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THE TOP 5 REASONS Your Law Firm Can’t Cross-Sell

Many years ago, as a young marketer at a 500-lawyer firm, the managing partner tasked me with developing a firm-wide cross-selling project, with the goal of institutionalizing more of our big clients. I did exhaustive research. Of course, every marketer knew that "getting business from existing clients is five times easier than getting a new client" (although I don't know who first proclaimed that misleading platitude). I devised a step-by-step, bulletproof process in extraordinary depth and detail.

The design was, if I may say, pure genius. The gleeful managing partner agreed that it was a sure-fire winner. It was guaranteed to bring in millions of dollars of new business. He rolled out cross-selling initiative firm-wide in all offices. I planned to receive an enormous year-end bonus.

Unfortunately, of course, it turned out to be a total catastrophe. It was a complete and utter failure, the Hindenburg of marketing efforts—by far the biggest disaster in my entire career. Not a single lawyer tried it. WTF? I was so sure this was going to work.

I interviewed my favorite partners to determine what went wrong. They confidentially told me that there was "no way in hell [they] were going to do any of it." I was dumbfounded. Why not? Actually, in retrospect it was pretty obvious. The whole program was premised on the absurd belief that the lawyers would do what was good for the firm, rather than what was in the lawyers' personal financial interest.

I was young and naïve. I'd made a total rookie mistake. There were countless issues I wasn't experienced enough to consider: (1) They liked keeping their clients portable, so they could pick up their ball and leave if the firm didn't pay them what they wanted. (2) The compensation system didn't reward this behavior at all. (3) The firm's culture and leadership didn't demand that they put their critical client relationships in their fellow partners' hands. (4) The partners didn't trust each other's legal skills and client service. What if they screwed up the relationship? One said, "I'd lose control of the relationship, and risk losing the client that's putting food in my children's mouths." Another partner said, "I'd rather send the work to another firm where I can't be blamed if it gets screwed up." One called his clients "hot-house orchids."

Plus, (5) they were doing just fine already. They were busy, and there was no penalty if they ignored the cross-selling initiative, went back to work, and maintained the status quo. And this was just the start of the objections.

Of course, the lawyers were right to behave as they did. At that firm, they didn't trust the firm, its management, or each other to do the right thing, so it would be unreasonable for them to even try. As long as they could control every aspect of their client relationships, they were safe. No lawyer had so many clients that they were willing to risk putting them in the hands of partners in other practice areas whom they didn't trust immensely.

The point is, most firms think everyone else is cross-selling better than they are. Most commentators are still writing about how simple and efficient cross-selling is. Sure, it's easier to get another similar deal from a current transactional client where the same team has already done good work. But it's not easier to get that first piece of litigation work from that same corporate client. (In fact, I'd argue that it can be TWICE as difficult because you not only have to sell the client on your skills and service, you must first sell the partner at your firm who controls that relationship to let you anywhere near them.) That's not to say that some firms aren't cross-selling effectively. Some are. But in my experience, they're the exception. What's the odds that your firm is?

The 5 Traits of Successful Cross-Selling Firms
If you are confident that your firm possesses all 5 of the characteristics listed below, then you might have a shot at selling additional services to your existing single-practice clients. If you don't, then it's unlikely that you'll be successful over time, and I would suggest that you either (1) work to gradually change your culture to become more equitable and teamoriented, or (2) reduce your cross-selling efforts in favor of the many other marketing activities that can prove effective at all types of firms.
 Firms that excel in cross-selling tend to have the following attributes:

  1. Strong leadership that supports and rewards sharing.
  2. A firm-wide culture of trust and friendship among the partners.
  3. A fair compensation system that (a) acknowledges the risk to the partner controlling the relationship, and (b) rewards the efforts of the support partners for helping bring in the new work.
  4. Effective internal communications that inform everyone regarding the nature of the firm's practices and clients.
  5. Marketing training that teaches the lawyers how to cross-sell.

BTW, many untrained lawyers try to sell additional practice areas via sneak attack:

Lawyer: Hi [Corporate Client], I haven't seen you in a while; let me buy you lunch!

Client: Sure, that'd be great, thanks.

Lawyer: I'm going to bring along Tiffany, a litigator I'd like to introduce you to.

Client [realizes he's just been tricked into agreeing to sit through a 90-minute sales pitch]: Ugh. OK, fine.

That doesn't work. It's not enough to simply share a logo with Tiffany. (1) The client hadn't expressed a need for another litigator, and (2) The lawyer hadn't established why Tiffany is a much better option than the skilled litigators the client already uses.

Yes, many global companies have been streamlining their administration by seeking one-stop shopping at fewer law firms, making successful cross-selling more likely. But those firms must still compete for this work against the other international law firms where the internal barriers might be lower. Obviously, there's much more to this complex topic. But this is a start.

Ross Fishman

Ross Fishman is a former litigator, big-firm Marketing Director, and Marketing Partner. Ross has conducted more than 300 law firm retreats, CLE and Ethics presentations, and marketing-training programs on six continents, from New Mexico to New Zealand, and California to Croatia. Ross is also the Founder of Fishman Marketing, a one-stop solution for strategy, marketing, branding, and leading-edge websites. Learn more at: https://www.fishmanmarketing.com.

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About the Author: Ross Fishman is a former litigator, big-firm Marketing Director, and Marketing Partner. Ross has conducted more than 300 law firm retreats, CLE and Ethics presentations, and marketing-training programs on six continents, from New Mexico to New Zealand, and California to Croatia. Ross is also the Founder of Fishman Marketing, a one-stop solution for strategy, marketing, branding, and leading-edge websites. Learn more at: https://www.fishmanmarketing.com.

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