To drive sustainable growth for your law firm, it is crucial to develop and track key performance indicators (KPIs) that are tailored to your specific goals and objectives.
This short guide outlines the essential KPIs to consider, along with best practices for maximizing your marketing effectiveness.
Consider this a go-to resource to keep on hand for easy reference.
Here are the essential KPIs to track:
- Cost per Lead (CPL): Measure the overall cost incurred to generate a lead.
- Cost per True Lead: Evaluate the cost after removing hang-ups or spam, reflecting only genuine leads.
- Cost per Qualified Lead: Calculate the cost for leads that meet your firm’s specific criteria.
- Cost per Sent Retainer: Determine the cost for each retainer sent to a potential client.
- Cost per Signed: Measure the cost associated with each signed retainer.
- Cost per Retained: Assess the cost for clients who pass the firm’s review and/or medical records verification.
- Lead to Sign Rate: Calculate the percentage of leads that convert into signed retainers, providing insight into the effectiveness of your lead conversion process.
In scenarios where the firm prefers to be involved in the sign-up process rather than allowing the issuance of retainers in advance of their review, focusing on these additional KPIs can help optimize efficiency and cost-effectiveness:
- Cost per Attorney Review (CPAR): Include the consultation cost when the firm wants to be involved in the sign-up process.
- Cost per Attorney Qualified Lead (AQL): Measure the cost for leads vetted and approved by attorneys.
If a particular strategy or channel delivers positive results, allocate more resources to it.
Conversely, if a strategy or channel fails to produce results despite substantial investment, don’t hesitate to discontinue it and reallocate the budget.
Marketing success is an iterative process that involves constant testing, experimentation, auditing, optimization, and repetition.
To ensure continuous improvement, measure the right KPIs, make data-driven decisions, and listen to client feedback to refine your approach.
By consistently tracking and optimizing these KPIs, your firm can enhance its marketing efficiency and effectiveness, ultimately leading to higher client acquisition and retention rates.
