Making Your Network Work

Ask any attorney in a specialized practice area to identify their most effective sources of new business, and you'll probably hear “referrals from other lawyers” listed as one of the best ways of meeting profitable new clients.

One increasingly popular method of generating referrals from lawyers in other geographic areas is to participate in a law firm network or association. Some of the larger networks include: Lex Mundi, ALFA International, Meritas, Interlaw, Interlex Group and TerraLex.

Network activities designed to facilitate cross-referrals between member firms include: developing networking events for member firms and their clients; distributing attorney biographical information; and, in some cases, marketing the network and member firms to prospective clients. Most of the larger networks feature multiple practice area committees, while others, such as the National Employers Counsel Network, limit membership to attorneys in specific practice areas.

Membership in a network can also provide mid-sized firms with a competitive advantage against mega-firms by providing an opportunity to refer clients to counsel in other jurisdictions. Even if your firm doesn't have offices in 22 countries and a branch in Timbuktu, membership in a network provides an easy way to identify and introduce clients to experienced firms in far-flung reaches of the globe ' or in the next state.

Annual network membership dues generally vary by size of the firm, and some networks also charge a one-time initiation fee. A couple of networks require exclusive membership, but most allow member firms to belong to multiple associations.

As with any other marketing or business development initiative, ensuring your firm uses the network to effectively generate referrals requires some coordination and advance planning. As you develop a plan to maximize involvement in the network, consider some of the following initiatives.

Increase Network Visibility Throughout Your Firm

Within a firm there are often one or two key attorneys who are staunch advocates of a particular network ' and many other attorneys who are either unaware of, or uninvolved in the network. Expanding participation in the network to include more of your firm's attorneys can help increase the number of referrals your firm receives and sends to other member firms. Here are some ways to increase the visibility of your network within your firm:

• Use internal communications channels to distribute information on success stories involving new business generated as a result of membership in the network. If your attorneys see their partners generating new business from the network, they'll be more likely to consider involvement in the association.
• As you develop practice area marketing plans, consider how attorneys in each practice area can best leverage the network. Encourage your attorneys to explore participation in network practice area committees.
• If you provide marketing orientation to new lateral hires, ensure they are aware of the firm's membership in the network.
• Ensure all your attorneys have easy access to contact information for other member firms. Distribute copies of the network's membership directory throughout your firm, and provide a hotlink to the network's web site on computer desktops at your firm.
• Encourage your attorneys to involve their clients in the network, providing an opportunity to strengthen your firm's relationship with existing clients. Most networks sponsor several annual client events ' invite key clients to attend with your firm. Ensure all firm clients know that your firm is a member of the network, and communicate the benefits your membership in the network provides to them, including the ability to easily access experienced counsel in other jurisdictions. Provide clients with copies of any appropriate updates or marketing materials developed by the network.

Build Relationships with Other Member Firms

Attorneys refer their clients to other firms they know and trust. Other members of a network are more likely to refer clients to your firm if they have a personal relationship with someone at your firm, and are confident that your firm will provide quality service to their clients. Both attorneys and the firm marketing professional can play an important role in building relationships with other member firms. Some suggestions on how marketers can help follow:

• Encourage your attorneys (repeatedly!) to use the network when their clients have legal needs in other jurisdictions. The recipient of a previous referral is more likely to think of your firm when their clients need work in your state.
• Help your attorneys contact other network attorneys with similar specialties and levels of experience. Have them introduce themselves and follow up with a personal note. Although this is effective on the partner level, it is also a great program to introduce associates to marketing activities, and a way for associates to begin to build their personal networks with associates at other firms.
• As you or your attorneys travel to other cities, consider scheduling a short meeting with a contact at the local network firm. Personal contacts will go a long way in increasing your chances of receiving referral business.
• Some networks have formed a marketing professionals committee to provide an opportunity to share non-strategic best practices. If your network doesn't have a structured group for marketing professionals, contact the network to suggest they form a committee, and contact the other marketing professionals to introduce yourself and your firm.
• Add all the attorneys at other member firms to your CRM database. Ensure they receive your newsletter and marketing materials.
• As your attorneys receive referrals from other member firm, communicate the importance of appropriately thanking the referring attorney; keeping the referring firm apprised of the status of your relationship with the client; and avoiding violating network cross-selling guidelines by pursuing any client work that rightfully belongs to the original referring firm.

