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Jean-Yves Gilg

Editor, Solicitors Journal

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With comparison websites becoming a growing trend in the legal services sector, law firms should consider whether they should factor them into their marketing plans, says Jo Summers

The methods clients use to find a lawyer have changed significantly and the pace of that change shows every sign of accelerating. In these days of blogging and online networking, law firms have to look at all available options as sources of new clients.

Using the internet to find lawyers is becoming increasingly popular, but that should not surprise anyone. Buying legal advice is not perhaps the same as buying car insurance, or booking a train ticket, but that misses the point. People are increasingly demanding the ability to compare and purchase services online, and clients are now extending this to legal services.

Law firms are mistaken if they think the online landscape is relevant only to individuals. Many companies use the internet to find business-related legal services or to compare prices. It is also a method by which in-house lawyers can check whether their panel of law firms is providing good value for money '“ a trend that's likely to continue in the present economic climate.

But the internet can sometimes offer too many options. So what should law firms consider when deciding how to make use of these new web-based services?

Comparing the comparison sites

Electronic listing services offer the most basic opportunities. While many sites offer free listings, some charge a fee. Law firms need to be convinced what 'added value' is offered by those that charge for a listing when compared with the numerous 'free to list' sites and online directories. A common feature is that commercial listings often cover a vast range of services and products, rather than being legal services specific, meaning they may be less likely to deliver new clients than more targeted online services.

Another opportunity is through formal or informal referral networks. Many firms already have informal arrangements. The issue is whether law firms might use any of the new breed of commercial networks. In addition to existing referral arrangements, they might be useful for more specialist areas of work (for example, pensions law). A critical consideration though will be the cost of becoming part of any of the commercial referral services, and any referral fee issues.

Matching services are now becoming common: these use a variety of methods to select, or match, the client to one particular law firm or solicitor. Typically, they work by a prospective client posting brief details of their legal needs, and the web-based broker matching that client to a law firm registered with the broker.

Some law firm comparison sites seem to go further, by matching the client's needs with a small number of pre-selected law firms drawn from their list of registered firms. The key questions for law firms are how exactly, and who, decides which law firm is matched to any given client: is there an independent assessment of merit, or is it just a question of which firm paid the most? The cost of becoming a registered firm on any given site will also be a consideration.

The 'best of breed' sends a summary of each client's legal needs to all the registered law firms that advise on that particular area of law. This gives the client the maximum choice of potential advisers, but '“ crucially for law firms '“ puts firms in touch with as many potential clients as possible, and with a much wider geographical spread than traditional marketing will generally achieve. Ultimately, which of the online services best meets the needs of a particular law firm will depend on many factors.

Worth the money?

Turning to costs, there are numerous charging methods used by referral, matching and comparison sites. They range from a charge for each client introduction or referral, a percentage of fees charged, a fixed fee for a law firm to be registered on a site, and in some cases a mixture of charging methods.

Some of the fees charged can be quite significant, running into many thousands in some cases, and just a few hundred in others. For that reason, law firms will want to compare the costs and the benefits of using one or more of the internet resources with the costs and benefits of existing marketing initiatives. There will also be questions over transparency and how the topical subject of referral fees will be addressed.

Many law firms will think having their own website is enough. It is taken for granted that any serious service provider will have a well-set-out and easy-to-use website. But try putting the words 'commercial lawyer' or, worse still, 'legal advice' into an internet search engine and see how many results you get. You will soon realise how hard it is for potential clients to find your website unless they already know your firm's name.

Law firms need to take a serious look at the new online resources which clients are using to source at least some of their legal services. It's not just future clients who are using these services '“ some of your existing clients may be using them too. The question is whether they'll find your firm there too, or someone else's.