time Management Tagged With: , , , , , , ,

Attorney Marketing: Do you have the right attitude to be successful?

July 3, 2012 by
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Do you do marketing because it’s something you have to do? Or do you do it because you love helping people and marketing is how you find them?

Do you send notes and thank you cards to your clients because it’s a smart thing to do or do you truly appreciate your clients and want them to know?

Do you love it when your clients call you when they need a referral to an insurance broker, car dealer, or building contractor? Or do you say to yourself, “Why are they asking me?”

Marketing has been defined as, “everything you do to get and keep clients”. More than what you do, however, marketing is what you are.

Marketing should be an extension of who you are and what you do. It should not be a department or a project. If you love what you do, if you truly appreciate your clients and the lifestyle they make possible for you, marketing shouldn’t feel like work.

That doesn’t mean you don’t have to make the calls or send the emails. It means that when you do, the words will flow easily and people will know you mean what you say.

If you love what you do and you do what you love, you’ll never work a day in your life.

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Filed Under: Career satisfaction, Communication, Marketing legal services, Personal development Tagged With: , , , , , , , ,
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