Track Results from Membership in the Network

Measuring the number of referrals your firm receives from other members of the network provides a way to quantify the benefits of membership. Tracking referrals also provides a way to benchmark any increases in referrals over time.

At a mid-size or large firm, tracking every referral received from other member firms will be challenging ' but getting a reasonably accurate idea of the number of referrals received should not be impossible. If you have a new client matter tracking process in place, ensure the network is included as a potential source of new business. Periodically ask your attorneys to provide a list of referrals they have received from other members of the network, and identify whether or not the referral resulted in new business. Some associations also track referrals provided to member firms. Compare your internal information with any information obtained by the association and ensure that the numbers are somewhat close.

• As you gather information on referrals received, calculate the percentage of referrals that were converted to new clients. Ideally, referrals from other member firms should be qualified leads with a need for legal services provided by your firm. If you see many referrals that are not converted into clients, try to determine why the leads were not closed, and determine whether there is anything you can do to improve the closing ratios. Do a couple of other member firms consistently send good referrals, while others do not? Are some of your attorneys doing an outstanding job of closing referrals while others are slow in their follow up? Are you receiving referrals for work you have to turn down due to conflicts?
• The quality of the referrals you receive is more important than quantity. Identify whether the referrals you closed result in profitable business that fits with the strategic direction of your firm. A few network introductions to Fortune 500 general counsel can result in work that offsets many years of network membership fees. However, if for example, your firm's goal is to emphasize growth in major corporate litigation, and a majority of referrals from the network are for small, one-time insurance defense matters, brainstorm for strategies to change the mix of referrals you receive.
• In addition to tracking the referrals you receive from the network, identify referrals your firm sends to other member firms. Ask your attorneys to let you know when they contact another member firm with a referral, and ask the network for any data they may have captured. This information can help you better understand the complete legal needs of your clients, and provide leverage when working with other member firms.
• When evaluating the ROI on your firm's involvement in a network, keep in mind that like many other law firm marketing initiatives, results don't happen immediately. Building relationships is a long-term project and increasing the effectiveness of your firm's involvement in a network will take time.

Not all these initiatives will be appropriate for every firm or every network. But as a marketing professional, you can ' and should ' play an active role in increasing the referrals for new business your firm receives from other attorneys.

Ask any attorney in a specialized practice area to identify their most effective sources of new business, and you'll probably hear “referrals from other lawyers” listed as one of the best ways of meeting profitable new clients.

One increasingly popular method of generating referrals from lawyers in other geographic areas is to participate in a law firm network or association. Some of the larger networks include: Lex Mundi, ALFA International, Meritas, Interlaw, Interlex Group and TerraLex.

Network activities designed to facilitate cross-referrals between member firms include: developing networking events for member firms and their clients; distributing attorney biographical information; and, in some cases, marketing the network and member firms to prospective clients. Most of the larger networks feature multiple practice area committees, while others, such as the National Employers Counsel Network, limit membership to attorneys in specific practice areas.

Membership in a network can also provide mid-sized firms with a competitive advantage against mega-firms by providing an opportunity to refer clients to counsel in other jurisdictions. Even if your firm doesn't have offices in 22 countries and a branch in Timbuktu, membership in a network provides an easy way to identify and introduce clients to experienced firms in far-flung reaches of the globe ' or in the next state.

Annual network membership dues generally vary by size of the firm, and some networks also charge a one-time initiation fee. A couple of networks require exclusive membership, but most allow member firms to belong to multiple associations.

As with any other marketing or business development initiative, ensuring your firm uses the network to effectively generate referrals requires some coordination and advance planning. As you develop a plan to maximize involvement in the network, consider some of the following initiatives.

Increase Network Visibility Throughout Your Firm

Within a firm there are often one or two key attorneys who are staunch advocates of a particular network ' and many other attorneys who are either unaware of, or uninvolved in the network. Expanding participation in the network to include more of your firm's attorneys can help increase the number of referrals your firm receives and sends to other member firms. Here are some ways to increase the visibility of your network within your firm:

• Use internal communications channels to distribute information on success stories involving new business generated as a result of membership in the network. If your attorneys see their partners generating new business from the network, they'll be more likely to consider involvement in the association.
• As you develop practice area marketing plans, consider how attorneys in each practice area can best leverage the network. Encourage your attorneys to explore participation in network practice area committees.
• If you provide marketing orientation to new lateral hires, ensure they are aware of the firm's membership in the network.
• Ensure all your attorneys have easy access to contact information for other member firms. Distribute copies of the network's membership directory throughout your firm, and provide a hotlink to the network's web site on computer desktops at your firm.
• Encourage your attorneys to involve their clients in the network, providing an opportunity to strengthen your firm's relationship with existing clients. Most networks sponsor several annual client events ' invite key clients to attend with your firm. Ensure all firm clients know that your firm is a member of the network, and communicate the benefits your membership in the network provides to them, including the ability to easily access experienced counsel in other jurisdictions. Provide clients with copies of any appropriate updates or marketing materials developed by the network.

