How are law firms integrating marketing technology? While adoption is most certainly on the rise, there remain areas in which law firms still struggle, according to the 2018 Marketing Technology White Paper from the International Legal Technology Association (ILTA).
Read on for our top three takeaways relating to data management and how you can make the most of your Client Relationship Management (CRM), Enterprise Relationship Management (ERM), and Competitive Intelligence (CI) data.
Takeaway #1 – Data Quality is the Biggest CRM Challenge for Law Firms
Eighty-eight percent of survey respondents indicate that their firm uses a CRM system. However, utilization of these systems is associated with some significant issues including data quality and user adoption.
The majority of CRM data maintenance rests on the shoulders of internal marketing employees, based on the survey results. Seventy-six percent note that data management is performed completely in-house with an additional 20% indicating that maintenance duties are shared with an external resource. And, in most cases—72% to be exact—there is not an employee dedicated, full-time, to data management. Instead, most marketers must balance the value of time spent on data management against time spent on lead-generating activities like direct marketing.
Time constraints certainly play a role in user adoption as well. It’s estimated that the average CRM user spends 5.5 hours each week on manual data entry and even that is insufficient to keep the CRM data in good standing; 62% of CRM users admit that they do not log all of their activities.
Fortunately for busy marketers, challenges with data quality and CRM adoption can be easily addressed through CRM data automation; tools are available that allow you to automatically update client and new contact records, eliminating mundane data entry and increasing data accuracy.
Takeaway #2 – The Majority of Firms Keep Competitive Intelligence with the Business Development and Marketing Teams
In 66% of firms, marketing/business development teams are responsible for CI. While these insights are frequently shared across departments, there is room for improvement. Less than half share insights with the executive committee and even less—36%—with the C-suite.
Insights on current and prospective clients, competitors and the market can help strengthen and shape strategy in a big way, which is why CI analysis should be shared more widely across management and the C-Suite. The challenge of sharing insights is usually discovered in the means of distribution – finding a way to share this high-impact information in a simple and unobtrusive way.
Thanks to relationship intelligence tools, sharing meaningful intel doesn’t require a significant time commitment from either Marketing or business leaders. Valuable competitive insights—such as company news, CRM data, stock quotes, recent meeting notes, latest activities and social feeds—can be sent directly to executive email inboxes based on set criteria including predictably before key meetings, in weekly account summaries, or on-demand as partners and attorneys need them.
Takeaway #3 – Firms are Not Using Analytics to Track their CRM or ERM Success
The survey results indicate that most law firms are not actively measuring the value of their CRM and ERM systems. When asked which analytics they track, the top answer was “not applicable.” In other words, 50% of respondents aren’t taking advantage of any analytics features.
For firms using analytics, it was generally limited to contact reporting—46% tracked the number of new contacts and 12% reported on the number of contacts to archive.
Analytics are a key component to any firm looking to better understand their CRM adoption, success, and return on investment (ROI). Beyond just tracking the volume of new contacts added to the firm’s database, there’s real value in tracking a comprehensive view of each client including their interaction with the firm, relationship insights into who knows who, relationships trends (positive or negative), attorney engagement level and overall client satisfaction.
While this may seem like an overwhelming undertaking, the process can be easily automated and embedded right into CRM. By using relationship analytics, firms can visualize a holistic picture of client engagement and relationship strength to proactively address issues that threaten a firm’s profitability such as client retention; winning new business is 5 times more expensive than earning more business with an existing client. This can all be managed right in whichever CRM your firm uses; Salesforce, InterAction, OnePlace, Microsoft Dynamics, or others.
Introhive’s artificial intelligence (AI) powered algorithms evaluate over a dozen information touchpoints to determine “who knows who” and “who knows who best.” Relationship Scoring is dynamic, allowing firms to track which client’s relationships are improving or deteriorating, along with the factors contributing to the change.
More Impact with Less Work
Making the most of your firm’s data doesn’t need to be overwhelming or time-consuming. By harnessing Introhive and its power of data automation and relationship intelligence, legal marketers can make the most of marketing technology and leverage their CRM, ERM, and CI data to make a greater impact, in less time.
Want to sharpen your law firm’s competitive edge? Download our Legal Marketing Playbook.