What would happen if you stopped marketing?

February 18, 2016 by
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A few years ago, I saw a few episodes of a program called, “Life After People”. It depicted what the earth would look like in 25, 50, 100 and 300 years (I think) if mankind was extinct.

It showed our tallest skyscrapers decaying and eventually crumbling into dust. It showed the forests overtaking our cities. It showed some animal species thriving, and others becoming extinct.

It was both a fascinating and frightening portrayal of nature reclaiming the earth, and it made me realize all of things humankind does to maintain and nurture our planet.

Thinking about this program made me think about what would happen if professionals stopped marketing. If we no longer did anything to bring in new clients and keep them happy, what would our practices look like in a few years?

What would happen if you pulled all of your advertising and stopped networking, writing, and speaking. If you never added anything new to your website, posted on social media, or sent your clients and prospects another letter or email?

What would your practice look like if you did nothing more for your clients than the legal work you were hired to do? If you did nothing else to inspire your clients to tell the world about their great experience with you?

If you stopped all marketing, what would your practice look like in a year? Five years? Ten? Would you still be open for business or would the weeds overtake you and hasten your extinction?

Just as mankind maintains the world’s infrastructure and continually creates new and better ways to add quality of life to our days on Earth, so must every lawyer maintain their practice and make it grow.

Do yourself a favor and make a list of everything you do that could be considered marketing. Big things and small things. Old things and new things. Easy things and challenging things. Making this list will help you see how much you do to keep your practice’s engine in good repair.

Then, imagine what would happen if you stopped doing these things and let the practice run on it’s own. No doubt the image you see in your mind’s eye would be sobering, even if you haven’t seen “Life After People”.

Finally, look at your list again and imagine what your practice might look like in a few years if you made a little extra effort to do the things we call marketing a little better, and found some new things you could do to help your practice grow.

And grow you must, because if your practice isn’t growing, it’s dying.

If you want a simple marketing plan that really works, get this

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Filed Under: Law office management, Marketing legal services

It’s a blog about nothing

February 10, 2016 by
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Remember the Seinfeld episode where George and Jerry pitch a show to a studio head? “What’s it about?” the boss asks. With a smirk and dramatic pause, George says, “Nothing. It’s a show about nothing!”

No they didn’t sell the show. That wouldn’t have been funny. Better we should laugh at our pals and their madness.

But we shouldn’t be so quick to dismiss the value of “nothing”.

In keeping with my assertion that you can write a blog post or email about anything, or nothing, I’m going to give it a shot. I’m going to take a random idea and see if I can fill the page with something interesting and useful.

First thing that pops into my head: shopping. Here goes.

I’m not a shopper. If I go to the mall with my wife, you won’t find me trying on clothes. In the past, you’d find me at a bookstore. Today, I’ll hit a computer store, but only for a few minutes. Mostly, I find a comfy chair, read and watch people.

Basically, I do nothing.

But that’s okay. What I like to do at a mall and what my wife likes to do are different. We’re different people. One person’s gourmet meal is her husband’s poison.

We need to remember this in selling our services.

Not everyone will see the need or the value of what you offer. Some will say yes, some will say no, and some will say, “Ah, get me out of here, there’s an attorney talking!”

We must also remember that the ones who say no do it for different reasons.

One prospect may say no to your estate planning services because she thinks you charge too much. Another might say no because she doesn’t see the need or the urgency.

I spoke to a young woman recently who had a baby eight months ago. I asked if she and her husband had updated their will (knowing they probably didn’t have one at all). She told me they were going to wait until after they had a second child before doing that.

Yep, that’s what she said.

If you are an estate planner, what would you have said in response?

The point is that you need to know the different reasons prospective clients say no to your proposition and be prepared to address them. You can handle an “objection” by presenting the information as part of the pitch or on your website, etc., or you can address it when they vocalize it. (NB: it’s better to handle an objection before it comes up.)

The point is that people are different and so are their reasons for saying no. If you want to sell more of your services, you need to figure out those reasons and do something about them.

So there you go, a post that started out about nothing and turned into something. Sweet! I’m calling my buddy Art Vandelay and letting him know.

What to put on your website. 

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Filed Under: Blogging, Communication, Law office management, Marketing legal services, Writing

How to protect your referral fee when you refer cases to other attorneys

February 3, 2016 by
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I heard from a PI lawyer who had referred a case to another lawyer and was supposed to get one-third of the fee. When the case settled, the referring lawyer heard about it not from the lawyer who settled the case but from a friend of the plaintiff.

