Research suggests that retaining clients as a strategy could be eight times more profitable than any other type of marketing. How? Firms that use Client Relationship Marketing (CRM) will have a better understanding as to what their clients want and whether they are delivering it.
What is CRM?
CRM is more than an IT-driven device, it is the clever use of client information stored in a database that enables one to monitor, on a client-by-client basis, their past purchases - the services bought, fees generated and their profitability. We also need to understand the individual relationships between the client's organisation and the firm. There is a high correlation between satisfied customers and success, so firms should seek performance feedback from their clients. Key account management is a formal way of getting the feedback. When this is combined with a programme that involves groups of fee-earners meeting to discuss the client and perhaps what other services they might be able to sell to them - and then acting on it - CRM's full value to the law firm will be delivered.
Article on lawgazette.co.uk