There has been growing resistance to the long-standing billable hour by clients (with good reason) for several years. As a result, the legal services industry is in flux. Some law firms will adapt in order to thrive and others will not. Loop Legal was formed for precisely that reason – to offer clients a real alternative to the long-standing flawed model.
The natural question when rejecting a long-standing “truth” is what else? How do you build an entirely new pricing structure? There are experts who build their entire careers around pricing. Basically, our experience has shown that the right pricing model is a mixture of data, psychology and experimentation. Consider the following when tackling this complex problem for your organization:
Innovation cannot happen unless you understand the current situation. Researching the current market enables an appreciation of what the customer is accustomed to and the average cost. In legal, we found it was too mysterious and far too expensive which forced customers to seek alternatives. Here are a few tactics to consider when performing your own market research:
Data from the market intelligence is only useful if you actually do something with it. This can be overwhelming, but you have to start somewhere in order to create a viable pricing model that will be received by clients. Ways to tackle the challenging task of identifying trends:
The values of your organization should be reflected in the pricing model. Put your mission statement to work and integrate those principles in to every aspect of the organization. Clients will not know what those values are unless you demonstrate it to them repeatedly. Examples of how to apply the company values to pricing include:
Pricing can be complicated. This is true when pricing legal services, medical devices, SaaS platforms, or any other item. Loop Legal understands this challenge first hand and also knows how to integrate that information into helping clients reach their goals. Contact us today to schedule a consultation to talk more about how the Loop Legal attorneys can help your organization.