LegalMatch Apologizes

Several weeks ago, I got a telephone call from Randy Wells,the LegalMatch CEO. Randy wanted to meetwith me in person, and (after I was certain the purpose of the meeting was notto serve me with summons) I suggested we meet during LegalTech New York. (Full Disclosure Time: LegalMatch picked up the tab for my trip toNYC.  I did not agree to do anything in exchange for the trip, other than meet with Randy Wells.)

Randy and I had a nice conversation during dinner – most of whichwas “off the record” – and we discussed LegalMatch’s reputation problem. I told Randy that, though my blog has becomesort of a clearinghouse for LegalMatch comments pro and con, my only problem with hiscompany’s service was (and remained) the methods they used to entice lawyers tosubscribe to their LegalMatch service.

While Randy assured me that things were changing insideLegalMatch, I suggested to him, in true ClueTrainfashion, that he needed to open a dialog with all those who seem to really hatehis company, including the people who continue to leave unfavorable comments onthis blog.  

Randy took my advice, and has sent me the following letterthat I post (unedited) in its entirety. Ifyou have comments, feel free to leave them to this post, because I knowLegalMatch is reading.   Otherwise, callRandy directly. His telephone number is atthe end of the letter.

OPEN LETTER FROM RANDY WELLS, CEO OF LEGALMATCH

To Our Colleagues in the Legal Community,

 On behalf of LegalMatch,I would like to personally apologize for a number of overly aggressive salespractices conducted by the company in the past. After consulting with many individuals and groups within the legalcommunity and after a thorough review of our internal practices, it became clearthat LegalMatch was less than professional in its approach.

As a result, since taking over the position of CEO at LegalMatch,I have implemented a number of improvements to our marketing team and their practicesthat will immediately address and rectify these issues, including: 

1)  Anew training program with focus on best-in-class, professional marketing practices.
2) Anew improved compensation system that is no longer 100% commission based - reducingthe ‘sell-at-all-costs’ mentality.
3) Areorganization of the marketing team that will make it much morecustomer-centric and friendly.

In addition, the company’s founder, DmitryShubov, understands that in order for the company to continueit’s phenomenal growth (53% 2004) that he must divest his majority stake in LegalMatch.

There are several negotiations in process.

Given Dmitry’s vast experience in the online legal category, LegalMatch will retain his services asan outside consultant.

This decision, along with our new programs and ongoing improvements,marks the end of one chapter in the company’s history, and the start of anexciting, new chapter in our continued growth. Our mission today is to build onthese renewed values and principles that aim squarely at serving the legalcommunity. Helping consumers find qualified attorneys and helping attorneysdevelop and focus a law practice is at the core of our company’s vision today.

Once again, I hope you will accept this apology and inviteeveryone to give LegalMatch another chance in the near future.

If you have any questions, please feel to email or call medirectly.

 
Sincerely,

Randy Wells

CEO of LegalMatch

Randy.Wells@legalmatch.com

415-946-0896

What is your client surprise budget?

Kathy Sierra has this wonderful post on the Creating Passionate Users blog.  She gives several examples how businesses have made their products and services "playful."

Surprises are one of the best things you can do -- psychologists claim that intermittent rewards can be more engaging than consistent rewards. Remember, surprise=delight.

I worked for a guy who ran an exclusive, foofy, insanely expensive health club. He took 100% of what should have been (back then, when Ads were King) his advertising budget, and instead put ALL of it into a monthly "member surprise" budget. Nobody ever knew what was going to happen. You'd be in an aerobics class with 100 people (it was a big place), and as you walked out, suddenly there were carts loaded up with bowls of frozen yogurt and a toppings bar. You're in the weight room when the employees start walking through handing out exclusive t-shirts, always with his logo, and always with a fun quote, that you knew would never appear on a t-shirt again. Members collected these things like rare beanie babies. The late-night exercise classes were the hardest to fill, but he would take the worst time slot and make it interesting... the 9 PM folks might walk out of class only to be handed a wine cooler or even a relaxation CD.

