find the latest legal job
Part Time Risk & Compliance Officer
Category: Other | Location: Brisbane QLD 4000
· Brisbane City · Flexible Part Time Hours
View details
Infrastructure Lawyer/SA
Category: Construction Law | Location: Sydney CBD, Inner West & Eastern Suburbs Sydney NSW
· Global elite law firm · Dedicated Infrastructure team
View details
In-House Legal Counsel (Mid to Senior)| Regulated Markets (Energy and Gas)
Category: Generalists - In House | Location: Melbourne CBD & Inner Suburbs Melbourne VIC
· Full PD on Request · Exciting High Impact Role
View details
Family Lawyer
Category: Family Law | Location: Eastern Suburbs Melbourne VIC
· Boutique Firm · Great Reputation
View details
Infrastructure Lawyers
Category: Construction Law | Location: All Perth WA
· We'd be particularly interested to hear from you if you were a lawyer who knows your way around the infrastructure and energy sectors.
View details
Profile clients to leverage profitability prospects, says exec

Profile clients to leverage profitability prospects, says exec

Bree Moody

The executive director of commercial and strategy at LexisNexis Pacific has revealed how firms can implement a best practice approach to understand the value of their clients and how they can further contribute to profitability.

According to LexisNexis Pacific executive director of commercial and strategy Bree Moody (pictured), firms can utilise big data and analytics to strategically target clients across the breadth and depth of their portfolios.

“Even if you don't have the budget or tools to take on a significant system or consultant, there are three areas that I would still encourage you to look at,” Ms Moody said, speaking at Lawyers Weekly’s recent Future Forum.

“The first is a lifetime value assessment. Regardless of the size or focus of your firm, all firms should have a lifetime value assessment of [their] client portfolio.

“This is where you should examine your full client history over a long or longer stretch of time, let’s say five years, rather than merely on how much revenue a client has produced for you in a previous year.”

Ms Moody said this type of client profiling ensures firms can identify clients who have large capabilities but may have been left off current “top client lists” because they haven’t provided as much work in recent years, in comparison to newer clients.

“It's human nature to focus on the new and exciting clients, but you do have to be careful that you don't begin to neglect your older, more stable clients, and particularly if their billable hours have slightly reduced,” she said.

“Report on your activity overtime, compare results and metrics over years and quarters and try and have rolling periods in which you assess your customer trends.”

Secondly, Ms Moody advised firms to identify clients who have shown cross-selling tendencies.

“Which verticals did they come from? In addition, which practice area did they enter your firm through?” she said.

“This is going to help you develop an unbiased view about the practice areas and genuinely attract new clients to your firm who will do multiple areas of work across multiple practice areas.”

Lastly, Ms Moody said firms should perform a detailed segmentation analysis and consider separating customers into at least four buckets.

“Who are those customers that deliver the most amount of work most consistently? These are the customers most valuable to you,” she said.

“Who are the customers who deliver the largest amount of work but less consistently? Try and determine why that is and what conversations you can have to increase that consistency.

“Who are clients that deliver less work but on a consistent basis? These are the good ones to have a look at, specifically for profitability.

“And who are the clients that deliver less work on a less consistent basis? Is there an opportunity to move them up the value chain and really assess the value in continuing to work with that type of client group?”

Like this story? Read more:

QLS condemns actions of disgraced lawyer as ‘stain on the profession’

NSW proposes big justice reforms to target risk of reoffending

The legal budget breakdown 2017

Profile clients to leverage profitability prospects, says exec
lawyersweekly logo
Promoted content
Recommended by Spike Native Network
more from lawyers weekly
Nov 22 2017
‘Document tsunami’ driving lawyers to upskill in TAR
A prominent Victorian judge has highlighted the growing need for lawyers to expand their knowledge o...
Defamation expert appointed to lead Victorian Bar
Nov 22 2017
Defamation expert appointed to lead Victorian Bar
The Victorian Bar has named Dr Matt Collins QC as its new president, with an additional eight member...
Law Council of Australia
Nov 21 2017
LCA calls for urgent adoption of ‘game-changing’ recommendation
The Law Council of Australia has urged for the immediate adoption of a key recommendation put forwar...
Allens managing partner Richard Spurio, image courtesy Allens' website
Jun 21 2017
Promo season at Allens
A group of lawyers at Allens have received promotions across its PNG and Australian offices. ...
May 11 2017
Partner exits for in-house role
A Victorian lawyer has left the partnership of a national firm to start a new gig with state governm...
Esteban Gomez
May 11 2017
National firm recruits ‘major asset’
A national law firm has announced it has appointed a new corporate partner who brings over 15 years'...
Nicole Rich
May 16 2017
Access to justice for young transgender Australians
Reform is looming for the process that young transgender Australians and their families must current...
Geoff Roberson
May 11 2017
The lighter side of the law: when law and comedy collide
On the face of it, there doesn’t seem to be much that is amusing about the law, writes Geoff Rober...
May 10 2017
Advocate’s immunity – without fear or without favour but not both
On 29 March 2017, the High Court handed down its decision in David Kendirjian v Eugene Lepore & ...