Not good.

Even worse, the plaintiff had another accident 4 months later. The same firm handled that case, which settled for $200,000, and they never told the referring attorney about it.

When he finally spoke with someone at the firm about the second case, the referring attorney was told that they don’t pay referral fees on “second generation cases/referrals”.

He asked if I think he’s entitled to a referral fee on the second case.

My take? In equity, maybe. In law, probably not. In the world of commerce, where screwing your referral sources is a great way to kill referrals (and your reputation), I think they should take care of you.

But they’re PI attorneys so I won’t hold my breath.

The bigger question is what to do to protect your referral fee in the future.

Two things. First, you need to have a written agreement that specifies what you get, not only on the original referral but on subsequent cases with the same client. Get this signed before you make the referral.

To be enforceable, it probably has to have reasonable limits (like a non-compete agreement), something like subsequent claims within two years of the original injury. (I’d also ask for a fee on any referrals from that client during the same period.) Ask around, find out the standard in your community. And be prepared to negotiate.

Second, your agreement should specify that you have a lien interest in these cases, and you should so notify the insurance carrier and/or opposing counsel on the first case. That way, when the case settles, your name will be on the check and they have to come to you to get your endorsement.

Your agreement can also specify a lien interest (and attorneys fees if not paid) on subsequent cases, but if you don’t know about those, it’s not as easy to protect your referral fee because you have nobody to notify of that interest until after the fact. Still, better than nothing.

And without an agreement, nothing is what you’ve got.

Hey, I’ve been there. I’ve referred cases to other lawyers and was screwed out of a fee when they settled. You live and learn.

My last piece of advice? Stay in touch with the client. Because you want him to tell you when he has another case, or he has a referral.

Be his “personal attorney” for life. His advisor. The conduit of all of his legal matters.

Think “clients, not cases”. And think about the referral as, “bringing in another lawyer,” not “referring out” to another lawyer.

I’d love to hear how other lawyers handle this subject. Please post in the comments.

Get more referrals from lawyers and other professionals: click here

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Filed Under: Attorneys fees, Law office management, Marketing legal services, Referral sources, Referrals Tagged With:

Why you need a referral system

February 2, 2016 by
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When you have a new client in the office, what do you say to him about referrals? Anything?

Do you give him anything to pass out to people he knows, to make referrals easier for him?

Perhaps you give every new client three extra business cards. That’s good. But when you do that, what exactly do you say? (It makes a difference.)

Most lawyers don’t have a well thought out referral system in place. They haven’t planned what they will give clients, what they will say, or when.

For most lawyers, referrals happen, when they happen. Or they don’t.

Spend some time today thinking about, and writing down, your system. What do you say (orally or by email or letter) to new clients? Current clients? And former clients?

What do you give them or send them?

Right now, if your system consists of giving new clients three business cards and saying, “Here are some of my cards, in case someone you know needs my help,” fine. Write that down. That’s your system. And any system is better than no system.

But you can do more.

Start thinking about what else you might do the next time they are in the office. Or what you might mail to them or include in your “New Client Welcome Kit”.

Write down all of the times during the case or engagement that you could do something or say something that might bring in more referrals.

Start with new clients, on their first appointment. Then consider what you can do at the end of the case or engagement.

After that, write down ideas for communicating with “old” clients.

Having a system for new clients, end of the case, and old clients, will probably put you way ahead of where you are right now, because you will have a better system than you do now.

Systems save time and make things easier. They produce better results, too, if for no other reason than they prompt you to do something on a consistent basis.

No doubt you get referrals now, but do you get as many as you want? As many as you think you could get?

If not, it’s time to create or update your referral system.

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Filed Under: Law office management, Marketing legal services, Referrals

Bad clients are the result of bad marketing

January 12, 2016 by
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Bad clients are the result of bad marketing.

What do I mean by bad clients? Hmm, let’s see. . . how about. . .

Malcontents who blame you for things that aren’t your fault and then post bad reviews and ratings about you.

Price shopping clients, penny pinching clients, slow paying clients, and no paying clients.

Clients who don’t follow your advice, don’t show up for appointments, and don’t remember anything you told them.

You get my drift?