Build Relationships with Other Member Firms

Attorneys refer their clients to other firms they know and trust. Other members of a network are more likely to refer clients to your firm if they have a personal relationship with someone at your firm, and are confident that your firm will provide quality service to their clients. Both attorneys and the firm marketing professional can play an important role in building relationships with other member firms. Some suggestions on how marketers can help follow:

• Encourage your attorneys (repeatedly!) to use the network when their clients have legal needs in other jurisdictions. The recipient of a previous referral is more likely to think of your firm when their clients need work in your state.
• Help your attorneys contact other network attorneys with similar specialties and levels of experience. Have them introduce themselves and follow up with a personal note. Although this is effective on the partner level, it is also a great program to introduce associates to marketing activities, and a way for associates to begin to build their personal networks with associates at other firms.
• As you or your attorneys travel to other cities, consider scheduling a short meeting with a contact at the local network firm. Personal contacts will go a long way in increasing your chances of receiving referral business.
• Some networks have formed a marketing professionals committee to provide an opportunity to share non-strategic best practices. If your network doesn't have a structured group for marketing professionals, contact the network to suggest they form a committee, and contact the other marketing professionals to introduce yourself and your firm.
• Add all the attorneys at other member firms to your CRM database. Ensure they receive your newsletter and marketing materials.
• As your attorneys receive referrals from other member firm, communicate the importance of appropriately thanking the referring attorney; keeping the referring firm apprised of the status of your relationship with the client; and avoiding violating network cross-selling guidelines by pursuing any client work that rightfully belongs to the original referring firm.

Track Results from Membership in the Network

Measuring the number of referrals your firm receives from other members of the network provides a way to quantify the benefits of membership. Tracking referrals also provides a way to benchmark any increases in referrals over time.

At a mid-size or large firm, tracking every referral received from other member firms will be challenging ' but getting a reasonably accurate idea of the number of referrals received should not be impossible. If you have a new client matter tracking process in place, ensure the network is included as a potential source of new business. Periodically ask your attorneys to provide a list of referrals they have received from other members of the network, and identify whether or not the referral resulted in new business. Some associations also track referrals provided to member firms. Compare your internal information with any information obtained by the association and ensure that the numbers are somewhat close.

• As you gather information on referrals received, calculate the percentage of referrals that were converted to new clients. Ideally, referrals from other member firms should be qualified leads with a need for legal services provided by your firm. If you see many referrals that are not converted into clients, try to determine why the leads were not closed, and determine whether there is anything you can do to improve the closing ratios. Do a couple of other member firms consistently send good referrals, while others do not? Are some of your attorneys doing an outstanding job of closing referrals while others are slow in their follow up? Are you receiving referrals for work you have to turn down due to conflicts?
• The quality of the referrals you receive is more important than quantity. Identify whether the referrals you closed result in profitable business that fits with the strategic direction of your firm. A few network introductions to Fortune 500 general counsel can result in work that offsets many years of network membership fees. However, if for example, your firm's goal is to emphasize growth in major corporate litigation, and a majority of referrals from the network are for small, one-time insurance defense matters, brainstorm for strategies to change the mix of referrals you receive.
• In addition to tracking the referrals you receive from the network, identify referrals your firm sends to other member firms. Ask your attorneys to let you know when they contact another member firm with a referral, and ask the network for any data they may have captured. This information can help you better understand the complete legal needs of your clients, and provide leverage when working with other member firms.
• When evaluating the ROI on your firm's involvement in a network, keep in mind that like many other law firm marketing initiatives, results don't happen immediately. Building relationships is a long-term project and increasing the effectiveness of your firm's involvement in a network will take time.

Not all these initiatives will be appropriate for every firm or every network. But as a marketing professional, you can ' and should ' play an active role in increasing the referrals for new business your firm receives from other attorneys.