Legal marketers everywhere understand the great value of attending the annual Legal Marketing Association conference. Not only do you have the chance to meet new friends and exchange ideas, but also win prizes and expand your legal marketing toolkit. Another plus are the pre-conference workshops; come a day early and get a concentrated, small-group atmosphere and direct attention from some of the leading minds in the field.
This year, I attended the preconference session “Law Firm Competitive Intelligence: A Roadmap for Success”— a great workshop that covered everything CI, from its purposes to execution and real-world lessons learned. Workshop leadership represented service providers and law firms, including: Kevin Iredell, Vice President of Research and Continuing Education Products at American Lawyer Media (ALM); Tea Hoffmann, Chief Strategy Office at Parker Poe Adams & Bernstein LLP; Matthew Olson, Business Development Manager at Chadbourne & Parke LLP; Mark A. Gediman, Director of Information Servicess at Best Best & Krieger LLP; and Ramona R. Whitley, Director of Client Services at Allen Matkins Leck Gamble Mallory & Natsis LLP.
While we tend to take the term “competitive intelligence” literally, the panel explained that CI can be so much more. Defined by the Society of Competitive Intelligence Professionals, CI is “ a systematic and ethical program for gathering, analyzing, and managing information about the external business environment that can affect a company’s plans, decisions, and operations.” That being said, CI cannot only help you evaluate your competition, but can also help you identify opportunities, guide firm strategy and win more work. ALM recently conducted a survey of CI users at AmLaw 200 firms entitled “Competitive Intelligence: Getting the Edge and Winning Clients” and found that (1) there is a direct correlation between CI and new business brought in the door, (2) CI became a major focus at firms after the economy faltered in 2008 has gained popularity in the evolving business market, and (3) awareness, understanding, focus, and funding are some of the biggest impediments to CI at most law firms.
The CI and business development professionals on the panel shared case studies from their firms, showcasing the use of CI in a variety of ways, including prospecting and key client programs. Maintaining current clients and winning new ones are essential to every firm, and there are a variety of ways to get the ongoing intelligence you need on clients and prospects. Google (or another search engine) can be a great tool but can be very broad and overwhelming. Paid and free options include: Elite, Redwood, Hoovers, Peer Monitor, ContactNet, InterAction, Yahoo Finance (for SEC filings on public companies, client competition and risks associated with all), People Search, and many more. If you are not already, become very friendly with members of your firm’s accounting department and library among other internal resources. Research your current clients and prospects on a regular basis, compiling a key client or prospect dossier (or “briefing book”) and truly analyzing the data you gather.
The analysis part of the equation warrants repeating. CI is not compiling a large amount of information and handing it to your attorneys. In fact, that method is likely the best way for potentially valuable insight to be discarded. Take the time to read and evaluate all of the data you gather, including profitability, realization, hours billed, matter reports (if available), and discussions with relationship managers/attorneys at all levels. Large clients can result in significant CI so be sure to focus on two to three key areas only. The ultimate goal is to generate a report that is a maximum of three pages and provides a thorough overview with key drivers for your attorneys. Proper and well-executed CI can help build attorney confidence and benefit your firm.
Competitive Intelligence is a great tool for firms to become and stay competitive in the changing legal landscape. Whether you use it for staying abreast of current client developments, getting new clients, keeping an eye on the law firm competition, or identifying new areas into which your firm can venture, CI can be a worthwhile investment at any level. CI is sizeable—you can start small and focus on your very top clients/competition and gain buy-in with victories along the way. And finally, always work with a coalition of the willing. Your resources and time are limited and should be maximized on those priorities and people that are ready to take (or continue to support) the CI plunge.
Happy (ethical) hunting!
By: Kristin Keen, a five-year legal marketer and Director of Marketing and Business Development at construction law boutique Watt, Tieder, Hoffar & Fitzgerald, LLP in McLean, VA for the March/April 2013 Issue of the Capital Ideas Newsletter.
[1] This was a self-identified survey and a small sample of participates. While the results provide a good idea about use and benefits of CI, it should be used for informational purposes only and not to make the decision to start, continue or end CI use. Each firm has to evaluate the importance of CI on an individual basis.