It always felt like a party in there! And employees fought over the chance to be the one who got to hand out the cool stuff. And there was no hierarchy in deciding who got to do that...everyone from the janitors to the office bookkeeper might be "picked" to be the hero. I had never before, and never since, seen the kind of loyalty among both staff and members that I saw in that place. His attrition rate for both members and employees was less than half the industry average for health clubs at the time.

Thanks to Johnnie Moore for the link.

One Way to Raise Prices

John Jantsch has a great tip in this post titled You've Got to Sing Like You Don't Need the Money.  Here are some excerpts:

Generate more leads, more opportunities, more clients than you can possibly serve, and then raise your prices.

Here’s the theory – If I have more demands on my time than I can meet. I can look someone squarely in the eye and name my price, because I don’t “have” to get the order.  ...  Too many business owners find themselves enslaved by maniac clients that rob them of their value. Just say no can apply to marketing too.  Lastly ... nothing is more appealing than security. If a potential client sniffs even a whiff of desperation, your selling effort will move away from your terms and you won’t have the guts to name your price.

Now, I don't advocate raising prices all the time for all of your clients, but if you are serving those "maniac clients" or feel totally overwhelmed by your work load, why not take John's advice and see what happens?

Eye Tracking for Web Sites.

Where should you put the most important information on your website?  Read this.

Blogs for Project Management

I found a post on the Cutting Though blog a while back titled 10 Ways to Use Blogs for Managing Projects.  Next time you are looking for a cheap and effective way to manage a project in your business, think blog! 

How can you let law practice get in the way of blogging?

As I posted last week, I'm moving to California.  My wife is taking a temporary (now between 9 and 18 months, we're told) assignment with Nestle in Glendale, California.  My wife leaves in two weeks, and I'll follow around March 15th or so.  What this means is very light blogging.  I have set aside today for blog and LexThink related stuff, so while I can't promise an all-request day like my friend Dennis Kennedy did last week, I'll be clearing out some cobwebs and throwing a bunch of stuff on-line.

Who knows, as my wife and I prepare to sell our house and clean out all of our accumulated junk, I may decide to host the first-ever combined real garage sale and virtual idea garage sale in the history of the internet.

If I had a Hammer ...

Andy Havens has this great post (a rant, really) titled "When Your Only Tool's a $115k Hammer" about how the management at large firms justify the huge associate starting salaries as a benefit to the client.   Speaking of this law.com article, Andy pulls a quote from Howard Scher, managing partner of Buchanan Ingersoll's Philadelphiaoffice -- one of the firms that has just bumped starting salaries from$105 to $115K -- who says,

Wehave clients who want first-class legal representation, so we have tocompete for the best people. While I don't think that $5,000 or $10,000should be the basis for making a career decision, it is for people atthat stage of their careers.  So we hope this shows law students thatBuchanan Ingersoll is a first-class firm.

Now, Andy's take:

Look at the quote above: "We have clients who wantfirst-class legal representation." No offense to Mr. Scher and hisfirm, which is a very nice joint (especially since I'd love to consultfor him; call me, Howard -- 614.395.4134), but I have a question; isthere a firm out there with clients who want second-class legalrepresentation? Is there a general counsel out there who wakes upthinking, "You know what? My outside representation is too damned good.I'm going to fire them and hire some hacks."

Second point. Do you care what any service provider inyour entire world of purchasing behavior has ever paid any of theirworkers? I want you to think very, very hard. Have you ever thought toyourself, "I should check and make sure that my surgeon (dentist,mechanic, kids' teacher, banker, insurance agent) is the HIGHEST PAIDPROFESSIONAL IN HIS INDUSTRY!!??

No. You never have. Ever. You care about the quality of service.Period. And in many cases, quality of service does NOT track on a1-to-1 basis with what employees are paid. It more often equates to thelevel of respect they are provided, the amount of feedback they have intheir organizational systems, how well they are managed, their level ofpersonal mentoring, etc.

