Jack Newton - The Client-Centered Law Firm: How to Succeed in an Experience-Driven World

Ive recently returned from a trip to a parallel universe, where an alternative timeline of history has unfolded. It was a fascinating place, and I want to share with you some of what I saw there.

I saw the enormously profitable entertainment giant Blockbuster, which watched the internet develop and understood its potential as a movie distribution engine. Blockbuster used its vast collection of films and its data about customers buying habits to become the worlds leading source of movies online, and now even produces its own films. Were not in the business of renting videocassettes, Blockbusters leaders told themselves. Were in the business of helping people enjoy the movie they want to see tonight.

I saw the great photography multinational Kodak, whose researchers were among the first to develop the technology behind digital camerasbut rather than dismissing their work, Kodaks leaders saw an opportunity to develop an entirely new line of products. The company eventually invented digital photo technology that it licenses to Microsofts popular mPhone at an enormous profit. Were not in the business of selling film, Kodaks leaders realized. Were in the business of helping people take pictures.

And I saw the most powerful and valuable company in the world: Sears, the global online shopping colossus. Leveraging its long history as a source of convenient purchasingfrom its catalogues to its distribution centersSears understood that the internet was the most convenient possible way for people to shop, and it invested heavily and successfully in the technology to make it happen. Were not in the business of running department stores, Searss leaders said. Were in the business of helping people easily get the products and services they need.

In our own universe, of course, things didnt turn out quite this way. These longstanding market incumbents missed the opportunity presented by new technology to rethink just what business they were really in, and to re-design their companies in ways that could enable them to use this technology for greater growth and higher profits.

But this alternative timeline reminds us that established market leaders need not inevitably lose out to upstarts and challengers from the outside. Not only is it possible for incumbents to reap the rewards of technological changes, it is incumbents who are best positioned to do so. They already have the market dominance, the financial reserves, the brand power, and the proven track record of success. All they need is to be willing to think a little differently about themselves and about their customers actual needs.

This is exactly where the legal profession finds itself as we open the third decade of the 21st century. It is now beyond all doubt that technology has changed and will continue to change the conditions under which legal services are bought and sold. There is no going back to the way things used to be. And we shouldnt want to go back, because we can now serve our clients better and faster and less expensively and with a higher degree of quality than we could before. Were at the dawn of a golden age of legal services.

Lawyers can lead the way into that new ageif we are willing, if we have the courage and the foresight, to understand that technology and change and upheaval are not threats, theyre opportunities. Opportunities for us to give more help and better advice to more people and more businesses, faster and more profitably than in the past. Opportunities to work fewer hours, connect more deeply with clients, run better legal businesses, and lead happier personal lives.

Are you in the business of billing hours? Are you in the business of filling out forms and signing documents and attending meetings? Are you in the business of measuring out your life in six-minute increments?

If you are the lawyer I think you are, then the answer is no. You are in the business of helping people solve problems, of putting lives back on track, of helping businesses grow and prosper. But its possible that your own law business has started to chase and measure and reward the wrong thingsthat it has forgotten its intended purpose, what and who its actually for.

The purpose of your law business is your clients.

The future of law is client-centered. Jack Newton understands this fundamental truth as well as anyone, and the book youre holding is an essential and engaging how-to guide for building an outstanding legal business in this new legal market. Clear and compelling, filled with real-life examples from both the legal and corporate worlds, this book will show you how to value the client experience, map your clients journeys, and infuse your firms culture with empathy and collaboration.

Jacks most important message to lawyers, which youll find throughout the book, is this: The time to act is now. Hes right. Today, youre standing at the same fork in the road where Blockbuster, Kodak, and Sears once stood. But you dont have to follow their examples. You can make a different and better choice than they did.

Its time to develop a client-centered law practice. Its time to rethink and redesign your law business. Its time to write your own alternative history.

Jordan Furlong

Legal Market Analystand Principal,Law21

Introduction

For more than 10 years, my goal has been to empower lawyers to spend more time and energy on what they love: practicing law. Ive spent many hours talking to lawyers, legal professionals, regulators, consultants, and IT professionals about what law firms need to succeed. Ive also been lucky enough to witness massive change in the legal industry, with firms migrating to the cloud and becoming more data-driven.

But change isnt coming fast enough. Throughout the years, one nagging theme has stood out to me: Most lawyers and law firms dont prioritize product-market fit between their services and their clients. Some do, and countless leading legal thinkers have been talking about it for years, but the vast majority dont think about how their overall services match client needs. The opportunity for the legal industry to not only survive but to thrive hinges on our ability to strengthen the product-market fit between lawyers and consumers of legal services.

Product-market fit is the degree to which your product or service satisfies market demand. In the tech industry, if you dont have it, you dont survive, period. Finding product-market fit isnt simple or straightforward. If it were, then we wouldnt see .

Companies like Uber, Netflix, and Airbnb have radically raised the baseline of user ease that customers now expect thanks to rapid ride-hailing, instant access to movies, and luxurious, affordable short-term vacation rentals that are available anywhere in the world. This new baseline has influenced what todays legal client expects from their lawyer. But, unfortunately, law firms arent yet delivering.

According to the 2018Legal Trends Report, many legal clients (40%) experience frustration when hiring a lawyer, and many more arent using lawyers for their legal needs: 57% of consumers surveyed for the report have had a life issue that could have been handled legally but wasnt. A report from the World Justice Project found that 77% of people in the US didnt get legal help for their legal issues in 2018. This product-market gap in legal is causing potential clients to simply not use lawyers.

I believe its possible to bridge this gap and for the legal industry to succeed, but its going to require accepting that the status quo is no longer working and committing to long-term change. I also believe theres an approach that can get us thereand thats what this book is about.