New leads are vital for law firm success. But unless you are converting them into clients, they might just be a drain on your valuable time and resources.
We caught up with Richard James, a law firm growth expert, who highlights why focusing too much on lead volume can be a distraction – and what you should do instead. Richard shares his insight into growing his firm and discusses why rapid growth happens when you master converting the leads you already have.
According to Richard, it all comes down to two things: intake and follow-up.
Intake: where so many prospects fall through the cracks.
Many law firm owners assume that more (and better) leads are the solution to their growth problems. However, the biggest issue is often how firms handle those leads. It’s not unusual for potential clients to disappear, or call a competitor, due to ineffective intake processes.
Take a moment to reflect on your current intake process. Are you paying attention to how your team handles calls? Are you effective in reminding clients about their scheduled initial consultations? What about the conversations during those consultations? By scrutinizing and improving these areas, you can see substantial gains.
Richard James understands making the most of every lead. After building his own Phoenix-based firm that generated $3.5 million in just a few years, Richard learned the importance of excellent legal intake. Remarkably, 60% of the firm’s revenue came from clients initially saying “no.” This demonstrates the importance of optimizing your intake process and nurturing leads.
By taking the time to fine-tune what your team says during initial calls, ensuring clients show up for consultations, and improving the overall intake process, law firms can see massive growth without spending more on marketing. Richard describes this as leveraging the “little hinges that swing the big doors” – small adjustments that lead to big results
The Perfect Client Life Cycle (PCLC)
Yes, such a thing exists. The Perfect Client Life Cycle (PCLC) is a system designed to optimize each stage of the client journey, from lead generation to final retention.
Using the PCLC, Richard has shown how even modest improvements in conversion rates—just a 10% boost in set rates, show rates, and hire rates—can lead to substantial revenue increases. For example, a firm generating $480,000 annually could add over $158,000 in revenue by making small, targeted improvements.
The Value of Follow-Up
Even with a carefully designed intake process, not every client will say “yes” right away. Richard emphasizes the importance of follow-up. By making incremental improvements in how often you follow up – even as small as 5% – firms can see another substantial increase in revenue. He shares how, through improving follow-up alone, a firm can grow from $480,000 to $730,000 in gross sales, a 50% growth without any additional marketing investment.
Why More Leads Aren’t the Answer
“Giving you more leads would likely be a sin.” – Richard James
It’s not about getting more leads; it’s about converting the ones you already have more effectively. By focusing on intake, follow-up, and making minor improvements, law firms can experience significant growth without having to chase more leads or increase their marketing spend.
At LEX Reception, we provide the tools and services law firms need to optimize these critical processes. We hope Richard’s insights inspire you to rethink how you handle valuable leads and help you take steps toward building a more profitable, sustainable firm.