But, just as the billable hour is the only measure bywhich law firms seem capable of judging productivity, associate pay isthe only measure by which they seem capable of esteeming quality,rewarding it and (this is the huge disconnect) communicating the sameto both clients and associates.

I'd love to just copy the rest of his post word-for-word, but you owe it to yourself to check out the rest of it here, and read the rest of Andy's terrific blog while you are at it.  I can't resist this one more snippet, though: 

You are sending them a bad, wrong, unhealthy and, ultimately,self-defeating message. If the only way you can get "the best" studentsto come to your firm is to pay them $10k more a year... Let them go toother firms. Take the "Tier-2" kids who want to work somewhere withheart, guts, moxie, brains and staying power. I guarantee that in a fewyears your clients will love those kids way, way more than they everwould any shiny, greedy "A-Team" gold-diggers.

Some Great Consulting Tips

Dane at the Business Opportunities Weblog shares several great consulting tips he found (via Pablo Corral) on a Google message board.  Dan has the entire list, but here are my favorites:

• I always take the approach that no problem or question is stupid.  And I make sure the client knows this.
• I always give a verbal summary of everything I've done in as plain of English as I can when I finish a job.
• Ialways leave two more business cards with a client when I finish, andexplain that I'd appreciate any referrals they could give me.
• I always call to follow up the day after a major job.
• I do NOT charge for phone support.
• I do NOT charge for travel time.
• I send thank-you cards after payment is received.
• IfI'm not doing client work on a given day, I dedicate that day tomarketing efforts (letters, press releases, networking, etc.)

Print out this list and put it in the front of every client file you open and look at it several times thoughout the engagement.  I especially love the thank-you card idea.

Are your services maturing with your clients?

Anita Campbell, editor of theSmall Business Trends Blog has been posting a lot recently about trends for 2005.  Here are snippetsof a recentpost that may hint at a profitable niche for attorneys and otherprofessionals:

In 2005 and beyond, an aging Baby Boomerpopulation will be the catalyst for major changes in the workforce. It willspawn the entirely new field of retirement consulting, to help two-incomecouples discover what to do in their retirements.

With seniors aged 65and older the fastest growing segment of the American population, expect to seedaycare centers for the elderly crop up on Corporate campuses. Instead ofdropping off their children during the workday, employees will bring their agedparents.

The growing population of senior citizens will also mean newbusiness opportunities. Think errand-running businesses to serve elders.

Anita cites a report, titled "ChallengerFuture Workplace Trends: 2005 and Beyond" by Challenger Christmas & Gray.  I’veread it and it has some great stuff.  Check it out.  While you are at it, checkout all of Anita’s trends for 2005:

Anti-Trendingand Other Trends for 2005
Entrepreneur'sTop Trends for 2005
SmallBusiness is Itself a Trend
TopTechnology Trends for 2005
TopGlobal Consumer Trends
Inc.'sTrends for Entrepreneurs in 2005
TopTravel Trends for 2005
MoreTop Trends for 2005
TheSmall Business Advocate's 2005 Predictions
Top2005 eBusiness Trends
EntrepreneurshipTrends for 2005
Healthand Family Trends for 2005
PowersportsIndustry Trends for 2005

My New Favorite Blog

I graduated from the University of Illinois in 1990, and was in Assembly Hallfor most of the Flyin’ Illini’s magical run to the Final Four in ‘89.  Thisyear, the undefeated Illini are playing the best basketball in team history andI’m happy to be able to follow along by reading my new favorite blog:  Illini Wonk.  Go Illini!

Fundamental Changes

I am a big fan of Report 103, a weekly newsletter from jpb.com (subscription information can be found at http://www.jpb.com/report103/).  In the most recent edition, the author suggests writing down ten of the most fundamental changes you could make to your business without destroying it.  Once you've completed this task, try to make an objective and convincing argument why you shouldn't make the change.  If there are one or two fundamental changes you can't make a compelling argument against, give them a try.

