Exploring the Future of Legal Marketing & Business Development

Summary of a panel discussion with Ben Kent (Meridian West), Hannah Callaghan (Baker McKenzie), William Walder (Latham Watkins), Kent Stone (Ropes & Gray), Deven Vyas (Reed Smith), and Patrick Mayock (A&O Sherman)

Our panel discussion indicated that Business Development and Marketing (BD&M) in law firms is at a significant inflection point, with emerging technologies, shifting client expectations, and increased competition reshaping the function. Despite economic uncertainties, the outlook remains largely positive, with industry leaders highlighting how these changes present new opportunities for BD&M professionals.

Beyond Legal Expertise

The panel emphasized that technical legal expertise is no longer a primary differentiator among top law firms. Instead, commerciality and deep client understanding have become crucial competitive advantages. Today's clients seek advisors who can deliver succinct, business-focused guidance that can be immediately shared with internal stakeholders without modification.

"The legal technical expertise is almost a given. So if they come to any kind of well-known big law firm, they expect that the legal expertise is there... it's all of those things around that that differentiate the firm."

BD&M Goes Client-Facing

A notable shift is occurring in client relationship management, with BD&M professionals increasingly taking on client-facing roles. This evolution reflects a broader transformation in how law firms approach client relationships, moving away from purely transactional interactions toward more consultative partnerships. The panel highlighted that successful firms are those where BD&M teams can capture and leverage client insights effectively, combining traditional relationship management with data-driven decision-making.

AI in Legal Marketing: Promise vs. Pitfalls

Artificial Intelligence has emerged as a significant topic, though its impact varies across different aspects of BD&M. While AI is already delivering efficiency gains in areas such as proposal development and client research, the panel cautioned against over-reliance on the technology. They emphasized that AI should enhance rather than replace human expertise, particularly in strategic and creative tasks.

"It's not here to substitute our roles. It's here to enhance our roles and delivery, but it's not here to do our jobs... there's a real danger that in years to come, every single law firm pumps out pitches which sound exactly the same because they've all been created by AI."

The discussion revealed that successful BD&M professionals of the future will need a broader skill set, combining traditional marketing expertise with data analysis capabilities and strategic thinking. There's a growing trend toward specialization within BD&M teams, with new roles emerging around data science and client experience management.

Client experience has become increasingly important, with firms focusing on the entire client journey from matter opening to billing. The panel noted that clients now expect a more consumer-like experience in their interactions with law firms, emphasizing the importance of understanding not just clients' businesses but also their internal objectives and personal working styles.

"So many GCs have told me when they receive advice, a good firm will be able to deliver advice where the GC can simply forward the advice on their phone to their internal board without making any changes. Where they have to make the changes, it means the law firm hasn't thought about the GC's internal audience."

Partners in Growth

Looking ahead, the structure of BD&M teams is likely to evolve, with some functions potentially becoming more streamlined through technology while others expand into new specializations. Teams are increasingly being organized around client sectors and buying patterns rather than traditional practice lines, reflecting a more client-centric approach to service delivery.

The relationship between lawyers and BD&M professionals is also maturing, with growing recognition of BD&M as a core strategic function rather than just a support service. This shift has been particularly evident in firms where BD&M teams have established strong client relationships through activities such as client feedback programs and strategic account management.

"As one client said to me once, I like working with X because when it's 2 a.m. and I'm stressed, I want to be in the room with someone I really want to hang out with because it's terrible o'clock. We can have a laugh. We can joke over the stressful, whatever the scenario is."

As the legal sector continues to evolve, successful firms will be those that can effectively combine human expertise with technological capabilities, maintaining strong client relationships while leveraging data and technology to deliver more targeted and efficient services. The future of legal BD&M appears to be one of increasing sophistication, with professionals playing a more strategic role in firm growth and client service delivery.?

Meridian West, Oct 29, 2024