Every lawyer gets the occasional lemon, but if you get more than your share, bad marketing is usually the culprit.

So what do I mean by bad marketing?

I mean targeting the wrong market, or, more commonly, no market, so you wind up with whatever shows up at the door.

I mean relying too much on Internet and advertising, which attract price shoppers and harder to please clients, instead of focusing on repeat business and referrals.

I mean failing to educate prospective clients about the law and procedure, their risks and their options, or much of anything without the meter running. Low information clients are like low information voters. They don’t understand, they don’t appreciate, and they don’t always make good decisions.

Bad marketing means talking only about features (what you do–practice areas, services, office hours, etc.) instead of benefits (what the client gets–solutions, outcomes, peace of mind, security).

Bad marketing means failing to differentiate yourself from other lawyers in a meaningful and memorable way.

It means failing to surprise and delight your clients with amazing “customer service,” and failing to stay in touch before, during, and after engagements.

Bad marketing also means taking on clients you know you probably shouldn’t, and failing to “fire” clients who prove themselves to be more trouble than they are worth.

Oh yeah, bad marketing also means doing all the right things but simply not doing them enough.

So yeah, bad clients are the result of bad marketing, but this is good news because bad marketing can be fixed and bad clients can be replaced with good ones.

Good marketing starts here

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Filed Under: Communication, Law office management, Marketing legal services, Online Marketing, Writing

Cheap legal services are too expensive

January 5, 2016 by
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I don’t buy a lot of clothing but when I do I favor quality over quantity. One reasonably expensive suit not only looks better than its cheap counterpart, it lasts longer, too. The same goes for dress shirts and shoes.

An article I read this morning agrees with me. It says that cheap clothes ultimately cost more and recommends buying quality instead.

The same can be said for cheap legal services.

You don’t want people to hire you because you’re cheaper than the other guys. You want them to say, “He costs a bit more but he’s worth every penny.” And you want them to know why.

You want people to understand the risks of hiring an attorney solely because they charge less and the benefits of hiring a high quality albeit more expensive alternative.

Like you.

Most people have a difficult time discerning this difference so it is important that you educate them. Help them to understand that cheap legal services are usually too expensive.

On the other hand, the smart play in marketing your services isn’t to target the masses and educate them about this difference. It is to target that segment of the market who already know this and are willing to pay more to get more.

Target the top 20% of your market and show them a lawyer who costs more and is “worth every penny”. Most attorneys don’t do that. They target the bottom 80% of the market and while they might not overtly compete on “price,” it’s obvious that being competitive on fees is baked into their essence.

You don’t need to be the most expensive lawyer in town, but you should at least be in the top one-third. And make sure you’re worth it.

How to write an invoice clients want to pay: click here

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Filed Under: Attorneys fees, Fees and Billing, Law office management, Marketing legal services

Your clients think you’re getting rich at their expense

December 30, 2015 by
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Your clients have no idea how expensive it is to run a law practice. Is it any wonder that some clients shake their heads at $400 an hour? Can you understand why a $10,000 retainer might be incomprehensible to someone who earns $40,000 a year?

How do we get clients to understand that we’re not getting rich at their expense?

Should you tell your clients how much you actually earn? No. It’s none of their business.

Besides, you want your clients to think that you earn a very good living.  Nobody wants to hire a lawyer who is struggling to pay their rent.

But perhaps you could help your clients to understand that running a law practice is expensive, and that what you bill out in no way approximates what you take home.

One way to do that would be to take new clients on a tour of your office. Show them how many desks and chairs there are. Show them your conference room and library. Point out the computers and copy machines and other equipment. Introduce the people who work for you and describe their function.

You might also want to explain, perhaps in a letter in their “new client welcome kit,” what you and your staff will be doing for them. You might point out that at any one time, there are at least three people working on their case. You could also provide a soup-to-nuts description of the major steps you take to do what you do.

Let them know how you investigate a case, conduct research, prepare pleadings and motions and discovery, and get ready for trial. Mention something about the costs you incur on a typical case. If your work is handled on contingency, remind them that while you are good at what you do and selective about the cases you accept, there is no guarantee that you will win every case and if you don’t, you will get paid nothing.

In your newsletter, talk about the things you do to hold down costs. Talk about how the forms and templates you have developed over the years allow you to save your clients money, for example. Let them see that while you don’t cut corners, you don’t spend money unnecessarily.

