It is getting harder for law firms to stay afloat as a result of difficulties in effecting preferable pricing structures. There is a problem of saturation and this is leading to stiff competition among law firms. Subsequently, many firms are resorting to charging ridiculously low fees just to keep the lights on. The internet is getting more and more saturated with legal resources enabling people to easily compare prices and shop for cheaper services. In many cases, leads even reject the services of an attorney having learned how to do it themselves. This article will show you how to stand out to leads and convert them without having to charge lower for your services.
Weed out the bad leads
The first step towards ensuring you receive remuneration that is commensurate to your services is to ensure you are devoting time to good leads. There are certain leads that are convinced that, no matter how low it is, their offer is the best for the services you are providing them.
There are also others who are certain that they will find other attorneys or firms ready to accept what they are offering, maybe even less. Some leads will consistently miss and never return your calls while others will attempt to put you to work before actually hiring you. All of these are tell-tale signs of bad leads. Get rid of them now.
Walk them through
After weeding out the bad leads, it is still possible for potentially good leads to underprice you, offering you less for more work. For some of these leads, a little bit of education may be what they need to see the value in the service you provide. To convince them to pay higher, you need to walk them through the systems you need to navigate, the procedures the services required, and the costs involved as well as the resources to be expended.
There are many big leads out there who will readily pay your service charge without questions but for others, there is a need to do a bit of education before they agree to pay you the value of your services.
There are numerous firms out there contesting for the same leads you are. Specializing, however, can set you apart. By strategically devoting more resources (time, personnel, technology) to specific practices, you will develop a tested and proven system that will be known for nearly unmatchable efficiency.
By specializing, you or your firm will be able to deliver premium quality services with satisfactory outcomes that will subsequently give you an edge over other competitors. This kind of brand recognition will consistently attract high-paying leads allowing you to charge higher for your services.
Value-based pricing is one of the best ways to stand out and subsequently earn higher for your practice. While still a topic of ongoing debate, value-based pricing has a great potential of ensuring you earn more than most leads are offering for the legal services that you offer. Simply, value-based pricing refers to the practice of setting the price of service based on the client's perception of the services being offered.
This means that you will be charging leads not a flat rate, but differently, based on certain factors that are particular to individual cases. To effect value-based pricing, there is a need to consider a number of factors such as exigency, specific knowledge or expertise required, predicted outcome, how much your lead is willing to pay, etc. While value-based pricing has enormous benefits, it is important to make sure the fee you are charging is well above the market or firm average/benchmark to prevent it from backfiring.
With many factors combining to make leads underprice legal services and law firms undersell, there is a need to think differently about standing out and earning the right value for services.