We're packing up the truck to move to Beverly ...

Actually Burbank.  My wife just accepted a temporary transfer (9-18 months) from her employer (Nestle-Purina Pet Care, Inc.) to go from St. Louis to Glendale, California for a big project. We are still sorting out the details -- which explains my sporadic posting the past week -- but we know a few things already.  First, we will be housed by Nestle in Burbank, California.  Second, my partner, Jeff, will handle much of my existing practice, with my help via e-mail, fax, and telephone.  I'll return home on a monthly basis to cover court hearings, mediations, etc.    Third, I'll have more time to blog and focus  on LexThink -- which is shaping up as an unbelievable event, by the way.  Finally, I'll be able to concentrate more on speaking and writing about law practice in general. 

I'm really excited about the opportunity.  My wife and I will sell our current house, and start building a new one when we return.  I'll fill in some more details as they become available, but want to make sure everyone knows this blog isn't going anywhere, even though I am.

So, LexThink! Los Angeles anyone?

Where's the Banner

Thanks to an astute reader, I've just found out my "the [non]billable hour" title banner has gone missing.  It must have left while I was in NYC.  As soon as I find it, I'll put it back up again.

Five by One - Serving Latino Clients

Quite some time ago, I asked several bloggers to participate in my next Five by Five, and answer the question:  What five ways can lawyers better serve their Latino clients?  I had a devil of a time rounding out my panel of five, but the one person who stepped up right away was Juan Guillermo Tornoe, author of the fantastic Hispanic Trending Blog.  He posted his response to my question on his site here.  Go check it out.

Free Consultations Don't Work

Sean D'Souza, in his PsychoTactics blog, writes about the Myth of Free:

I'm not convinced FREE works. So I decided to put my money where my mouth was.

And I dedicated 16 weeks of educating customers free to find thatthe only ones that signed up were those that had already paid.

Free is fine. It works.

But paying customers buy more. And it's mainly because freecustomers don't understand value. I've tested free extensively atworkshops by giving away gifts free. I've tested it by giving awayteleclasses free. I've tested by giving away complimentary articles andreports. And free speeches at the corner coffee house. And we tested inthe US as well as New Zealand...And everytime we made customers pay,the results were better.

The more I've restricted the terms, the more people are eager tosign up. To give you an example: We closed our membership to 5000BC(our membership site). As a result we've had more people write to usdirectly, wanting to get in at any cost. These very people are hungryfor more and they post more on the forum, they ask more questions andthey're more keen to buy products. I'm not convinced about free.

The customer is right. But doesn't always understand the value whenit's free. Value between two parties is what makes a relationship arelationship.

I can't agree more.  Once I stopped giving free consultations to prospective clients, I found that the potential clients were more likely to show up on time, be prepared for our meeting, and retain me as their lawyer far more often then before.

Two "Wrongs" can make a "Right"

David Batstone, in the Worthwhile blog, tells us to Make Promises We Can Keep.  One of his four tips:

Turn your mistakes into opportunities for invention. That is howAmazon.com CEO Jeff Bezos keeps his company on a creative edge. Bezossays that he reviews the Amazon site every Saturday and lists the 10things that are “wrong,” and that sets his agenda for Monday morning.“Perfect people” are boring...and delude themselves about theirimperfections.

I really like this idea.  Ten "wrong" things are a bit overwhelming for a small organization, but maybe two or three.  I think a perfect compliment to Bezos' method would be to identify three things that are "right" and take the week to make them incrementally better.