At the same time, unless your clients are wealthy, don’t talk about your new Mercedes, your lavish vacation, or expensive new toys. Don’t “dress down” — you’re expected to do well — but don’t give clients cause to believe that you are indeed getting rich at their expense.

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Filed Under: Career satisfaction, Client loyalty, Client relations, Law office management, Legal industry

Do no harm: The easiest way to increase law firm profits

December 22, 2015 by
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[I’m taking it easy this week and re-publishing this post from 2012.]

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.

The best way to maintain law firm profits: marketing

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Filed Under: Client loyalty, Client relations, Law office management, Marketing legal services

Cats don’t like change and neither do your clients

December 17, 2015 by
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When there’s a stranger in our house you’ll usually find my cat hiding under the bed. If we were to re-arrange the furniture, I’m sure it would have the same effect.

Change makes cats uncomfortable. It’s different and scary. They prefer things the way they are.

To some extent your clients are the same way.

You know this is true. Imagine going to Amazon.com to shop your usual categories and one day all of the pages and links are different. You’d be confused and uncomfortable and wonder what’s going on. You might feel a little betrayed.

Why did they do that? Where’s the link? I don’t have time to figure this out! What else did they change that I don’t know about? What’s next?

I know you understand this. Lawyers tend to dislike change even more than their clients. But change is inevitable and more often than not leads to good things.

So don’t avoid change, just be judicious about implementing it. And think about it from your client’s point of view.

Consider what your client’s might be thinking and feeling when you:

  • Assign a different lawyer or staff member to their case,
  • Increase your fees,
  • Change billing methods,
  • Change the schedule/due dates,
  • Re-do your website,
  • Introduce new reports or forms you send them, or
  • Move your office.

Make changes as smooth as possible for your clients, and also for your staff who will be implementing these changes and explaining things to nervous or confused clients. Do your best to

  • Keep change to a minimum. Not too much, not too often.
  • Keep your promises. Grandfather in existing clients, if need be.
  • Give plenty of warning. Don’t spring things on them at the last minute. Let them process and prepare.
  • Explain why you made the change, and how the client will be better off.
  • Offer extra help: people they can talk to, pages they can read, longer hours during a transition.

Follow these guidelines, use common sense, and see things the way your clients see them. Your clients may not universally applaud these changes, but in time, they will accept them. Even my cat eventually comes out from under the bed.

Marketing is everything we do to get and keep good clients. This will help

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Filed Under: Client relations, Law office management, Marketing legal services

Running a law practice like a restaurant

December 7, 2015 by
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The restaurant business is an especially challenging business model. There is so much money at stake, and so many things that can go wrong, it’s no wonder that so many restaurants fail. And yet, when you get it right, a restaurant can be remarkably profitable.

Customers come back again and again, word-of-mouth brings more business, and before you know it, you’re hobnobbing with the culinary elite. Or something like that.

In a way, a law practice is like a restaurant. You’re in the service business. You have to get a lot of little details right. Your menu is similar if not identical to the menu offered by the lawyer next door. If you want your customers to come back, you have to please them. If there’s a problem, you have to fix it.

When a restaurant insists on being right, they often win the battle and lose the war. Charging an extra $1.50 for a slice of cheese on a burger, or being overly aggressive in pushing customers to order appetizers or dessert, may earn a higher profit on that customer’s visit but it may also be decidedly shortsighted.

When a customer comes into your establishment, as the owner of that restaurant your primary goal shouldn’t be to earn as much as possible from each transaction. Your primary goal is to make the customer want to return.

Running a law practice is no different.

Even if you predominately have one-time clients who never need your services again, you should bend over backwards to please them because each one-time client can send you referrals. And they will, if you treat them right.

Opening a law office requires only a fraction of the capital investment required by a restaurant. Your investment comes later. Each time you give your clients more value, you are investing in their return and referrals.

I hear tales of lawyers arguing with their clients over a $100 billing issue. That’s silly. Let them win, even if they are wrong, even if they are taking advantage of you. In most cases, your investment will pay off.

No, don’t be a sucker. If a client fights you over everything and is making you and your staff miserable, you have to draw the line.

Tell them to try the restaurant down the street.

How to handle billing issues like a pro

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Filed Under: Client relations, Fees and Billing, Law office management, Marketing legal services, success
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