Firms plan for 25% marketing increase to keep client base
The vast majority of larger law firms are looking to employ more aggressive marketing techniques because they are scared of losing clients, and will be increasing their spending by more than 25% to achieve this, new research has found.
The survey of 50 firms with a workforce of 70 or more found that 88% are already having to do more to retain clients, with 90% predicting that a downturn in the economy will affect client loyalty further.The negative image of the legal profession was seen as part of the problem, with 94% saying they thought the public had a bad or indifferent opinion of lawyers, and the same amount believing that the legal profession must market itself more 'aggressively' as a result.This was reflected in spending; the firms anticipated increasing their advertising budgets by an average of 28% over the next year, even though 31% had already paid out for a new image in the last 12 months.
Although two thirds of firms will be putting the money towards outsourcing their public relations work, 68% gain new clients mainly through recommendation, the survey showed.
In addition, most firms are utilising the latest technology, with 96% saying they have a Web site.
Three quarters claimed to have benefited from their site, although 98% said it 'could work harder' for them.
Jonathan Fox, a marketeer and chief executive of London law firm Collyer-Bristow, agreed that certain parts of firms' businesses could suffer from a downturn in the economy, but warned against firms 'using a sledgehammer to crack a nut'.
Successful marketing is not a question of how much money is spent, but what is done with it, Mr Fox explained.
'A 28% increase is a hell of a lot, and a lot of firms wouldn't know what to do with it,' he said.
'They should be doing things like picking up the phone once a month and calling their clients - what does that cost, except the price of a call?'The research was compiled jointly by marketing and creative agency KeeScott and PR consultancy Trocki.Paula Rohan
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