Developing your law firm Part 2: What makes a law firm fail?
Part of developing your law firm is knowing and avoiding the things that may not be good for your business. In the second part of our blog series, we explore what may harm your firm and things you may consider to avoid this harm.
Revenue drives the growth of a law firm and clients drive revenue. The best way to enhance your relationship with your clients is by giving them the best experience. Service experience does affect your clients’ behavior in staying with your law firm. Study shows that 78% of consumers have bailed on a transaction because of poor service experience. Another study conducted by Zendesk says that 55% of consumers look for another product or service after having a bad customer experience.
Lack of understanding of your clients’ needs may harm your firm’s credibility and can even lead to customer friction. To avoid this, it is essential to understand the value of knowing what your clients really want. While the customer is not always right, you have to ensure that you make your clients happy in order to keep their business.
Not adopting technology
According to Towards Future Proof Customer Relations by Steven Van Belleghem, technology is changing customer behavior and is affecting client relationships. The said study states that technology is becoming invisible and is making everything transparent. It is also democratizing the world and enhancing experiences.
Change is accelerating quickly in the legal industry due to the clients’ demands. Clients now want a faster, better and more convenient access to legal services of all kinds. They believe that the longer they wait for what they want, the longer they suffer.
Maintaining the status quo and continuing to operate in the same way as you have been might sound like the most straightforward and risk-free strategy, but that strategy will not be sufficient to address the needs of your clients in 2018 and into the future.
The good news is that the solution to this problem is straightforward: adopting to legal technology. New and disruptive platforms like dealcloser were created to increase service transparency and law firms who don’t explore these new technological opportunities potentially risk the value of their business. In today’s time and age, legal technology is not an option, it is the only choice.
No concrete business strategy
Not having a concrete business strategy may affect the consistency of your messaging and your services in the long run. This can also lead to confusion on your clients end as to what kind of services you offer and what benefits they receive from your firm. Having a clear strategy will help you set business goals and targets. And in developing a business strategy, you have to ensure that it is understood by everyone at your firm and also by your clients and your potential clients.