Mattering More to Your Clients

Sam Decker has another great post titled How to Matter More.  One of his five suggestions, titled "Proactive Communication" hits the nail on the head:

I’ve found I can have a bigger influence,make a bigger impact, and matter more by over-communicating. This is one of the principles I just read in Patrick Lencioni’s “Four Obsessions of an Extraordinary Executive.” Increase the frequency of communication and you increase the clarity of purpose. In doing so, you increase your visibility and authority as well. Great leaders communicate, build a more cohesive team, and achieve a bigger impact. 

This is a great way to "matter more" to your clients.

100+ Marketing Tips

I am speaking at ABA's Techshow later this year.  One of my sessions is titled Marketing with Technology.   As part of my materials, I put together over one hundred quick tips, links, and ideas I culled from my blog posts, blogroll, etc.  I thought I'd share them with you (in pdf format) here.

Let you clients sell your service.

Michael Cage has these fantastic tips for "adding proof to everything you do."

1. Get testimonials – what other people say about you is at leasttwice as believable as what you say about yourself. When a client ishappy with your solutions, ask them for a testimonial to use in yourmarketing. Most will be very happy to help.
2. Put written testimonials everywhere – every single written pieceof marketing material in your business should have at least onethrilled client testimonial on it. Proof is not a one-time thing; it’san all-the-time, every-time thing.
3. Use on-hold marketing – what happens when potential clients callyour business and are put on hold? Do they hear music, or worse,nothing? Make use of it. Have your best clients record theirtestimonials, and play them when callers are put on hold.
4. Use pictures – a client in the Midwest takes pictures every timethey deliver a new solution. He shakes hands with the client, they bothsmile big and bright, and an employee snaps a photo. The photos arethen used to make case studies and testimonials more compelling, andare also put in an album of hundreds of happy clients.
5. Create case studies – what are the most common problems yourclients have? For each problem, create a compelling case study thattells the story of another client who you solved that problem for. Itcan all fit on a single page. Simply state what the problem was, how itwas hurting your client, how you solved it, and what the end resultwas.
6. Create an eavesdrop line – put 15 or 30 minutes of recordedtestimonials on a voice mail line. Put this “real client eavesdropline” on your business cards, in your yellow pages ads, and ineverything else you do. Even if potential clients don’t call, the factthat you will let them hear real stories from real clients will lendbelievability to everything else you say

Process Management

I ran across a post, titled Re-Invent YourBusiness, in the Project,Process & Business Improvement blog that really summarizes what we’vebeen trying to do in our firm as we move from a task-centered model to awhole-business centered model.  Here it is in its entirety:

An organization, be it a business, a school, a non-profit agency, is acollection of processes. These processes are the natural activities you performthat produce value, serve customers and generate income. Managing theseprocesses is the key to the success of your organization.

Unfortunately,most organizations are not set up to manage processes. Instead they managetasks. Think about it. Isn't your company organized around functions. . .theaccounting department, the engineering department, the sales department, thecustomer service department?

As a result, people tend to focus ondepartmental concerns instead of the company-wide needs of customers.Sub-processes evolve within departments without consideration of otherfunctional areas. Layers of communication and management are created to ensuredesired outcomes, thereby adding to costs and lengthening cycle and customerresponse times.

Inefficiency and waste become part of the system. Theyrob your organization of profits, productivity and its competitive advantage.But, there is a way out.

Process mapping is a simple yet powerful methodof looking beyond functional activities and rediscovering your core processes.Process maps enable you to peel away the complexity of your organizationalstructure (and internal politics) and focus on the processes that are truly theheart of your business. Armed with a thorough understanding of the inputs,outputs and interrelationships of each process, you and your organizationcan:

* Understand how processes interact in a system
* Locate processflaws that are creating systemic problems
* Evaluate which activities addvalue for the customer
* Mobilize teams to streamline and improveprocesses
* Identify processes that need to be re-engineered

Properlyused, process maps can change your entire approach to process improvement andbusiness management. . .and greatly reduce the cost of your operations byeliminating as much as 50% of the steps in most processes as well as the rootcauses of systemic quality problems.

As you put your plans and goals for2005 together, re-invent your business.