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Generalist or Specialist?
...that is the question
By Adam
Radzik
Consultant to Professional Firms
How should
attorneys best position themselves in order to maintain a
solid client base and a steady flow of new clients? Many believe
they should offer themselves to the public as generalists.
One advantage, of course, is that generalists rarely turn
away work.
No
matter what issue the client presents, the generalist nods
and says, "Yep, I can help you with that. No problem." A second
advantage is that there can be significant variety to the
types of work they do. "I don't like to be pigeonholed in
one area that's why I like being a generalist," they explain.
A
disadvantage of being a generalist is that more and more clients
want to know if you're knowledgeable about their industry.
"I liked Mario," the former client said, "but he kept on giving
me analogies about the shoe business that I just couldn't
relate to. I need a lawyer who knows the software business,
not the shoe business!"
Another
problem is that clients don't want to pay lawyers to learn.
"You know, Tom tries hard, but he hasn't done one of these
deals before and it's obvious. It's got to be costing us twice
as much in legal fees. Tom did say he wouldn't charge us for
every hour he puts in, but next time, we have to get someone
who has experience."
A
third problem is, it's very difficult to market the services
of a generalist. A specialist, for example, a real estate
attorney has several trade organizations through which he/she
can meet prospects face to face. There are also opportunities
there for speaking, writing and networking with other vendors
who sell to the same industry. Where does the generalist go
to meet prospects? The Chamber of Commerce? Not good! Too
many sellers of copying machines, life insurance and office
supplies go to those meetings. Again, where does the generalist
go to get more business? "I know, I know," says the generalist.
"That's my problem!"
Finally,
the generalist has an impossible task keeping up with all
of the changes and developments in so many areas of the law.
"I am so overwhelmed, Adam, that frankly, I just give the
clients my best guess and hope that everything works out okay,
but several times, I have been very embarrassed by lawyers
on the other side of the deal. On two occasions, I was sure
that my clients would sue me for malpractice, but, luckily,
I managed to talk them out of it. I was sweating bullets!"
The
specialist, on the other hand, often concentrates on specific
industries so the problem of not knowing the industry is less
common. Clients don't have to pay for their learning curve
because they know their areas of the law. It's much easier
to market a specialist than a generalist and the job of keeping
up with legal knowledge is far more manageable when you're
a specialist. "But if I was a real estate specialist in the
late eighties, I would be out of business." The generalists
counter and, of course, they're correct. They point to practice
areas that fluctuate regularly - real estate, mergers and
acquisitions, bankruptcy, etc. Also, the decline of personal
injury, environmental, banking and insurance defense work.
When the generalists hear that specialty areas are faltering,
they thank their lucky stars that they are generalists.
So,
what to do? Being a generalist has many problems and being
a specialist appears unsafe. In my opinion, both of these
solutions are extreme. The answer to this dilemma lies in
the middle of the continuum. I advocate to my clients not
to be a generalist and not to be a specialist in one area.
Be a specialist in three areas. Establish high visibility
in three separate industries. Chances are that all three will
not go down simultaneously. If the specialty you've chosen
is volatile, in general, like real estate, you will have to
master another one or two areas of law to give you the safety
cushion you need. Even this task, though challenging, is not
anywhere as impossible as trying to know everything and trying
to sell it to everyone. So, don't choose the path of the generalist.
Choose the path of the specialist, but develop three targets.
In effect, diversify your portfolio, but don't buy every stock
in the world.
Now,
how to go about this task? Don't go after all three target
areas at one time. You will fragment yourself and achieve
nothing. Go after your targets one at a time. It will take
two to three years of active marketing to establish prominence
within one specific population. Once you've got that cooking,
you can turn your attention to another group.
Realistically,
attorneys have precious little time to market. They spend
most of their time billing and performing administrative tasks.
Marketing is a, "When I have time," activity. When attorneys
focus in several marketing areas at once, their diffused efforts
take forever to yield results. What happens is they lose hope.
They give up. It's not unlike building three homes simultaneously
on a limited budget. It will take forever for the homes to
be built. If, on the other hand, you focus all of your efforts
on one house, it would get built much quicker and you would
be encouraged and motivated to build a second and third. In
my next column, I will write about how to choose a practice
area for you and your firm.
If
you would like to learn more about sales coaching, contact
SIC today!
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